For decades, the people mover (MPV or minivan) has been a niche vehicle in Australia, largely relegated to families, airport shuttles, and rental fleets. Australian buyers have historically favored SUVs, leaving the MPV market small—under 15,000 annual sales—and dominated by the Kia Carnival. However, a wave of Chinese automakers is betting that 2026 will be the year the people mover gains traction, introducing luxury, high-tech models that challenge the status quo.
The Global Shift and Australian Resistance
The people mover once thrived in markets like Europe and the US, but its popularity waned as SUVs rose. Australia followed this trend, with brands like Toyota and Honda withdrawing their MPV offerings. The Kia Carnival now commands over 73% of the Australian MPV segment, yet the overall market remains modest compared to passenger cars.
This resistance to MPVs in Australia is cultural; they are often perceived as unstylish compared to SUVs. Yet, in China and Japan, people movers remain prevalent, evolving into lavish vehicles with features like massaging seats, digital screens, and even refrigerators.
The Chinese Influx: Luxury and Electrification
Chinese brands are leading the charge to revive the MPV in Australia. LDV launched the electric MIFA 9 in 2023, starting at over $100,000, while Zeekr followed with the 009, priced from $135,900. Despite high prices, these models have emboldened other Chinese automakers to enter the market.
GAC Australia believes that Chinese MPVs can expand the segment, pointing to their success in China, where they have changed buyer preferences. The GAC M8, a plug-in hybrid, is the latest entry, offering luxury features like heated and massaging seats. Xpeng’s X9, due in 2026, promises advanced tech with an 800V architecture and air suspension.
Hesitation and Strategic Entry
Not all brands are fully committed. Denza has obtained approval for the D9 MPV but is prioritizing SUVs for its initial Australian launch. The company cites the small luxury MPV segment as a reason for caution. Other brands, like GWM (Wey), plan to introduce MPVs alongside their SUV lineup, while Geely and BYD have models available in other markets but no immediate plans for Australia.
The Future of Australian MPVs
The influx of Chinese MPVs is reshaping the market, with manufacturers betting on a shift in consumer preferences. Whether this gamble will pay off remains uncertain. Despite low initial sales, the growing availability of high-end MPVs may attract buyers seeking luxury, space, and advanced technology.
The success of these vehicles will depend on convincing Australians that MPVs can be more than just family haulers; they can be premium, desirable modes of transport.
