HON ANDREW HASTIE MP

FEDERAL MEMBER FOR CANNING

SHADOW MINISTER FOR HOME AFFAIRS

MEDIA RELEASE 

LABOR’S NEW CAR AND UTE TAX HITS LOCAL FAMILIES AND BUSINESSES

2 July 2025

Labor’s new tax on family cars and utes came into effect yesterday—and hardworking Australians will pay the price. 

Federal Member for Canning Andrew Hastie MP said the Albanese Government’s New Vehicle Efficiency Standard will drive up the cost of popular petrol and diesel vehicles by thousands of dollars.

“Labor’s car tax is a direct hit on families, tradies and small businesses in communities like ours,” Mr Hastie said.

“We’re in a cost-of-living crisis, and Labor is making it worse. Australians will be forced to pay up to $17,000 more for the cars and utes they rely on every day. It punishes people who don’t want—or can’t afford—electric vehicles. All it does it take away choice and adds financial pressure to those already struggling.”

Modelling has shown the tax will increase the cost of some of Australia’s most popular vehicles by 2029:

• $12,756 extra for a Mazda CX-5
• $11,957 extra for a Mitsubishi Outlander
• $4,900 extra for a Toyota RAV4
• $7,806 extra for a Toyota Prado
• $17,400 extra for a VW Amarok
• $14,406 extra for a Ford Ranger
• $16,800 extra for a Toyota Hilux
• $12,913 extra for a Hyundai Kona
• $9,408 extra for an Isuzu Ute D-Max
• $13,111 extra for a Kia Sportage

Mr Hastie said it shows a complete disregard for regional and outer suburban Australians.

“People across the Peel Region depend on reliable cars and utes to get to work, to take the kids to school, and run businesses,” Mr Hastie said.

“This is all about ideology, not common sense. It punishes the very people who keep our economy moving.

“Australians should be free to choose a vehicle that works for them, not forced into decisions by Canberra.”

[ENDS]