January 2026 has marked a significant shift in Australia’s electric vehicle (EV) market, with Chinese manufacturers BYD, Zeekr, and Geely securing the top five sales positions. This surge in popularity has pushed long-time market leader Tesla down the rankings, signaling a potential changing of the guard in the burgeoning EV landscape.
EV Market Performance in January
Electric vehicles accounted for 8.4% of Australia’s total new car market in January 2026. This represents a slight decrease from December 2025’s 10.2% share but shows substantial growth compared to January 2025, when EVs held just 4.4% of the market. Data from the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council (EVC) indicates that 7,409 battery electric vehicles were sold, trailing plug-in hybrids (5,161) and significantly behind mild hybrids (15,131).
Tesla’s Delivery Dip
The dip in overall EV sales from the previous month can be partly attributed to a considerable drop in Tesla Model Y and Model 3 deliveries. While the Model Y saw nearly 2,000 customer deliveries across the country in December, this figure fell to just 288 in January, despite the availability of multiple incentives.
Chinese Brands Take the Lead
Leading the charge in January was the BYD Sealion 7, which claimed the top spot with 1,171 sales, outselling both the Tesla Model Y and Model 3 combined. The recently introduced BYD Atto 2 secured second place with 562 sales, followed by the Zeekr 7X at third with 418 units sold.
Further down the list, the affordable Geely EX5 captured fourth place with 415 sales. The BYD Seal, performing strongly as the best-selling electric sedan, took fifth place with 295 sales, consequently pushing the Tesla Model Y out of the top five best-selling EVs for the month.
Other Notable EV Sales
Other models that made notable appearances in January’s sales figures include the Atto 1 electric hatch, Australia’s lowest-priced EV, which recorded 245 sales. The Omoda Jaecoo J5 EV also contributed with 215 sales.
Top 10 Best-Selling EVs in January 2026
- BYD Sealion 7 – 1,171 sales
- BYD Atto 2 – 562 sales
- Zeekr 7X – 418 sales
- Geely EX5 – 415 sales
- BYD Seal – 295 sales
- Tesla Model Y – 288 sales
- Kia EV5 – 281 sales
- BYD Dolphin – 272 sales
- BYD Atto 1 – 245 sales
- BYD Atto 3 – 234 sales
- Omoda Jaecoo J5 EV – 215 sales
- Tesla Model 3 – 213 sales
Industry Outlook
FCAI CEO Tony Weber commented on the evolving market trends, stating, “We are seeing fewer petrol vehicles sold and rapid growth in plug‑in hybrids, while uptake of hybrid and battery electric vehicles is more stable.”
Following a robust surge in EV sales in December that capped off a record year in 2025, and with January sales remaining significantly stronger than the same period last year, the market is poised for continued growth. A series of sales offers are anticipated to further boost performance, suggesting 2026 could be another strong year for electric vehicle adoption in Australia.
See full details of EV sales for each month of the year in our database here.