AU$ All prices are in Australian dollars.

Key insights

Seasonality reasserts itself in the used vehicle market

After several years of disruption, the used vehicle market has now completed two consecutive years of predictable seasonal behaviour. Prices lifted through Q4 2025 as forecast, reinforcing expectations that traditional peaks and troughs have returned – with early 2026 likely to strengthen into Easter unless elevated new-vehicle stock levels introduce fresh volatility.

DC fast charging fears debunked by real-world data

Analysis of more than 800 EVs shows that frequent DC fast charging has only a marginal impact on battery health. Even vehicles with two to four years of very high DC usage show less than a two per cent variance in Battery State of Health (SoH), removing a major perceived barrier for buyers who rely on public charging infrastructure.

Heavy transport electrification reaches a structural turning point

Electrification in heavy transport is no longer confined to pilots or proof-of-concepts. EV and hybrid trucks are now entering early-stage adoption, with fleets making deliberate, long-term planning decisions as model availability expands and infrastructure investment accelerates. While hybrids are bridging the transition today, EV trucks are gaining commercial traction – positioning alternative-fuel trucks as a meaningful part of Australia’s heavy vehicle market over the next decade.

Australia's climate may deliver healthier EV batteries than global markets

Australia's largely temperate climate is a structural advantage for EV battery longevity. With six of Australia's seven capital cities ranking among the world's most favourable environments for battery health, locally operated EVs are well positioned to retain stronger long-term SoH than vehicles exposed to sustained heat or harsh winters overseas.

Salvage volumes surge as severe weather and EV growth converge

Severe hail events and rising EV penetration drove a step-change in salvage volumes during 2025. Buyer engagement reached record levels, supporting stable pricing despite higher supply and reinforcing salvage as a critical value channel for insurers, repairers and private buyers alike.

View cars at Pickles

Used vehicle market re-establishes seasonal patterns as values strengthen into year-end

After several years of disruption, the Australian used vehicle market has now completed a second consecutive year of clear seasonal behaviour, signalling a return to predictable trading conditions. Patterns that were largely absent during the COVID years re-emerged across 2024 and again through 2025, and Pickles expects this rhythm to remain intact through 2026.

“What we're seeing now is a return to fundamentals,” says Fraser Ronald, Chief Commercial Officer at Pickles. “Buyers and sellers are once again responding to seasonality, pricing signals and supply conditions in a way we simply didn't see during the COVID years.”


Prices lift in Q4 as predicted

The Datium Insights Used Car Price Index strengthened through Q4 2025, in line with forecasts outlined in the previous Pickles Quarterly Automotive Report, finishing at 126 per cent, one per cent higher than Q4 2024. Improved performance in petrol and diesel vehicles helped drive the minor uplift, while hybrid values remained broadly stable.

Used EV pricing also held firm across the year, closing 2025 at 106 per cent, around two per cent higher than the end of 2024, underscoring growing buyer confidence as the market matures.

Used Car Price Index - ICE vs EV image Figure 1a: Used Car Price Index – ICE vs EV.
Used Car Price Index by Fuel Type (3-Month Rolling Average) image Figure 1b: Used Car Price Index by Fuel Type (3-Month Rolling Average).

Queensland metro outperforms

At a regional level, Queensland metro continues to stand out. Once considered a more challenging market, Queensland metro has consistently outperformed both NSW and Victorian metro markets since the peak of COVID, when measured against pre-pandemic price benchmarks.

“Queensland's performance has been one of the standout shifts of the past few years. It's a market that has matured significantly and is now delivering consistently strong outcomes for sellers,” says Ronald.

Used Car Price Index by Region image Figure 1c: Used Car Price Index by Region.

New vehicle volumes edge up; used market holds firm

New vehicle sales reached a record high in 2025 at approximately 1.24 million units, narrowly exceeding 2024 by 0.3 per cent. Pickles' used vehicle volumes remained consistent across both calendar years.

Motor Vehicles Sold image Figure 1d: Motor Vehicles Sold.

Used EV market accelerates

Used EV volumes continued to grow strongly in 2025, with almost 1,000 vehicles sold, generating more than $35 million in sales – a substantial increase on the 330+ units sold in 2024. Fleet-managed EVs led this growth, recording an increase of more than 350 vehicles year-on-year, representing over 450 per cent growth in 2025.

