After two consecutive years of record-breaking growth, Australia’s new truck market has eased slightly in the first quarter of 2025. According to the latest Truck Industry Council (TIC) T-Mark report, total deliveries for January to March reached 10,356 trucks and vans — a 6.9% drop compared to the same period in 2024.
Despite the decline, Q1 2025 still ranks as the third best start to a year on record, surpassed only by the exceptional results posted in Q1 2023 and Q1 2024.
Heavy Duty Trucks Lead the Decline
The largest pullback occurred in the Heavy Duty Truck segment. March deliveries totalled 1,363 units — down 11.1% or 170 trucks compared to March 2024. Over the full quarter, 3,380 heavy trucks were delivered, representing a 10.8% decrease year-on-year.
This segment, which includes prime movers and larger rigid trucks used in long-haul freight and construction, was the first to show signs of slowing and remains the most impacted segment in early 2025.
Medium Duty and Light Duty Also Fall
Medium Duty truck sales have softened as well, though less dramatically. March 2025 saw 623 units delivered, down 4.6% from the same month in 2024. Quarterly sales sit at 1,664 units — a decline of 4.4% compared to the first quarter last year.
Light Duty trucks — covering smaller rigids with a Gross Vehicle Mass (GVM) between 3.5 and 8 tonnes — are also down. March sales dropped 7.4% year-on-year to 1,177 units. For the quarter, 2,935 light trucks were delivered, also down 7.4%, or 235 fewer trucks than in Q1 2024.
Vans Defy the Trend — But Only Just
In contrast to the truck segments, Light Duty Vans offered a bright spot. March sales rose 9.1% year-on-year, with 962 units delivered — 80 more than March 2024. However, even this segment has dipped slightly overall for the quarter, with total deliveries of 2,385 units marking a 2.1% decrease.
This moderation follows a record-setting performance in 2024, when Light Duty Van sales reached new highs.
Industry Commentary
Tony McMullan, CEO of the Truck Industry Council, noted that while all heavy vehicle segments have declined year-to-date, the overall market remains robust.
“All segments are down thus far in 2025 with the most noticeable decline happening at the heavy end of the market,” McMullan said. “However, despite slowing sales this year when compared to the record sales witnessed in 2024, the market remains quite strong, with the quarter one 2025 result the second best start to a year on record.”
He also highlighted the added uncertainty brought by the upcoming federal election on 3rd May.
“Given the potential financial market volatility that we have historically seen in a federal election year, the current heavy vehicle market’s strength and resilience is pleasing to note. However, this will no doubt be tested over the course of the next few months.”
Market Outlook
While a 6.9% drop may suggest a cooling phase, it’s important to view this within the context of two extremely strong years. Supply chain improvements, pent-up demand post-COVID, and business investment incentives contributed to record sales in 2023 and 2024. The first quarter of 2025 marks a return to more normalised conditions.
Operators, manufacturers and industry watchers will be closely monitoring how market confidence holds up through the election period and into the second half of the year.
