China has surpassed Japan to become Australia's largest source of new vehicles in for the first time in a single month.
Figures released by the Federal Chamber of Automotive Industries for February reveal that 22,362 Chinese-sourced vehicles were sold, outperforming Japan (21,671), Thailand (19,493), and South Korea (11,913).
This marks the end of Japan's 28-year tenure as the market leader, a position it had held since 1998.
Overall, the new vehicle market recorded 90,712 sales in February, a 4.5% decrease compared to the same period last year.
Despite the broader market slowdown, the influence of Chinese manufacturing has surged; of the ten new brands that have entered Australia since 2020, nine are manufactured in China.
FCAI CEO Tony Weber noted that consumers are the primary beneficiaries of this increased competition in price, technology, and design.
The month also saw a record high for sustainability, with battery electric vehicles capturing an 11.8% market share.
While manufacturing sources have shifted, Toyota remains the top-selling brand with 13,606 registrations, followed by Mazda and Ford.
The Ford Ranger maintained its status as the most popular individual model with 4,325 sales.
Geographically, sales declined across most states and territories, with the Australian Capital Territory seeing the sharpest drop at 18.7%, while Victoria remained steady.