Utes top sales figures as supply increases

Australians are snapping up expensive utes and American-style pick-ups in record numbers, as they become default family vehicles.

The Ford Ranger, Toyota HiLux and Isuzu D-Max are selling like hot cakes. Picture: Supplied.

Australia’s love affair with four-wheel-drive utes shows no sign of abating.

The latest VFACTS sales figures show that utes made up three of the top four selling vehicles in the country last month.

The Toyota HiLux, the country’s number one selling vehicle for the past seven years, led the way with 5762 sales, followed by the Ford Ranger with 5760, while the Isuzu D-Max was fourth with 3281 sales.

Supply problems have plagued Toyota this year but it appears that HiLux stock is returning to normal, paving the way for a bumper third quarter for the ute.

The Toyota HiLux and Ford Ranger are locked in a battle for sales supremacy. Picture: Thomas Wielecki.

The strong results for HiLux come despite a marked drop-off in sales of its cheaper two-wheel-drive models, which are typically favoured by urban tradies.

Sales of 2WD utes were down by almost 9 per cent last month, while 4WD ute sales were up more than 16 per cent.

The figures highlight our growing penchant for more luxurious and expensive models, including big American pick-up trucks costing six-figure sums.

Sales of pick-ups costing more than $100,000 are up by 47 per cent this year and the growth is guaranteed to continue with the arrival of the world’s best-selling truck, the Ford F150 later this month.

The growth is being partly driven by tax breaks on salary-packaged utes that make them thousands of dollars a year cheaper to lease than similarly priced SUVs and passenger vehicles.

The Ford Ranger, Toyota HiLux and Isuzu D-Max were all in the top four sellers last month. Picture: Thomas Wielecki.

Utes leased through an employer or small business can be exempt from fringe benefits tax, provided they are used primarily for work.

The rules allow for limited private use, providing a potential loophole for owners who use them on weekends for family duties.

The new Ford Ranger, which was designed and engineered in Australia for global markets, is enjoying spectacular growth this year, with sales up by more than a third.

Cheaper Chinese utes are also gaining a foothold.

Sales of the four-wheel-drive Great Wall Motors Ute are up by 45 per cent, while sales of the LDV T60 4X4 have more than doubled.

Great Wall Motors is having success with its ute range. Picture: Supplied.

However, the popularity of utes could be tested next year, when the government is expected to introduce a mandated CO2 emissions target with penalties for carmakers who don’t comply.

Utes are among the thirstiest vehicles on our roads and none of the leading manufacturers have hybrid or electric versions available.

Federal Chamber of Automotive Industries chief executive Tony Weber touched on the issue earlier this year.

“The consumer preference for utes and SUVs is an important factor to consider as we journey to a zero-emission light vehicle fleet because these vehicles are more difficult and expensive to electrify,” he said.

There are electric pick-up trucks available in the United States but they have range limitations, especially when towing, which dents their appeal in rural markets.

While most ute makers have plans to introduce electric versions of their popular models, they are unlikely to be available here for a couple of years at least.

Toyota, which has several hybrid versions of its passenger cars and SUVs, is yet to announce firm plans for a hybrid or electric HiLux.