Dealers Across Australia Are PANICKING — Nobody Wants These 15 Cars in 2026!

Added: 2026-05-26

[00:00:00]Walk into any car dealership in Australia right now and you'll notice something weird. The sales floor is packed. The lot is full, but nobody's buying. And when you look closer, you'll see the same cars sitting there month after month collecting dust, losing value, while the salespeople get more desperate by the day. These are cars that were supposed to be best sellers.

[00:00:20]Cars with massive marketing budgets.

[00:00:22]Cars that dealerships ordered by the hundreds because they thought they'd fly off the lot. And now they're stuck with them. Some of these vehicles have been sitting unsold for 8 n 10 months. The finance companies are getting nervous.

[00:00:36]Dealers are bleeding money on floor plan interest and manufacturers are quietly offering incentives that would make your head spin. Some of these will surprise you. Some you probably saw coming, but all of them tell the same story.

[00:00:51]Australian buyers have changed and these manufacturers didn't get the memo. The data on inventory turnover tells a clear story. Certain models are moving in days. Others are sitting for months. And the ones sitting the longest share common problems, pricing issues, reliability concerns, brand perception problems, or they're simply the wrong product for the current market.

[00:01:16]Understanding what's happening in the dealer network right now is important.

[00:01:21]Dealers don't actually own the cars on their lot outright. They're financed through what's called floor plan financing. Basically, the dealer borrows money from a finance company to stock their showroom and lot. Every month that car sits unsold, they're paying interest on it. When a car sits for 6 months, 9 months, a year, those interest payments add up to thousands of dollars. That's money straight out of the dealer's profit margin. This is why you're seeing increasingly desperate sales tactics.

[00:01:54]End of month pushes, end of quarter blowouts, dealer demonstrator sales.

[00:01:59]They're not doing this to be nice.

[00:02:01]They're doing it because every extra month a car sits on the lot cost them real money. Some of these are actually decent vehicles. But decent doesn't matter if nobody wants to buy them. The market has spoken and it said, "No thanks." All right, let's start with number one. And this one's going to be controversial. The Nissan Pathfinder.

[00:02:21]The seven-seater SUV segment should be strong. Families need space, but the Pathfinder isn't selling. Here's the problem. Nissan is asking $65 to $75,000 for a vehicle that feels dated. The interior materials are cheap. The infotainment system is laggy and frustrating. The CVT transmission, which Nissan refuses to move away from, has developed a reputation for reliability issues, and Australian buyers are aware of this. Dealerships ordered these thinking they'd compete with the Kuga and the CX9.

[00:03:00]Instead, they're sitting on lots with $15 to $20,000 in dealer discounts, and buyers still aren't interested. Reports from Sydney dealerships show Pathfinders sitting for 11 months or more. That's almost a year of paying interest on a depreciating asset. The resale data is brutal. 2-year-old Pathfinders are selling for 40 to 45,000, which represents a 35% drop. When potential buyers can see that depreciation pattern, they avoid the model entirely.

[00:03:34]Nobody wants to lose $25 to $30,000 in value over 2 years. Number two, the Volkswagen Tegan Allspace. This is Volkswagen 7 seat SUV and it should be selling well. It's German. It's well equipped. It's practical. So why is it struggling? Three reasons. First, it's overpriced at $55 to $65,000 for what's essentially a stretched tea gun. Second, Volkswagen's reliability reputation in Australia has taken a hit over the last 5 years. Buyers are concerned about expensive servicing and electrical issues that seem to plague VW models after the warranty expires.

[00:04:17]Third, the Kia Sarrento and Hyundai Santa Fe offer similar space, better warranty coverage of 7 years versus 3 years, and lower prices. dealerships have resorted to registering Tegan Allspaces as demo vehicles because they couldn't sell them as new. They're being used as loaners and test drives just to accumulate kilometers so they can be sold as demos at reduced prices. This means the dealer takes a significant loss, but it's better than paying floor plan interest for another 6 months.

