Toyota Australia’s top executive isn’t predicting continued dominance for the iconic Hilux ute. While acknowledging the enduring popularity of the workhorse, Sean Hanley, head of sales and marketing for Toyota Australia, declared that the country’s “peak ute” phase has likely passed. This prediction comes just as the outgoing HiLux topped October’s sales charts, beating out its longtime rival, the Ford Ranger. It even spurred an interesting dynamic where four dual-cab utes occupied spots within the top ten bestsellers for the month.
Hanley’s stance isn’t arbitrary. Despite overall ute sales rising in Australia throughout 2025—even as 4×2 models slow down, accounting for nearly one in five new vehicles sold—the tide seems to be turning. The Toyota RAV4 recently dethroned the HiLux as the brand’s top seller in 2024, with 58,718 units sold compared to the HiLux’s 53,499. This shift mirrors a broader trend: SUV sales are up by 6 percent year-to-date, outpacing the overall market’s sluggish growth of -1.1 percent between January and October.
This change in consumer preference is even more pronounced within the “Medium SUV” category where the RAV4 competes. This segment enjoys a healthy 1.3 percent increase year-on-year, while the light commercial segment (which includes the HiLux) has seen a smaller gain of just 0.3 percent.
Hanley emphasizes this consumer shift: “Recent VFACTS have indicated we’ve already seen a preference change, with RAV4 becoming our top-selling vehicle last year… This strength in sales has continued into the first half of this year. And even for a model currently running out before its replacement arrives, it will continue throughout – especially with the all-new RAV4 arriving in the first half of next year.”
The New Generation HiLux Faces Stiff Competition
Despite predicting a decline in the overall ute market’s dominance, Toyota remains confident in the new Hilux. The upcoming model is set to launch in Australia in December 2025 with diesel, battery-electric, and hydrogen fuel-cell versions confirmed for local showrooms. However, Hanley acknowledges the heightened competition brewing within this segment.
“The ute market… has been a two-horse race [between HiLux and Ranger], but there are new players entering the market,” he explained. These newcomers include established brands with fresh offerings like Kia’s Tasman and Chinese contenders such as MG U9, LDV Terron 9, BYD Shark 6 PHEV, and JAC T9 dual-cabs.
Hanley maintains Toyota’s faith in the HiLux’s ability to hold its ground: “But we remain confident that our Hilux will hold its own against the new competition and deliver on what Australians demand in a ute.”
The coming months will reveal whether this confidence is justified as the Australian market adjusts to these evolving preferences.
