China Overtakes Japan as Australia's Top Car Source Country for the First Time

China has overtaken Japan as Australia's largest source of new vehicles for the first time ever, driven by surging sales of BYD, Chery, GWM and Chinese-built models from global brands like Tesla and Kia.

In a historic shift for the Australian automotive industry, China has overtaken Japan as the single largest source of new vehicles sold in Australia — a milestone that would have seemed unthinkable just five years ago. Japan had held the top position since 1998. The Numbers Behind the Shift Vehicles built in China surged more than 50 per cent year-on-year in February 2026. This includes not only Chinese brands but also global manufacturers that have shifted production to Chinese facilities, such as Tesla and several Kia models. Australia now receives Chinese-built vehicles from over 26 brands representing 12 Chinese manufacturers — a number expected to double within three to five years. The Brands Leading the Charge The fastest-growing brands driving this change include BYD, GWM, and Chery. The Chery Tiggo 4 Pro has been one of the standout models of 2026, posting 14 consecutive months of record sales volumes. The BYD Atto 1 , priced from just $23,990, is opening the EV segment to a w…