The introduction of Battery State of Health testing in July 2025 has proven a turning point, driving higher buyer engagement, increased bid activity, stronger clearance rates and price resilience. Average Battery State of Health across all vehicles tested remains above 96 per cent.

“Battery transparency has fundamentally changed how buyers assess EVs. It's helped remove uncertainty and brought a much broader audience into the used EV market,” says Ronald.

Used EV Sales Volumes Figure 1e: Used EV Sales Volumes.

Affordability continues to shape demand

Affordability remains a central driver of buyer behaviour. For the fourth consecutive year, vehicles with an original RRP under $30,000 outperformed higher-priced segments, reinforcing a sustained “flight to value” as new vehicle prices continue to rise.

Price Index by RRP Bracket image Figure 1f: Price Index by RRP Bracket.

Outlook for 2026

With seasonality now re-established, Pickles expects used vehicle prices to strengthen through Q1 2026, peaking ahead of Easter, before softening into winter and recovering later in the year.

The key risk to this pattern remains elevated new-vehicle stock levels. Increased discounting and manufacturer incentives to clear ageing inventory could apply downward pressure on used values if supply continues to build.

Ronald adds: “The market is far more balanced than it has been in recent years. That creates opportunity – but it also means pricing discipline and timing will matter more than ever in 2026.”

Telsa electric car at Pickles

Is DC charging bad for your EV battery? The data says no!

Concerns about battery life remain one of the biggest psychological hurdles for potential EV buyers – particularly the belief that frequent fast charging will significantly degrade an EV battery. After testing more than eight hundred used EVs, Pickles can now confirm high levels of DC charging have only a marginal effect on battery health.

Battery health remains consistently high

Across more than 1,500 EVs tested, the average Battery State of Health sits at 96 per cent. Even vehicles driven more than 120,000 kilometres retain around 90 per cent battery health, reinforcing that modern EV batteries are proving more durable than many early predictions suggested.

These results also reflect broader market shifts. Used EVs at Pickles are selling for an average of $36,000 and are typically only two and a half years old with roughly 30,000 kilometres – signalling an increasingly accessible and active used-EV market driven in large part by end-user buyers.

DC Charging Effect on Battery Health image Figure 2a: DC Charging Effect on Battery Health.
The DC charging myth

A long-running myth suggests that too much DC fast charging will prematurely degrade an EV battery. Pickles' data demonstrates otherwise.

From a sample of more than 800 EVs, our analysis shows:

  • When comparing vehicles charged 0-10 per cent via DC with those charged 90-100 per cent via DC across their life, the difference in battery health is two per cent.
    • On average, vehicles tested showed a 36 per cent DC charge ratio, which corresponds to 96.4 per cent battery health.
  • Among vehicles aged two to four years with 20,000-80,000 kilometres, the difference is less than two per cent:
  • Tesla vehicles show an even smaller variance of around 1 per cent from minimal to extensive DC charging.

In other words, heavy reliance on DC fast charging does not meaningfully impact battery longevity in the real-world dataset we observed.

What this means for EV buyers

One of the biggest barriers to EV adoption has been the assumption that drivers without home charging will accelerate battery degradation. The Pickles dataset proves the opposite.

Drivers relying primarily on public charging networks – including DC fast charging – can confidently participate in the used EV market without fearing premature battery decline.

As the national charging network expands, these insights provide reassurance that EV ownership is viable for households without off-street parking, a critical factor for metropolitan buyers.

Trucks at Pickles

Electrification hits a turning point in heavy transport as EV and hybrid trucks gain momentum

Australia's heavy transport sector is shifting from cautious testing to meaningful early adoption, with clear signals emerging across EV, hybrid, and hydrogen uptake. While overall volumes remain small, fleet behaviour shows the transition is accelerating as new models arrive, prices fall, and major operators commit to decarbonisation.

“We're finally seeing data points that give operators confidence,” says Hugh Rainger, Trucks & Machinery National Manager at Pickles. “The industry is moving from curiosity to genuine planning.”

EV truck adoption accelerates

According to the MOV3MENT Electric Truck Report 2025, electric truck and van sales have surged – tripling in 2023 before rising to 278 sales in 2024, surpassing hybrids for the first time. Forecasts indicate around 300 sales in 2025, pushing Australia's total electric truck parc beyond 800 vehicles.

