Australia is the world’s second least expensive nation for automobile possession, research finds
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It could not look like it amid the price of dwelling disaster presently affecting most Aussies however, in keeping with new analysis, automobile possession is extra reasonably priced in Australia than every other nation bar one.
The analysis, performed by Scrap Automobile Comparability, analysed automobile possession prices in 98 international locations, together with the typical components like buy value, insurance coverage, gasoline, breakdown cowl, and restore payments, then in contrast them in opposition to incomes in every nation.
Utilizing the Toyota Corolla and Volkswagen Golf as its foundation, the research sourced June 2025 knowledge from Numbeo.com and Autocosts.data to find out the share of every nation’s common annual wage required to buy and run a brand new automobile.
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The US ranked as essentially the most reasonably priced nation by which to personal and run a automobile, with prices equating to 56.4 per cent of the typical yearly wage.
Australia adopted in second place, with automobile possession prices amounting to 61.8 per cent of the typical annual wage, adopted by Canada in third.
The Netherlands and Norway rounded out the highest 5, with automobile possession prices accounting for nearly two-thirds (89 and 88 per cent respectively) of the typical annual salaries in each international locations, a consequence which Scrap Automobile Comparability attributed to “low rates of interest and high-income ranges right here”.
Regardless of its fame for prime dwelling prices, the UK claimed the last spot within the high 10, with automobile possession costing 105 per cent of the annual common wage.
The highest 10 most reasonably priced international locations by which to personal a automobile:
| Rank | Nation | % of common yearly wage required to purchase and run a automobile |
|---|---|---|
| 1 | United States | 56.4% |
| 2 | Australia | 61.8% |
| 3 | Canada | 69.9% |
| 4 | Netherlands | 83.5% |
| 5 | Norway | 88.1% |
| 6 | Germany | 89.1% |
| 7 | Sweden | 90.5% |
| 8 | Finland | 95.5% |
| 9 | Eire | 105.0% |
| 10 | United Kingdom | 105.2% |
In distinction, the Philippines was ranked as the most costly nation, with automobile possession prices discovered to be practically 5 occasions the typical annual earnings there.
Scrap Automobile Comparability mentioned this was attributable to “import-dependent provide, excessive taxes, and weak infrastructure contributing to pressure on a inhabitants who usually have fairly a low earnings”.
The Philippines was adopted on the record of costliest international locations by which to personal a automobile by South American international locations together with Colombia and Brazil. Actually, out of the highest 10 costliest international locations by which to personal a automobile, the info confirmed 70 per cent are situated in Latin America.
Scrap Automobile Comparability customer support supervisor Matt Clamp mentioned the prices related to proudly owning a automobile have elevated internationally, and that the newest outcomes spotlight the huge variations in automobile possession affordability throughout most international locations.
The highest 10 costliest international locations by which to personal a automobile
| Rank | Nation | % of common yearly wage required to purchase and run a automobile |
|---|---|---|
| 1 | Philippines | 470.7% |
| 2 | Colombia | 466.1% |
| 3 | Brazil | 461.9% |
| 4 | Turkey | 444.3% |
| 5 | Ecuador | 412.1% |
| 6 | Peru | 373.5% |
| 7 | Argentina | 363.0% |
| 8 | Uruguay | 338.9% |
| 9 | Costa Rica | 304.1% |
| 10 | India | 289.0% |
“Whereas automobile possession will be prohibitively costly in lots of growing international locations – attributable to excessive import duties, taxes, and restricted financing choices – the image is much extra optimistic in a lot of Europe and the western world,” he mentioned.
“Entry to domestically manufactured automobiles, aggressive financing, and a well-established used automobile market signifies that proudly owning and sustaining a automobile is extra attainable than ever.
“Plus, environment friendly scrappage schemes and recycling packages guarantee older automobiles are responsibly retired, making room for cleaner, less expensive fashions on the street.
“What’s encouraging is that western infrastructure additionally helps not simply automobile possession, however automobile lifecycle sustainability – from first buy to last scrap. It’s a system that works properly for shoppers and the atmosphere alike.”