[00:04:50]Number three, the Subaru Outback. Subaru has a loyal following in Australia, but the Outback is struggling. The problem is pricing and positioning. Subaru is asking $45 to $60,000 for a wagon. In a market where SUVs dominate, the traditional Outback buyer, farmers, and outdoor enthusiasts often find the new pricing out of reach. The base model might start at 45,000, but once you add the features that most people actually want, you're pushing 55 to 60,000, and buyers who can afford that pricing are choosing Foresters or competitors. The CVT transmission is another concern.

[00:05:35]While Subaru's CVT is better engineered than Nissan's, many Australian buyers still prefer traditional automatics in vehicles they plan to tow with or take off-road. The perception, whether fair or not, is that CVTs aren't as robust for heavyduty use. Dealers report that Outbacks move slowly, especially the higher trim levels. Base models have limited interest because they lack features. Topsp spec versions barely move at all because they're too expensive. The Outback has priced itself out of its traditional market. Number four, the Mazda CX30. A Mazda struggling might seem unusual, but the CX30 has a fundamental positioning problem. It sits between the CX3 and CX-5, creating market confusion. Buyers wanting a small SUV choose the CX3 because it's more affordable and easier to park. Buyers needing family space choose the CX-5 because it's more practical with better cargo capacity and rear legroom. The CX30 is stuck in the middle. It's expensive for its size, starting around 35,000 but quickly climbing to 45,000 for well equipped models. The back seat is cramped for adults and boot space is limited compared to what buyers expect from an SUV.

[00:07:02]Mazda dealerships are offering 5 to7,000 in discounts to clear inventory.

[00:07:08]Melbourne dealers report having 14 or more CX30S in stock at once, which is unusual for a Mazda product. Mazda built their reputation on making vehicles that people actually want. The CX30 missed the mark. Number five, the Mitsubishi Eclipse Cross. This was supposed to be Mitsubishi's comeback vehicle. Instead, it's highlighted their struggles in the Australian market. The styling is polarizing. That rear end with the split window design has received overwhelmingly negative feedback from buyers. It looks busy and awkward rather than distinctive. The interior feels cheap for a $40 to $50,000 vehicle with hard plastics in places where competitors use soft touch materials.

[00:07:59]And Mitsubishi's brand perception has declined to the point where buyer confidence is low. The brand that once sold Lancers and Peros in huge numbers is now seen as outdated and unreliable.

[00:08:13]Fair or not, that perception is reality in the marketplace. Dealers are offering $10,000 discounts, low interest rates, and free servicing packages.

[00:08:24]Yet, buyers are walking past them to look at Hyundai's and Kais.

[00:08:30]The Korean brands have successfully positioned themselves as offering better value, better features, better warranties, and better build quality than Mitsubishi.

[00:08:41]The resale value is catastrophic.

[00:08:44]Depreciation of 40% in the first two years puts it in luxury performance car territory for a mainstream Mitsubishi SUV. That's devastating. Buyers understand this and avoid the model.

[00:08:57]Number six, the Renault Kolios.

[00:09:00]Renault's market share in Australia has collapsed and the Kolios demonstrates exactly why. It's not a terrible SUV.

[00:09:09]Objectively, it has decent space, reasonable equipment levels, and adequate driving dynamics, but brand trust is non-existent. The service network is limited, particularly outside major cities. Resale value is poor because there's minimal market demand for used French SUVs, and French vehicles have a persistent reputation for electrical issues that Renault hasn't been able to overcome in the Australian market. Dealers are offering massive discounts, sometimes $15,000 off the sticker price. You can buy a brand new Kolios for less than a 3-year-old equivalent Japanese SUV. Yet buyers still avoid them because they understand the resale implications. That new Kolios might cost 40,000 today, but in 3 years it'll be worth maybe 22,000. That's $18,000 in depreciation on a $40,000 purchase. The math doesn't work. Number seven, the Honda HRV.