At the same time, market choice has expanded significantly, with available EV truck brands growing from three in 2023 to twelve in 2025, easing price pressures and improving suitability across use cases.

Early used EV trucks enter the market

Fewer than 20 used EV trucks have been sold through Pickles to date, but they are no longer treated as experimental assets. Most are two to five years old with 10,000 to 150,000 kilometres, primarily in smaller rigid categories suited to urban freight.

Asian OEMs have played a major role in enabling early adoption, offering competitively priced EV trucks that allow operators to test a single vehicle without restructuring entire fleets.

“Pricing has been a massive unlock,” Rainger says. “Operators can trial an EV truck without overexposing the business.”

EV trucks sold through Pickles have averaged $56,250 – totalling over $600,000.

Hybrid trucks remain a strong interim choice

Hybrid trucks continue to outsell EVs at roughly three to one, offering immediate efficiency gains with fewer operational changes. To date, Pickles has sold 36 hybrid trucks, generating over $600,000 in sales, at an average of ~$18,000 per asset.

For many operators, hybrids represent a practical “safe space” in the transition – retaining the familiarity, servicing confidence and range flexibility of internal combustion engines, while delivering measurable emissions and fuel savings through hybrid technology.

“Hybrids give fleets breathing room,” Rainger says. “They offer the comfort of an ICE powertrain that operators understand, while allowing them to step into renewable savings and emissions reduction without overhauling infrastructure or operations.”

As charging networks expand and vehicle availability improves, hybrids are increasingly being used as a bridge strategy – enabling fleets to reduce emissions today while preparing for a full transition to electric or hydrogen in the years ahead.

Hybrid trucks remain a strong interim choice image
Hydrogen remains longer term

Hydrogen trucks feature prominently overseas – supported by more than $4 billion in European truck-charging investment – but uptake in Australia is still several years away as infrastructure, servicing networks, and supply chains mature.

“Hydrogen is promising, but the runway is long. Pickles sold the first second-hand hydrogen truck in Australia in 2025, so we know there is demand in Australia,” Rainger notes.

Electric & Hybrid Truck Sales image Figure 3a: Electric & Hybrid Truck Sales.
Fleets strengthen their commitments

Major operators are driving momentum through public electrification goals, including Woolworths, IKEA, Australia Post, ANC Delivers, Toll, and Linfox, many supported by Australian Renewable Energy Agency's “Driving the Nation” program. These initiatives are shaping expectations for future valuations and influencing the used market.

Charging infrastructure reaches a milestone

Australia's first public electric truck charging site has opened in Geelong, with additional hubs underway in Sydney, Wollongong and Melbourne – signalling a shift from isolated depot trials to broader network-enabled operations.

What this means for the used market

As more alternative-fuel trucks reach remarketing age, Pickles anticipates:

  • clearer residual value benchmarks
  • growing buyer confidence as servicing capability expands
  • improved transparency through future truck-specific battery testing
  • increased adoption as model choice and infrastructure mature

“The next two to three years will set the pace for Australia's heavy fleet transition,” Rainger says. “Early indicators show growing buyer interest, improving operational confidence and clearer pathways to adoption.”

BYD electric car at Pickles

Why Australian EVs may have some of the healthiest batteries in the world

Australia could soon emerge as one of the world's strongest markets for long-lasting EV batteries – and climate may be the reason why. While charging habits play a role in battery degradation, global research shows that temperature is one of the most significant factors influencing long-term battery health. Extreme heat and extreme cold accelerate chemical ageing, especially when batteries are charged or stored outside their optimal range.

This is where Australia has a distinct advantage.

“Our climate gives Australian EV owners a natural head start,” says Brendon Green, General Manager – Automotive Solutions at Pickles. “Compared with regions that experience harsh winters or sustained heat waves, most Australian cities offer conditions that are highly favourable for battery longevity.”

Climate matters more than many owners realise

EV batteries degrade faster when routinely exposed to temperatures above 30°C or below freezing – particularly when vehicles are fast-charged, left fully charged, or stored for long periods. This exposes EVs in the Middle East, Northern Europe, Canada, and large parts of the US to higher natural degradation rates.

Australia, by contrast, benefits from a broad band of temperate and mild climates that minimise thermal stress and support healthier Battery State of Health outcomes over the long term.

