Car registrations

Total registrations down amid rising living costs

4 Jul 2022

Our take on the latest Car registrations (Mon 4 Jul 2022)

Total car registrations down 21% from June 2021
Rental car registrations up 78%pa in the three months to June
EV registrations up 116% compared to June 2021

The key numbers...

  • Car registrations totalled 16,980 in June, down 5.1% (seasonally adjusted) from May and down 21% from this time last year. The big annual fall in registrations was largely driven by weak used car registrations, down 34%pa, though new registrations also declined, falling 6.9%pa.
  • Rental car registrations totalled 1,126 in June, up 44%pa, and only eight registrations below the rental figure for June 2019, as rental car registrations push back up towards pre-pandemic levels.
  • The share of registrations made up of electric and hybrid vehicles was strong, making up 37% of registrations in June, and 27% of car registrations over the last 12 months. Electric vehicle registrations are up 116%pa, while hybrid registrations are up 51%pa, although June 2021’s registration numbers were particularly weak as people waited for the Clean Car Discount to take effect the following month.

Electric and hybrid vehicles becoming a major player

% of monthly registrations that are electric or hybrid vehicles
4262

...and our reaction

  • Car registrations have fallen over the last 12 months, as household budgets have come under considerable pressure from high living costs, reducing the willingness to buy new vehicles. The only category up compared to this time last year are used small cars, up 9.1%pa. Used small cars are fuel efficient and affordable compared to new and large cars, so households are still willing and able to purchase in this category, keeping registrations strong.
  • The growth in rental cars continued in June, as car rental companies prepare for international tourists to arrive. In June 2017, 2018, and 2019, rental car registrations were between 1,200 and 1,400 cars. This indicates there could still be further growth in rental registrations, with rental companies remaining wary of a slow recovery in the tourism sector. September to January are typically the peak months for rental car registrations.
  • Government policy and high fuel prices continue to drive growth in electric and hybrid vehicle registrations in June. The Clean Car Programme has made higher-emissions cars more expensive, and petrol prices hit $2.96/L in June, raising the running costs of a petrol vehicle.