[00:10:13]This one's particularly disappointing because Honda built a strong reputation in Australia over decades. But the current HRV is failing in the market.

[00:10:24]Honda is asking $40 to $50,000 for a small SUV with a CVT transmission and a 1.5 L engine that struggles in Australian conditions, particularly on highways and when fully loaded.

[00:10:38]Meanwhile, competitors like the Mazda CX-5 offer more power, more space, and better transmissions for similar money.

[00:10:47]The HRV sits on dealer lots because test drives reveal it's not worth the asking price. The acceleration is inadequate, especially when merging onto highways or overtaking. The CVT is noisy under load, creating a droning sound that many buyers find unpleasant. And while the interior is practical with clever space utilization, the materials feel cheap for the price point. Some Honda dealers have stopped ordering new stock and are focusing on clearing existing inventory with whatever incentives are available.

[00:11:22]That's a bad sign for any model. Number eight, the Pujo 3008.

[00:11:28]French vehicles continue to struggle in Australia, and the 3008 is another example. It's stylish with interesting design elements, particularly the interior with its raised instrument display. But that's where the advantages end. Reliability concerns are significant based on owner reports and warranty claim data. Service costs are high, particularly for European spec parts. Resale value is terrible because demand for used French SUVs is minimal.

[00:12:00]And Pujo's dealer network has been contracting, which makes buyers nervous about long-term support. Buyers can spend 50 to 60,000 on a 3008 or buy a proven Japanese or Korean SUV for the same money and actually have resale value 5 years later. Most are choosing the latter option. The Pujo might be more interesting to drive and more distinctive to look at, but Australian buyers prioritize reliability and resale over style. dealerships report having the same 3008s in stock for over a year.

[00:12:38]Huge discounts and low rate financing aren't moving them. At some point, the dealer has to cut their losses and wholesale the car to a used car dealer, taking a substantial loss in the process. Number nine, the Jeep Compass.

[00:12:54]Jeep faces serious challenges in Australia, and the Compass exemplifies these problems. It has wellocumented reliability issues, expensive servicing requirements, and depreciation that's faster than almost any other segment.

[00:13:09]The Compass targets buyers wanting a ruggedl looking small SUV with the Jeep brand cache, but research reveals it's not truly capable off-road, has frequent mechanical and electrical issues, and ownership costs are high. The fuel consumption is poor for a small SUV. The interior quality doesn't match the price point, and the driving experience is mediocre at best. Dealers report Compass models sitting for 6 to 8 months.

[00:13:39]They're taking significant losses to clear inventory. Some dealerships have stopped ordering new stock entirely, focusing instead on Jeep's more successful models, like the Grand Cherokee. JD Power reliability ratings consistently place Jeep at or near the bottom. Australian buyers research before purchasing and they're finding this information. The brand's reputation is suffering and the Compass is bearing the brunt of that damaged reputation.

[00:14:09]Number 10, the Volkswagen Arteon. This is Volkswagen's premium sedan positioned above the Pat and it's a complete sales disaster. Sedans are already struggling in Australia as buyers shift to SUVs and the Arteon is struggling within that declining segment. It's an attractive car with good driving dynamics and solid build quality, but Volkswagen is asking 65 to $80,000 for a front-wheel drive sedan when buyers can get a BMW 3 series or Mercedes C-Class for similar money.

[00:14:44]Those German premium brands offer rearwheel drive or all-wheel drive, stronger brand prestige, and better resale value. or buyers can get a much more practical SUV for the same money.

[00:14:58]Dealerships report Ardons with $20,000 in discounts still sitting unsold. Some units have been in stock for 14 months, which is extraordinary for a new vehicle. The carrying costs on a vehicle sitting that long are substantial.