How Australian capital cities rank for battery health

Climate modelling shows that six of Australia's seven capital cities fall within the world’s top locations for optimal EV battery life:

City Battery Health Outlook Notes
Hobart Excellent Cool, mild year-round temps; minimal heat/cold stress; very battery friendly.
Sydney Very Good Temperate coastal climate: hot days are rare; strong EV infrastructure.
Melbourne Very Good Variable weather but moderate overall; few prolonged extremes.
Perth Good Hotter summers, but low humidity helps; no severe cold.
Adelaide Good Hot dry summers: winters are mild; not overly stressful on batteries.
Brisbane Fair Subtropical humidity and frequent summer heat can impact battery longevity slightly.
Canberra Moderate Dry climate, but cold winters with frost; moderate summer heat.
Darwin Challenging High year-round heat and tropical humidity can accelerate degradation if not well-managed.

This climate advantage places Hobart, Sydney, Melbourne, Perth, Adelaide, and Brisbane among the top cities globally for EV battery longevity.

Why Australian EVs may have some of the healthiest batteries in the world image
Why this matters for Australia's used EV market

Pickles' national dataset shows the average EV Battery State of Health currently sits above 96 per cent – a benchmark that aligns with Australia's favourable operating conditions.

“Stronger battery health translates directly into stronger confidence for used EV buyers,” Green says. “If Australian EVs continue to show lower degradation rates than comparable overseas markets, we'll see long-term benefits for fleet operators, remarketers and private buyers.”

Managing batteries in hotter regions

Even in warmer cities such as Brisbane and Darwin, careful battery management can reduce degradation:

  • avoid parking in direct sun during heatwaves
  • choose EVs with active thermal management systems
  • avoid frequent 100 per cent charging
  • store vehicles at 40-60 per cent charge when unused

As more used EVs enter the secondary market, Australia's climate advantage may prove to be a defining factor in the long-term value and reliability of the national EV fleet.

Salvage cars at Pickles

Severe weather and EV growth reshape Australia's salvage market

A series of severe spring and early-summer thunderstorms has significantly reshaped Australia's salvage market, with repeated hail events across South-East Queensland and regional Victoria driving an increase in salvage volumes.

Large hailstorms impacting Brisbane, Logan, Ipswich, the Lockyer Valley, the Darling Downs, and Wangaratta resulted in widespread vehicle damage, with hailstones ranging from golf-ball to cricket-ball size. Thousands of vehicles were declared write-offs, flowing primarily through Pickles' Brisbane salvage sites, with additional volumes managed across Melbourne and other motor vehicle and truck locations.

“Hail events create a very specific salvage dynamic,” says Nick Johnson, General Manager – Salvage at Pickles. “Unlike flood or fire, these vehicles are typically mechanically sound, which makes them highly attractive to private buyers and repairers alike.”

For buyers, hail-damaged vehicles offer access to late-model cars at well below retail value, despite cosmetic damage. For insurers, strong buyer competition has delivered materially improved recovery outcomes, with returns often double those of traditional written-off vehicles. Several large unreserved hail auctions have already been conducted, with further sales scheduled through January and February.

EV salvage volumes surge, demand holds firm

Beyond weather-driven activity, 2025 has marked a step-change in salvage volumes overall. Pickles managed the sale of more than 160,000 salvage vehicles, including almost 1,000 electric vehicles. While internal combustion engine (ICE) salvage volumes increased by around seven per cent year-on-year, EV salvage volumes grew by more than 80 per cent, with a 45 per cent increase when comparing Q4 2024 to Q4 2025.

Salvage EV Vehicles Sold per Quarter image Figure 5a: Salvage EV Vehicles Sold per Quarter.
Salvage ICE Vehicles Sold per Quarter image Figure 5b: Salvage ICE Vehicles Sold per Quarter.

“What's encouraging is how stable EV salvage pricing has remained. That tells us the market understands these assets and is increasingly comfortable transacting on them,” says Johnson.

The EV salvage fleet is also maturing. Average vehicle age has risen from just over 2.5 years in Q1 2025 to close to three years by Q4, while average kilometres have increased from approximately 18,000 to nearly 25,000 kilometres.

Salvage buyer locations across 2025

Salvage Buyer Locations Across 2025 image Figure 5c: Salvage Buyer Locations Across 2025.