Market rebuilding ‘slowly’
Overall new-vehicle registrations reached 13,615 units in November for a 12 per cent lift on the same month of 2024 and the fifth straight month of year-on-year growth.
The trajectory signals “a market slowly rebuilding its footing” despite persistent economic strain, reports the Motor Industry Association (MIA).
Chief executive Aimee Wiley, pictured, says: “What we are seeing isn’t momentum in the classic sense but a gentle stabilisation as some demand begins to return.”
The recent trend continues to reflect steady but fragile progress across the sector. The past several months show “a cautiously improving picture, yet the market remains delicate”. Household budgets are still under pressure and business investment is patchy.
“The rise in registrations reflects steadying conditions rather than renewed expansion,” adds Wiley. “It suggests the industry is beginning to move out of the trough but hasn’t yet shifted into a sustained growth phase.”
Infometrics’ indicators reinforce the mixed backdrop. Economic activity remains soft with GDP down 0.8 per cent in the year to June, consumer spending falling 1.7 per cent and employment down 1.5 per cent to lift unemployment to five per cent.
The Reserve Bank’s cut to 2.5 per cent has eased some financial pressure and strong primary sector returns continue to provide resilience, but the broader environment remains uneven.
For the automotive sector, this means demand is improving. However, it’s still sensitive to cost fluctuations and confidence trends.
Passenger vehicles again led November’s market, with 10,247 registrations, up by 14.5 per cent on the same month 2024. Sales of battery electric vehicles came in at 641 – slightly down compared to 687 a year earlier. Conversely, plug-in hybrids rose to 472 units, up from 327. Hybrids showed a small amount of growth, with 4,201 registrations, up from 4,136.
Light commercial vehicles totalled 2,820 registrations, down slightly from 2,918 in October but 18.6 per cent higher than November 2024. Heavy commercials recorded 548 registrations, down significantly from 822 in the same month of last year.
Wiley says: “The November results reflect a market that’s slowly finding stability rather than accelerating into a new cycle. Financial conditions are easing and regional demand is holding firm, supporting a gradual lift in activity. For the industry, the key takeaway is the recovery is under way, but it remains vulnerable to shifts in costs, credit conditions and wider economic confidence.”
