Hybrid vehicles reached a new high in Australia during the final months of 2025, as buyers continued to shift toward electrified options while traditional petrol and diesel vehicles lost market share.
According to the latest EV Index from the Australian Automobile Association (AAA), hybrids accounted for 19.13 per cent of all new light vehicle sales in the December quarter of 2025 — the highest quarterly share recorded to date.
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Plug-in hybrid electric vehicles (PHEVs) also set a record, reaching a 5.32 per cent market share during the same period.
Battery EV share dips slightly
While electrified vehicles continue to grow overall, battery electric vehicles (BEVs) saw a small decline in market share.
BEVs made up 9.25 per cent of new light vehicle sales in the December quarter, down slightly from 9.70 per cent in the previous quarter.
Internal combustion engine (ICE) vehicles still accounted for the majority of sales but dropped to their lowest share on record, representing 66.30 per cent of the market.
Hybrid sales continue steady growth
The EV Index recorded 55,458 hybrid sales between October and December 2025, easily surpassing the previous quarterly market share record of 16.70 per cent set in the September quarter of 2024.
Hybrid demand has grown strongly over the past two and a half years. In early 2023, BEVs briefly outsold hybrids nationally, but hybrids have now outsold battery EVs in ten consecutive quarters.
Plug-in hybrids are also gaining momentum, rising from just 1.47 per cent of the market in the December quarter of 2023 to 5.32 per cent by the end of 2025.
Where hybrids are gaining ground
Hybrids expanded their presence in several vehicle segments during 2025.
In the medium car category, hybrids captured 39.22 per cent of sales in the December quarter, up significantly from 18.78 per cent a year earlier. Their share also grew strongly among small SUVs and people movers.
Medium SUVs remained Australia’s most popular vehicle type overall, representing 29.15 per cent of all new light vehicle sales in the final quarter of the year.
Within that segment, petrol and diesel models still led but their share continued to fall, while hybrid, battery electric and plug-in hybrid vehicles all gained ground.
Tracking Australia’s vehicle transition
The EV Index compiled by the Australian Automobile Association tracks the country’s transition toward new vehicle technologies by analysing national sales data.
It combines information from a range of national and state sources, including figures supplied by the Federal Chamber of Automotive Industries and the Electric Vehicle Council.
The data is intended to help consumers, businesses and fleet managers better understand how the Australian vehicle market is changing as electrified options become more widely adopted.