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Report Overview
The Australia luxury car market, valued at AUD 260.75 million in 2025, has seen substantial growth, driven by the incorporation of innovative technology in luxury cars, which enhances both driving experience and safety. The market is projected to grow at a compound annual growth rate (CAGR) of 5.90% from 2026 to 2035, potentially reaching AUD 462.58 million by 2035, as luxury cars are considered valuable assets, making them appealing investments.
- According to GVG, in 2023-2024, 33% rate of luxury car tax is applied for fuel-efficient vehicles.
- As per BITRE, the number of passenger vehicles registered in Victoria in 2022 was 4,004,555.
- According to BITRE, in Australia, the number of passenger vehicles registered in 2022 was around 15,076,256.
Compound Annual Growth Rate
5.9%
Value in AUD million
2026-2035
Based on vehicle type, the Australia luxury car market share is led by sedan
The Australia luxury car market is boosted by sedans, which deliver impressive performance with their responsive handling and powerful engines. The enhanced comfort level is due to the presence of advanced suspension systems and better-quality materials. Moreover, to keep the occupants safe on the road, they integrate various features such as automatic emergency braking, adaptive cruise control and others. Hatchback luxury cars offer better fuel efficiency due to their lightweight and smaller size and can be easily handled in windy areas.
| Australia Luxury Car Market Report Summary | Description | Value |
| Base Year | AUD million | 2025 |
| Historical Period | AUD million | 2019-2025 |
| Forecast Period | AUD million | 2026-2035 |
| Market Size 2025 | AUD million | 260.75 |
| Market Size 2035 | AUD million | 462.58 |
| CAGR 2019-2025 | Percentage | XX% |
| CAGR 2026-2035 | Percentage | 5.90% |
| CAGR 2026-2035 - Market by Region | Australian Capital Territory | 7.5% |
| CAGR 2026-2035 - Market by Region | Western Australia | 7.0% |
| CAGR 2026-2035 - Market by Propulsion Type | Electric | 8.5% |
| CAGR 2026-2035 - Market by Vehicle Type | Sports Utility Vehicle and Multi-Purpose Vehicles | 6.2% |
| Market Share by Region 2025 | Queensland | 20.5% |
The use of hybrid and electric luxury cars is increasing due to their low carbon emissions, and the usage of environment-friendly manufacturing processes that results in contributing to sustainability goals. Moreover, to drive the Australia luxury car market growth, the integration of technologies including smartphone connectivity and advanced infotainment systems is increasing. The trend of improving the efficiency of luxury cars and enhancing the driving experience is also being fuelled by advancements in facilities such as gesture control interfaces and others. Recently, Cadillac has decided to launch in Melbourne and Sydney to sell luxury cars via retail stores or websites.
"Australia Luxury Car Market Report and Forecast 2026-2035" offers a detailed analysis of the market based on the following segments:
Market Breakup by Vehicle Type
- Hatchback
- Sedan
- Sports Utility Vehicle and Multi-Purpose Vehicles
Market Breakup by Propulsion Type
- Internal Combustion Engine (ICE)
- Electric
Market Breakup by Region
- New South Wales
- Victoria
- Queensland
- Australian Capital Territory
- Western Australia
- Others
| CAGR 2026-2035 - Market by | Region |
| Australian Capital Territory | 7.5% |
| Western Australia | 7.0% |
| Victoria | 6.6% |
| New South Wales | XX% |
| Queensland | XX% |
| Others | XX% |
The Australia luxury car market key players are Aston Martin Lagonda Limited, BMW Australia Ltd., Ferrari S.p.A, Mercedes-Benz Australia/Pacific Pty Ltd., General Motors Australia and New Zealand Pty Ltd., Tesla Motors Australia, Pty Ltd., RVDA Pty Ltd., Porsche Cars Australia Pty Ltd., McLaren Automotive Limited, and Mazda Australia Pty Ltd., among others.
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*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*
Key Questions Answered in the Report
The market is projected to grow at a CAGR of 5.90% between 2026 and 2035.
The Australia luxury car market is growing with an increase in the development of sustainable approaches, enhancing performance, and technology integration.
Based on the vehicle type, the luxury car market is bifurcated into hatchback, sedan, sports utility vehicle and multi-purpose vehicle.
Key players in the industry are Aston Martin Lagonda Limited, BMW Australia Ltd., Ferrari S.p.A, Mercedes-Benz Australia/Pacific Pty Ltd., General Motors Australia and New Zealand Pty Ltd., Tesla Motors Australia, Pty Ltd., RVDA Pty Ltd., Porsche Cars Australia Pty Ltd., McLaren Automotive Limited, Mazda Australia Pty Ltd., and others.
Based on propulsion type, the luxury car market is divided into internal combustion engines (ICE) and electric.
The market is broken down into New South Wales, Victoria, Queensland, the Australia Capital Territory, Western Australia, and others.
In 2025, the Australia luxury car market reached an approximate value of AUD 260.75 million.
The market is estimated to witness healthy growth in the forecast period of 2026-2035 to reach a value of around AUD 462.58 million by 2035.
Report Summary
Explore our key highlights of the report and gain a concise overview of key findings, trends, and actionable insights that will empower your strategic decisions.
| Report Features | Details |
| Base Year | 2025 |
| Historical Period | 2019-2025 |
| Forecast Period | 2026-2035 |
| Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:
|
| Breakup by Vehicle Type |
|
| Breakup by Propulsion Type |
|
| Breakup by Region |
|
| Market Dynamics |
|
| Competitive Landscape |
|
| Companies Covered |
|
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