[00:15:15]Number 11, the Nissan Navara. Utes remain popular in Australia, particularly with tradies and families who need towing capacity. But the Navara is being crushed by superior competition. The Ford Ranger, Toyota Hilux, and Isuzu D-Max dominate the segment completely. The Navara simply can't compete on the metrics that matter to ute buyers. It has reliability concerns, particularly with twin turbo diesel engines and transmission issues.

[00:15:47]Towing capacity isn't as competitive as the Ranger or Hilux and resale value has declined sharply as buyers lose confidence in the model. Tradies, the core buyers for UTS, communicate extensively about which models are reliable and which ones cause problems.

[00:16:06]Word of mouth in the trades is powerful.

[00:16:09]When Sparky's and plumbers are telling each other to avoid Navarus, that has a real market impact. Dealers are offering 10 to 12,000 in discounts. Fleet deals for businesses buying multiple vehicles are becoming increasingly aggressive with discounts approaching 15,000 per unit. Yet, Rangers and Hiluxes continue to sell at or near full price while Navaras accumulate on dealer lots.

[00:16:37]Number 12, the Sangyong Rexton. Brand recognition is the fundamental problem here. Most Australians have never heard of Sang Yong. The Korean company has attempted to enter the Australian market for years, and the Rexton is their large SUV offering. Objectively, it's not a bad vehicle. It has seven seats, four-wheel drive capability, decent towing capacity of 3,500 kg, and competitive pricing starting around 45,000.

[00:17:09]The warranty is 7 years which matches Kia and Hyundai but brand awareness is essentially zero. Buyer trust doesn't exist and resale value is so poor that initial pricing becomes irrelevant. A Rexton might cost 50,000 new but in 3 years it'll be worth maybe 28,000.

[00:17:31]That's 22,000 in depreciation or 44%.

[00:17:35]Compare that to a Toyota Kuga, which might cost 65,000 new, but hold 70% of its value, making it worth 45,000 after 3 years. The Kuga buyer loses 20,000.

[00:17:49]The Rexton buyer loses 22,000 despite starting with a much cheaper vehicle.

[00:17:55]Dealers struggle to even generate test drive interest. They're offering discounts of 15 to 20,000 just to move inventory, but without brand equity, sales don't materialize. People don't want to be the person who bought the car nobody's heard of. Number 13, the Alfa Romeo Stelvio. Alfa Romeo produces beautiful, emotionally engaging vehicles with Italian styling and genuine driving passion. The Stelvio is gorgeous and drives exceptionally well, particularly the Quadrifoglio performance variant.

[00:18:30]Yet sales are minimal. The reasons are well understood. Reliability concerns based on owner reports, high service costs at specialized dealers, limited dealer network, particularly outside major cities, and resale value that's poor even by luxury car standards. A Stelvio costs $70 to $90,000 depending on specification.

[00:18:54]Alternatively, buyers can get a BMW X3, Mercedes GLC, or Audi Q5 with better reliability track records, superior service networks, and significantly better resale value. The BMW might cost the same upfront, but it'll be worth $15,000 more after 3 years. That difference matters to buyers.

[00:19:19]Alpha dealerships have inventory sitting for over a year. The depreciation is so severe that buyers who purchase new often find themselves with negative equity within 18 months, owing more on the loan than the car is worth. Number 14, the Citroen C5 Airross. This is French car number three on this list, which tells you something about how French brands are performing in Australia. Citroen is attempting a comeback and the C5 Airross is their primary offering. It features interesting progressive hydraulic suspension technology and distinctive French design. But the reality is harsh.

[00:20:00]Buyers spending 45 to 55,000 on a family SUV want reliability, practicality, and resale value. The C5 Airross delivers none of these things. The suspension technology is interesting from an engineering perspective, but it's also another complex system that can potentially fail and be expensive to repair. The service network is limited with dealerships only in major cities.

[00:20:30]Parts can be expensive and slow to obtain, and attempting to sell one privately in 3 years will be extremely difficult. The resale market for French SUVs in Australia is virtually non-existent.

