Toyota says good luck to any Chinese auto brand that has aspirations of becoming the Australian car market leader.

    The remarks from Toyota Australia’s sales chief come against a backdrop of aggressive forecasts from a number of relatively new arrivals from China, including BYD and MG.

    “I love their aspirations. I’ve heard all of the predictions and forecasts from other car companies and I wish them all the best,” said Sean Hanley, Toyota Australia vice president of sales, marketing and franchise operations, to CarExpert.

    “Australia is a very competitive market.”

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    He said Toyota will continue to fight to protect both its long-term sales leadership and a 20 per cent share of the local new vehicle market.

    “All I can do is control what we do,” Mr Hanley said.

    “We’re already a heartland brand. We have a culture with customers that goes back many years.

    “The legend of LandCruiser is very much alive. The legend of HiLux, too.”’

    As Mr Hanley works on a strategy to defend against the Chinese challenge, he’s also deeply involved in the day-to-day tactics for Toyota showrooms.

    He predicts a record sales result for 2024, which isn’t a surprise with Toyota returning closer to its 20 per cent market share after dipping closer to 15 per cent at times.

    “That’s way back. That’s only supply-related,” said Mr Hanley.

    “We have an aspiration always to maintain a share of 20 per cent. We believe that’s the sweet spot for the Australia market.

    “It’s not easy for us to get to. It’s a massive challenge for us.”

    Mr Hanley said Australian sales were now “normalising” after the disruptions through COVID, but he warned that monthly sales results are not a true reflection of demand for new vehicles.

    “What you’re seeing in reported sales is what is arriving. Not demand,” he said.

    “But wait times have certainly dropped to what you would call normal.”

    Mr Hanley said Toyota’s long-term commitment to hybrids is paying off hugely, with demand for the RAV4 Hybrid “defying gravity”.

    Toyota’s sales chief forecasts hybrids accounting for half of all Toyota sales, with electric vehicles settling at around 15 per cent over the longer term.

    “Hybrids are getting all the attention right now in the market. Plug-in hybrids are the future. EVs will continue to grow over the foreseeable future,” he said.

    Mr Hanley said it took 23 years for hybrids to reach their current popularity, but claimed it will be “more like 15 years” for EVs.

    “What will electric vehicles represent in the total market in that 15 years? Probably around 30-40 per cent,” he said.

    Paul Gover

    Paul Gover is one of the most experienced and respected motoring journalists in Australia. After more than 40 years on the automotive beat there is nothing he has not done, yet he still brings the enthusiasm of a rookie. He has worked in print, digital, radio, television and for every major publisher in the country. He is also a national motor racing champion and once co-drove with Peter Brock at Bathurst.

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