Signs of Slowdown Continue, But Market Holds Its Ground
After a softer first quarter, Q2 2025 has seen further easing across Australia’s truck and van market. According to the Truck Industry Council (TIC), 22,582 heavy vehicles were sold in the first half of 2025, a 12.1% decline from the record-setting pace of 2024. Still, this result marks the third-best first half on record, pointing to an industry that, while cooling, remains historically strong.
This report is based on official monthly data released by TIC and covers all major categories: Heavy Duty (HD), Medium Duty (MD), Light Duty (LD), and Light Duty Van (LDV), for the period from April to June 2025.
Q2 2025 vs Q2 2024: A Market Coming Off the Boil
Total vehicle deliveries in June reached 4,888 units, down from the record 5,461 posted in June 2024. Each of the three truck categories recorded quarterly declines, while the light duty van segment posted a modest gain in June but remained slightly behind last year’s Q2 result overall.
TIC CEO Tony McMullan acknowledged the slowdown and pointed to broader economic forces at play:
“While it was hoped that sales would remain strong, it is not surprising to see the market coming off these highs,” he said. “A federal election year, tight economic times, a lessening of demand for product and economic and general uncertainty being the key determinants for the drop in sales.”
Segment-by-Segment Breakdown
Heavy Duty (HD): Sustained Decline Across the Quarter
Heavy duty truck sales fell sharply in Q2, with 3,763 units delivered, a 24.4% drop from the 4,981 recorded in Q2 2024. In June alone, 1,481 HD units were sold, down 18.5% year-on-year. Total HD sales for the first half of 2025 now sit at 7,143 units, 1,626 fewer than at the same point last year, representing an 18.5% year-to-date decline. This continues the pronounced softening seen in Q1.
Medium Duty (MD): Slower Pace, But Less Volatility
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The MD segment posted a more moderate quarterly drop, with 2,034 units sold in Q2, an 11.4% decrease from the same period last year. June deliveries totalled 764, down 13.9% from June 2024. Year-to-date MD sales stand at 3,698, compared to 4,037 at this point in 2024, an 8.4% decline. This suggests that while demand has cooled, the medium segment remains relatively stable.
Light Duty (LD): Trucks Slip, Allowing Vans to Close the Gap
Q2 light duty truck sales reached 3,294 units, down 17.7% year-on-year. In June, 1,332 LD trucks were delivered, a 12.3% drop from the same month last year. For the first half of 2025, the segment recorded 6,222 units, 941 fewer than the 7,163 sold by this time in 2024. June also saw LD truck sales edge just 21 units above van sales, the narrowest gap ever recorded between the two categories.
Light Duty Vans (LDV): Holding Firm in a Softer Market
Van sales posted a rare highlight for June, with 1,311 LDVs delivered, a 5.7% increase over June 2024. Q2 van sales totalled 3,134 units, only 4.8% below the 3,292 recorded last year. The year-to-date result stands at 5,519, a 3.7% decline compared to 2024. The continued strength of this segment reflects sustained demand for urban delivery vehicles, even as broader market activity eases.
Looking Ahead: Uncertainty Looms Over the Rest of the Year
TIC’s outlook for the remainder of 2025 remains cautious. “It is hard to predict the next six months,” said McMullan, “although it is fair to assume that uncertainty will remain and that sales will not be as strong as were seen in 2024.”
Trust Retain Media for Industry-Leading Insights
As the second half of 2025 gets underway, we’ll continue tracking trends across all vehicle categories and market segments. Be sure to read our other market reports for a full picture of Australia’s automotive industry.
