Australian EV sales double amid fuel price shock
Battery-electric vehicle sales in Australia jumped to 69,414 units in the three months to the end of June 2026, more than double the 34,435 recorded in the first quarter, according to the Australian Automobile Association's EV Index. Fully electric vehicles took roughly 21 percent of new-car sales in the quarter, with electric and hybrid models together accounting for about 49 percent, the data showed. The Canberra Times and ABC News both reported that the surge coincided with soaring fuel prices following the US-led war on Iran and the de facto closure of the Strait of Hormuz, alongside an influx of cheaper EV models. Internal-combustion-only vehicles fell to about 50.84 percent of June-quarter sales, down from 64.23 percent earlier in the year, with the ABC noting it was the first time in three years that pure electric sales exceeded hybrid sales.
Australian subsidy debate intensifies
Liberal deputy Jane Hume told ABC's Insiders that the figures showed EV subsidies introduced in 2023 had "run out of control" and that the market did not need additional government support. The Australian government announced in May's federal budget a phased wind-down of fringe-benefits-tax exemptions that had lowered EV prices, projected to save A$1.7 billion over four years. The ABC report noted the scheme had been adopted at a rate far beyond expectations and was expected to cost A$1.35 billion this year alone, against an initial A$90 million forecast. From April 2027, vehicles priced above A$75,000 will receive only a 25 percent discount, and from April 2029 all EVs below the luxury car tax threshold will get a 25 percent discount.
Hyundai and Kia top 100,000 European EV sales in H1
Hyundai Motor and Kia sold 131,032 electric vehicles in Europe in the first half of 2026, up 41.8 percent from 92,365 in the prior half, the companies said. The Korea Times reported that if the pace continues, combined annual sales could surpass 200,000 units for the first time since the pair entered the European EV market in 2014. Kia's EV3 led the lineup with 27,121 units, followed by Hyundai's Inster subcompact SUV at 16,594 and Kia's EV4 sedan at 14,502. The group, which offers 14 EV models in Europe, said cumulative sales on the continent passed 1 million units through May.
IONIQ 3 mass production ramps up in Turkey
Hyundai Motor Group Executive Chair Euisun Chung visited the Izmit plant on July 30 to inspect production lines ahead of IONIQ 3 mass production starting in mid-August, the Korea Times and Asia Business Daily reported. The compact hatchback is the group's first B-segment EV for Europe, with Hyundai targeting annual sales above 40,000 units and a European market debut in the second half of 2026. Built on the E-GMP platform, the vehicle features an "Aero Hatch" design optimized for European driving conditions and adopts the next-generation Pleos Connect infotainment system. The Turkey plant, which has an annual capacity of 200,000 vehicles, plans to expand EV output beyond the Ioniq 3.
California launches bidirectional EV pilot
California-based Bidirectional Energy is equipping 120 homes with vehicle-to-home (V2H) and vehicle-to-grid (V2G) hardware under a state-funded pilot program, The Cool Down reported. The project is intended to develop shared standards for bidirectional charging similar to those used for conventional EV chargers and home backup batteries. A single EV can store enough electricity to cover the needs of an average home for several days, though adoption remains limited because only some EV models currently support bidirectional charging. The pilot aims to clarify how such systems are connected, operated and approved across automakers, installers, homeowners and utilities.
Follow-up signals
Key near-term milestones include Australia's April 2027 EV tax changes, Hyundai's European market launch of the IONIQ 3 in the second half of 2026, and the early operational results of California's V2H and V2G pilot as it moves toward shared technical standards.
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