Australia’s electric car war heats up with MG launching its first EV for less than $40,000 as China sales surge

Australia’s EV war is heating up with MG launching its first fully-electric car for less than $40,000 with help from rugby league stars Tom Burgess and John Sutton.

The MG4 Electric, with a starting price of $38,990 before on-road costs, is just $100 dearer than the BYD Dolphin, launched locally in June.

Both Chinese-made EVs are hatchbacks that are 4.3 meters long.

This new MG is also $5,000 cheaper than the MG ZS EV, Australia’s cheapest fully-electric SUV.

But it is $18,400 cheaper than the most affordable Tesla, Australia’s biggest selling all-electric brand, and was this year the UK’s second most popular EV.

Australia’s EV war is heating up with MG launching its first fully-electric car for less than $40,000 with help from rugby league stars Tom Burgess and John Sutton (left)

The MG4 Electric, with a starting price of $38,990 before on-road costs

The base Excite model MG4 Electric has a 51-kilowatt battery with a driving range of 350km on a single charge.

A more expensive model has a 64-kilowatt battery and up to 450km of range.

The MG4, called the MG Mulan in China, was unveiled last year as a potentially much cheaper challenger to the Tesla.

The South Sydney Rabbitohs, who MG sponsor, sent current player Burgess and ex-star Sutton to the Australian launch in beachside Maroubra on Thursday, pulling off the covers at the Heffron Center sports training ground.

MG, which makes cars in China, is Australia’s seventh most popular brand in 2023 so far, ahead of Tesla in eighth place.

It costs just $100 more than the BYD Dolphin, launched locally in June

Australia’s cheapest electric cars

BYD DOLPHIN: $38,890

MG4 ELECTRIC: $38,990

MG ZS EV: $43,990

BYD ATTO 3: $48,011

NISSAN LEAF: $50,990

TESLA MODEL 3: $57,400

TESLA MODEL Y: $65,400

The MG ZS, available in EV and petrol versions, was Australia’s third most popular car in July, before the Ford Ranger and Toyota HiLux utes.

The Tesla Model Y, priced from $65,400, came in at fourth place.

Tesla’s more affordable Model 3, starting at $57,400, has made occasional appearances this year in the monthly top 10 list from the Federal Chamber of Automotive Industries.

Battery electric vehicles had a seven per cent market share in July but two models in the top 10, from MG and Tesla, had fully-electric versions.

Chinese-made cars are the fastest growing segment with 15,853 sold in July, a massive 130 per cent increase compared with the same month in 2022.

The BYD Atto 3, priced from $48,011, is gaining a following.

The Nissan Leaf, priced from $50,990, is the only affordable Japanese-made EV in Australia until Toyota rolls out new models.

State governments also offer generous EV subsidies and stamp duty exemptions.

New South Wales has since 2021 offered a $3,000 rebate for cars worth up to $68,750 for personal use, and a stamp duty exemption for new and used electric vehicles worth up to $78,000 as part of its climate change plan.

The Greens want to ban the sale of new petrol and diesel cars from 2030.

This new MG (interior of MG4 Electric pictured) is also $5,000 cheaper than the MG ZS EV, Australia’s cheapest fully-electric SUV

But it is $18,400 cheaper than the most affordable Tesla (Model 3 pictured), Australia’s biggest selling all-electric brand, and was this year the UK’s most popular EV

Australia’s top selling cars in July

1. FORD RANGER: 5,143 sales up 75.3 per cent from 2,934 in July 2022

2. TOYOTA HILUX: 4,670 sales down 27.5 per cent from 6,441 in July 2022

3. MG ZS: 3,852 sales up 213.4 per cent from 1,229 in July 2022

4. TESLA MODEL Y: 3,330 sales. Sales data for July 2022 unavailable

5. TOYOTA RAV4: 2,750 sales up 12.8 per cent from 2,437 in July 2022

6. TOYOTA COROLLA: 2,145 sales up 8.2 per cent from 1,982 in July 2022

7. TOYOTA LAND CRUISER: 2,122 sales down 1.1 per cent from 2,146 in July 2022

8. ISUZU D-MAX UTE: 2,070 sales up 7.3 per cent from 1,930 in July 2022

9. HYUNDAI I30: 1,865 sales up 6.1 per cent from 1,758 in July 2022

10. TOYOTA PRADO: 1,836 sales up 75.4 per cent from 1,047 in July 2022

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