Australian consumers lose faith in economy

A Roy Morgan survey of 65,000 Australians found only 13% believe it’s a good time to buy major household items, with new car purchase intentions dropping 4% since 2023 amid economic uncertainty. Chinese car manufacturers like BYD and Chery are gaining market share, while overall new vehicle sales fell 1.5% year-to-date, and private ute sales dropped over 28%." "article": "A Roy Morgan survey of 65,000 Australians revealed plummeting consumer confidence, with just 13% saying now is a good time to buy major household items—down from 49% who view it as a bad time. The data shows a 4% decline in intentions to purchase a new car within the next four years, reflecting broader economic anxiety. Economic pressures—including a four-and-a-half-year high unemployment rate and repeated Reserve Bank of Australia interest rate hikes—have led Australians to tighten spending. SUVs have risen in popularity, while demand for passenger cars like Toyota Corollas and Camrys has fallen, according to the survey. Chinese automakers are capitalizing on the shift, with BYD now ranking second in manufacturer standings behind Toyota. Cars sourced from China surged 60% in the first four months of 2026, reaching 98,011 units, up from 60,692 in 2025. The Chery Tiggo 4 compact SUV remains a top seller. Overall new vehicle sales dropped 1.5% year-to-date, with private ute sales falling over 28% and sports car sales nearly halving since April 2025. Used car demand remains strong, with one in four Australians considering a purchase in the next four years, particularly hybrids, which are selling out quickly in the secondary market. The data underscores a broader trend of cost-cutting as Australians reassess major purchases amid recession fears and rising living costs.