How Peter Dutton petrol price cuts move will hurt EV industry

One of Peter Dutton’s key election promises might be good news for hard-working Aussies but it could smash the EV industry to pieces.

The dreaded bowser fill-up: watching the dollars turn over as our hard-earned cash disappears into fumes.

For many feeling Australia’s cost-of-living crisis, Opposition Leader Peter Dutton’s election promise to halve the fuel excise, saving a two-car family around $1500 a year, would offer sweet relief.

But for Chinese automakers, it’s a bitter pill to swallow

A flood of new EVs are coming to Australia this year. Photo: Tim Pascoe

Leapmotor, one of China’s top EV startups, backed by Stellantis, whose brands include Jeep and Alfa Romeo, claims it could set back Australia’s move to a greener commute.

Leapmotor International chief executive Xin Tianshu said the proposed fuel price cuts, if Peter Dutton wins the election, could “set back or slow down” Battery Electric Vehicle adoption in the short term, as the policy would last 12 months.

But if this election promise were to become a reality, he believes the trend would eventually reverse, as we can’t deny global warming.

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A logo of Chinese electric vehicle maker Leapmotor is seen at its headquarter in Hangzhou. (Photo by AFP) / China OUT

“The energy transition trend we see in all the markets, is going to happen. It’s not a question if it’s gonna happen, it’s when it’s gonna happen,” he said.

A crucial part of addressing Aussie consumers’ reluctance to switch to electric vehicles, is range anxiety – the fear of being stranded without a charging station in sight.

Xin Tianshu agrees car manufacturers who don’t tackle this concern in Australia will fail.

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Leapmotor C10 electric car. Picture: Supplied

JAC Motors’ Australian importer LTS Auto’s Managing Director, Ahmed Mahmoud, has also weighed in.

“The number one factor for adoption of EVs in Australia is range anxiety … Ultimately, it’s about the government building that infrastructure, committing to that infrastructure,” he said.

Leapmotor believes the answer lies in its Range Extender Electric Vehicle technology.

The Leapmotor C10 REEV, which is due in Australia soon, offers an electric-only range of up to 170km. But what really sets it apart is its impressive, combined range of up to 1150km (NEDC), making it a market leader.

When the battery runs low, the internal combustion engine ignites to generate electricity, recharging the battery and extending the driving range.

And with a starting price of $45,900, it’s a fairly affordable option.

When it comes to electric-only range, though, Tesla’s Model S and Model 3 leave the C10 in the dust. Both Tesla models offer more than 600km of electric-only range (WLTP), which is more than three times the range of the C10.

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esla models offer more than 600km of electric-only range. Picture: Mario Tama/Getty Image

If buying a Tesla would give you more anxiety than less, you can drive up to 601km without a charging stop in the BMW iX xDrive45.

But it’s not just about cars – it’s about the ecosystem that supports them.

Globally, the adoption of EVs continues to accelerate, last year light vehicle sales globally were around 20 per cent. Down under, that figure is just 11.1 per cent for total BEV and PHEVs sold in 2025.

A driver charging his car at an EV charging station. Picture: Jonathan Ng

All eyes will be on how quickly Australia can ramp up its EV infrastructure, much like the mammoth efforts seen in countries like China.

While we wait, Chinese carmakers are busy developing ultra-rapid charging technology to get consumers behind the wheel.

After all, no one wants to be caught ‘running out of fuel’ – even if it’s not the kind we’re used to.

Originally published as How Peter Dutton petrol price cuts move will hurt EV industry