Laws to rev up electric car race at starting line

Electric utes, vans and sports cars from a wide range of automakers will roll into Australia over the next 12 months in what is expected to become a milestone year for low-emission vehicles.

Automotive industry experts say the race will be triggered by laws that set a pollution cap on new vehicles in Australia for the first time, catching up to regulations in other countries.

But they warn a late start for their enforcement and tough economic conditions could slow Australia's progress towards electric car targets.

The New Vehicle Efficiency Standard will come into effect from January 1, setting a pollution limit for fleets of passenger vehicles and another for light commercial vehicles such as utes and large four-wheel drives.

The limits will apply to new cars and are designed to encourage automakers to balance sales of high-polluting vehicles with low-emission electric and hybrid models.

But the standard has impacted the local vehicle market before its official arrival, Australian Electric Vehicle Association national president Chris Jones said, as many emerging and established brands had announced plans to import electric and plug-in hybrid electric cars.

"It's going to be an exciting year and there will be lots more makes and models hitting our shores," Dr Jones told AAP.

"We've always been a very diverse, competitive passenger vehicle market."

Reaction to the launch of BYD's Shark 6 plug-in hybrid ute, which attracted almost 4000 pre-orders, showed Australian motorists were eager to adopt low-polluting vehicles, Dr Jones said, but were waiting for options that suited them.

Australians should expect to see a lot more electric challengers arrive in 2025, Swinburne University future urban mobility professor Hussein Dia said, including some with competitive prices.

"There will be an influx of cheaper vehicles and models from China," Professor Dia said.

"They are challenging many of the established brands and we've already started to see their impact in Australia."

Lesser known brands such as Zeekr, Smart and LDV planned to bring electric cars to Australia during the year to compete with launches from European companies like Polestar and Volkswagen, and well-known Asian brands such as Hyundai and Kia.

Newer brands could set price records for electric cars that fell during 2024, Prof Dia said, and could boost sales for entry-level and luxury vehicles.

"Some of the models we're expecting from China, for $50,000 or $60,000 you can get what is comparable to a luxury brand," he said.

"That could take off."

Penalties for exceeding pollution limits will not be enforced under Australia's vehicle efficiency standard until July, however, and some light commercial vehicles weighing between 3.5 and 4.5 tonnes will not immediately be required to go through carbon testing.

The "loophole" should be closed quickly to prevent misuse, Dr Jones said, who also warned electric car growth could climb steadily if cost-of-living pressures remained high.

10 ELECTRIC AND PLUG-IN HYBRID ELECTRIC VEHICLES ARRIVING IN 2025

BYD Shark 6: Almost 4000 drivers have pre-ordered one of these utes before their January 2025 arrival, securing their popularity. The $57,900 vehicle promises two electric motors, a four-cylinder petrol engine, and a battery range of 100km.

VW ID. Buzz: This may be Volkswagen's first electric vehicle to reach Australia but it will be easy to recognise. The battery-powered five or seven-seat mini-van borrows design details from the iconic Kombi and its price starts at $87,990.

Zeekr X: The first of three electric cars from this Chinese brand will be delivered to Australian buyers early in 2025. The sleek SUV will be available with a battery range of 470km or 540km, and it's priced from $56,900.

Hyundai Inster: Due in showrooms in February, this compact electric car is set to compete with the MG4 and GWM Ora. Hyundai's smallest electric vehicle promises to arrive in three varieties: short range, long range, and a crossover model.

Kia EV3: Tipped to be Kia's least expensive electric SUV, the EV3 is due to arrive in Australia between March and April. The brand has yet to confirm its price but the small SUV will feature a widescreen display across its dashboard and a range of up to 600km.

MG S5: Unlike its ZS predecessor, the company's upcoming SUV is being built as an electric vehicle from the get-go and is expected to arrive with a choice of three models. They will drive into showrooms mid-year.

Polestar 5: The Swedish car brand is poised to deliver its most high-performance vehicle to date in the Polestar 5, a sedan twice as powerful as the Polestar 2 and designed to compete with the Porsche Panamera. The model could arrive late in the year.

Mercedes-Benz G580: This G-Class vehicle has four electric motors – one to power each of its wheels – and promises to go from zero to 100km/h in under five seconds. The automaker has yet to announce a price for the powerful four-wheel drive but its V8 sibling costs more than $300,000.

Smart #5: Designed by Mercedes-Benz, this medium-sized SUV will be Smart's largest vehicle to date, and the brand's third electric model, when it arrives in 2025. It's expected to roll into the country in the second half of the year and could feature a range up to 740km.

LDV eTerron 9: The Chinese brand that brought Australia its first electric ute will launch a second model in 2025 with significantly more power and range. The eTerron 9 is expected to land in the first quarter of the year, though the company has yet to release its price.