Car registrations
Pre-purchasing again in June ahead of Clear Car Discount changes
3 Jul 2023
Our take on the latest Car registrations (Mon 3 Jul 2023)
First-time car registrations up 81% from May (seasonally adjusted)
Large car registrations up 88% in June (seasonally adjusted)
New rental car registrations up 106% from June 2022
The key numbers...
- There were 33,982 first-time car registrations in June, an 81% increase from May after adjusting for seasonal effects.
- All segments of the car market were strong in June, with new registrations totalling 17,302, an 82% increase from May. Used registrations were also strong, totalling 16,680 in June, a 73% increase from the previous month after adjusting for seasonal effects.
- There were 18,141 large car registrations in June, an 88% increase from May on a seasonally adjusted basis. Small car registrations increased 77% from May (seasonally adjusted), totalling 15,841 registrations in June.
- New rental car registrations were at their strongest level since November 2022, with 2,208 registrations in June, a 106% increase from June 2022.
- Registrations of petrol cars in the June quarter increased 22% compared to the three months ended June 2022 – the first increase since April 2022 (where two of the three months occurred pre-Discount scheme).
Car market more volatile than over the last two decades
Total monthly car registrations, seasonally adjusted
...and our reaction
- The unexpectedly strong number of registrations in June comes shortly after major changes to the Clean Car Discount were announced in May, and at the same time as charges under the Clean Car Standard became effective.
- Changes to the Clean Car Discount scheme at the start of July have reduced the rebate or increased the fee by as much as $3,418 for new cars and $1,466 for used vehicles, and have clearly led to another round of pre-purchasing to avoid these costs.
- June’s result is similar to the pre-purchasing of higher-emissions vehicles in March 2022 before the introduction of the Clean Car Discount drove a huge spike in registrations, with total registrations last month reaching 96% of their March 2022 levels.
- Used and large car registrations have been softer since the introduction of the Clean Car Discount, with these cars typically being higher-emissions and therefore attracting a fee under the Discount scheme. However, used and large car registrations both recorded their strongest months since March 2022.
- Government policy continues to heavily influence activity in the car market, making registrations substantially more volatile than they have been over the last two decades.
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