GAC launches in Australia this month with a small SUV and a mid-size SUV, which will compete in two of the highest volume sales segments in our market, but also features a people mover.
People movers, also called MPVs or minivans, are popular in markets such as China and Japan, where they are often used as executive transportation. However, they are significantly less popular in Australia, where they are generally considered family haulers for kids to get dirty and sticky in.
The plug-in hybrid GAC M8 will enter a broader people mover segment with 17 models but one that is absolutely dominated by just one, the Kia Carnival, which held a whopping 74 percent share last year.
And while the people mover segment in Australia has generally been on an upward trend since a dire slump in 2020, just 13,654 of these practical family transporters reached Australian buyers last year.
With Daily Sparkz you can save thousands on a new car. Click Here to get a great deal.
That’s more than the entire sports car segment (10,633), but less than the midsize midsize cars (24,740) and light cars (26,317).
Nevertheless, GAC is following in the footsteps of its Chinese brand colleagues Zeekr and including a people mover in its model range from the start.
“Yes, in Australia there are only a few brands that offer an MPV. This is a very similar situation in China maybe ten years ago,” said Cheney Liang, deputy general manager of GAC Australia Daily Sparkz.
“Before the M8 (launched in China), only the (Honda) Odyssey was the most popular model. But after the M8 comes out, it actually expands the market, the market becomes bigger than before.”
“I think after the M8 comes to the Australian market there will be some changes in customers because at this point in the carnival… Most customers are from an Asian background but there has already been a bit of a change. Australians are starting to buy (people movers).”
GAC Australia has not yet announced pricing and specifications for any of its models, but that information is expected to be released later this month.
The M8 was launched in China in 2017, with the current generation following in 2022.
Car news China reports that the M8 was one of the best-selling people carriers in China in 2024, behind the Denza D9; the Toyota Sienna, manufactured by the GAC Toyota joint venture; its Granvia twin, which, unlike the defunct Australian market Granvia, is a slightly redesigned Sienna manufactured by the FAW Toyota joint venture; and the perennially popular Buick GL8.
It also managed to outsell the Honda Odyssey by more than two to one.
The Australian people mover market is very diverse. The Carnival has long dominated here, solidifying its market share as once-popular competitors like the Toyota Tarago and Honda Odyssey exited the local market.
Although rivals such as the Ford Tourneo and Hyundai Staria have entered the market in recent years, nothing has been able to shake the Kia’s iron grip on the market segment.
Even a price-competitive competitor from China, the LDV MIFA, has hardly provided any relief. As of the end of October, only 166 of them had been delivered this year, while its electric sister model MIFA 9 recorded a negligible three deliveries.
The M8 is expected to be cheaper than the electric MIFA 9 and its rival Zeekr 009, the latter of which only saw 104 deliveries this year.
GAC’s MPV offering features plug-in hybrid power, something not yet available in this segment in Australia. Instead, competitors offer either petrol, diesel, hybrid or electric drives.
Unusually, GAC has chosen to prioritize a people mover over passenger cars, even though light, small and medium cars are generally more popular here.
“Before deciding which products to come to Australia, we had to do some research and found that the market share in the passenger car segment is declining. So we decided to bring the most popular products here – SUVs first,” Mr Liang said.
“We have not yet decided on all the models that will come in the future. There might be a chance if the customer needs it.”
GAC offers a wide range of passenger cars under its brands GAC Auto/Trumpchi, Aion and Hyptec.
These range from the small electric hatchback Aion UT to the aggressively styled mid-range sedan GAC Empow to the wild super sports car Hyptec SSR.
GAC Australia will offer models from all three brands under the GAC banner, but has not yet confirmed which vehicles it will launch after the first trio due out this year – only that there will be eight models for sale by the end of 2027.
The development of right-hand drive vehicles does not represent an obstacle for the brand.
“We have already designed the platform, which we call the global platform, which can support both right-hand and left-hand drive vehicles. Besides, we have many right-hand drive markets,” Mr Liang said.
Accordingly Analysis of the automotive industryIn 2024, GAC was the 11th best-selling car company in China. Aion was the best-selling of its three brands and ended the year as China’s 20th best-selling car brand with 349,550 sales – just behind GM’s Buick (367,412) and GWM’s Haval (383,857).
MORE: Why the “Chinese Toyota” thinks it will sell out wildly in Australia
MORE: GAC confirms three Australian launch models