[00:20:44]Private buyers don't want them and dealers don't want to take them in trade.

[00:20:49]Dealers are experiencing significant losses on these vehicles. Large discounts aren't effective because the fundamental issue is brand trust.

[00:21:00]French cars had their moment in Australia decades ago, but that moment has passed. And finally, number 15, the Haval Jolon. This Chinese SUV from Great Wall Motors represents the challenge Chinese brands face in Australia.

[00:21:17]They're affordable and well equipped, offering features at price points that seem too good to be true, but buyer trust is absent. The Jolian costs 28 to $38,000, which is remarkably cheap for the features included. You get a turbocharged engine, modern safety features, decent infotainment, and a 7-year warranty. But Australian buyers remain skeptical. There are concerns about build quality, long-term reliability, and parts availability. And buyers understand resale value will be poor. Chinese cars face a perception problem. In Australia, buyers remember earlier Chinese vehicles that were genuinely poor quality. While newer Chinese cars have improved dramatically, that reputation persists.

[00:22:08]Breaking through that perception barrier is proving extremely difficult. Havvel dealers are trying everything. Extended warranties beyond 7 years, free servicing packages, massive discounts approaching 10,000 on some models. But overcoming brand perception requires time and proven reliability, neither of which Havl has established yet in Australia. All right, before we continue, if you're finding this valuable, hit that subscribe button.

[00:22:38]Videos drop every week with insider automotive knowledge that dealers don't advertise. Next week's topic is which new cars have the highest markup and where dealers make the most profit. Drop a comment below if you've seen any of these cars sitting at your local dealership. Your observations might help someone avoid an expensive mistake.

[00:23:02]Share this video with anyone who's car shopping right now. This information could save them from buying a vehicle that'll lose 40% of its value in 2 years. So, what does all this mean for buyers? If you're considering any of these 15 cars, there's significant negotiating power available right now.

[00:23:22]Dealers are motivated to clear inventory. They're paying interest on floor plan financing every month. They need to clear space before new model years arrive and before their quarterly targets are evaluated. Deals that were impossible 2 years ago are now available. But consider carefully why a vehicle that nobody else wants might not be the best purchase decision.

[00:23:45]Poor sales usually have valid reasons behind them. Research is essential before making any car purchase. Check reliability ratings from sources like JD Power and Consumer Reports. Examine resale values using data from Redbook or Glasses Guide. Talk to current owners in online forums about their experiences.

[00:24:08]Don't buy solely because the discount looks attractive.

[00:24:13]The discount might look great today, but if the car loses 40% of its value in 2 years instead of 25%, you haven't saved money. You've lost more money than you would have by buying a more popular model at full price. Conversely, if you're shopping for popular models not on this list, expect to pay full price or close to it. The Toyota RAV 4, Ford Ranger, Mazda CX-5, Kia Sportage, Hyundai Tucson. These vehicles command full price because dealers can sell them continuously. There's no motivation to discount when there's a waiting list for certain models. The Australian car market is challenging right now.

[00:24:57]Interest rates have increased substantially from historic lows. Cost of living is squeezing household budgets. and buyers are being more cautious and doing more research before committing to large purchases. The cars on this list are casualties of that increased caution. Some brands will recover. They'll refresh the models, address the issues, rebuild brand perception. Others won't. Some of these cars might be discontinued from the Australian market entirely if sales don't improve.

[00:25:32]But right now in 2026, these are the 15 vehicles causing dealer panic. There are millions of dollars tied up in inventory that buyers are avoiding. And that panic creates opportunities for informed buyers who know how to negotiate effectively and understand the long-term implications of their purchase. Thanks for watching. Hit that like button if this was helpful. Subscribe for more insider automotive content that gives you the information you need to make smart buying decisions. And remember, just because a car has a massive discount doesn't automatically make it a good deal. Sometimes things are cheap for a very good reason, and that reason is usually that nobody wants them. See you in the next