Nissan “can do better” with its slow-selling Tesla Model Y rival as it eyes other new EVs

Mid-size electric SUVs are hot property in Australia, with the Tesla Model Y consistently being one of the best-selling models in the market, but the rival Nissan Ariya can’t catch a break.

When asked about which Chinese-made products from its Dongfeng joint venture Nissan Australia could bring here, Nissan Oceania managing director Steve Milette said: “In our market, what’s growing is medium SUV. What’s growing within that? The battery-electric vehicle part of medium SUV is growing quickly. We’re very interested in that product.”

Nissan already has a mid-size electric SUV though, in the Ariya, and its sales have been stagnant.

The Ariya was first revealed in 2020 before it entered production in 2022, but it didn’t arrive here until late in 2025 after repeated delays.

It’s priced from $55,840 before on-road costs, which sees it undercut the base Tesla Model Y Premium RWD ($58,900 plus on-roads) and go toe-to-toe with the entry-level BYD Sealion 7 Premium RWD ($54,990 plus ORCs).

Despite its competitive base price, Nissan has delivered just 219 Ariyas this year to the end of August, more than the rival Ford Mustang Mach-E (167) but less than the Toyota bZ4X (2509) and Sealion 7 (17,277) – let alone the segment-leading Tesla Model Y (31,454).

“It was never going to be a big-volume product. Would we like to sell more? Sure. And at the end of the day it’s a very competitive space too, and so we see the pricing come through really strong and I think that’s resonated well,” said Nissan Oceania senior corporate communications manager Angus Thompson.

“We can do much better on Ariya, that’s for sure,” added Mr Milette.

“We have more consistent advertising than we did even six months ago. We’ve entered the novated lease space. And if you look at all these novated leasing companies, for a lot of them 90 per cent of what they’ve been selling since the rise in fuel prices are EVs.

“And so I think there’s the product piece but then there’s the sales channel piece that we need to be present in and more aggressive with them, and we’ve now entered that space.

“I feel more confident about the future of Ariya than maybe where we just came from.”

He declined to confirm when the facelifted Ariya, now on sale in markets such as Japan and the UK, will be introduced Down Under. It was first revealed 12 months ago.

In addition to new front-end styling, the updated Ariya has received a new-generation NissanConnect infotainment system with Google Built-in, plus vehicle-to-load (V2L) capability, new exterior colours and wheel designs, and an available white-and-green interior colourway.

It has also received retuned suspension, intended to improve ride comfort by reducing vibration and movement.

But Nissan is looking beyond the Ariya as it plans to increase its presence in the Australian EV market.

This doesn’t necessarily involve the return of the Leaf, which was revealed last year in third-generation guise – now with a coupe SUV body style – and subsequently confirmed for our market, before being delayed indefinitely.

“I think it’s just the business case, at the time it didn’t pencil, it didn’t make sense,” said Mr Milette.

“And I think the business case today has not really changed. So is it possible? Yes. Is it going to happen next week? No. Because the conditions on our side haven’t really changed.”

He said there were a lot of different variables impacting the Leaf’s chances for Australia, beyond simply its sourcing from the UK.

“We’re evaluating other potential EVs. Nissan was an EV pioneer, we’ll continue to be in the EV space,” said Mr Milette.

“Three years from now, will we sell more EVs than we do today? For sure we will. We just need to make the right announcements at the right time, but we’ve got some EVs in the pipeline that we’re evaluating the business case.”

Nissan has confirmed it’s evaluating a raft of models from its Chinese-market lineup, including the medium-to-large NX8 crossover SUV which is available with both electric and extended-range electric powertrains.

It has yet to confirm which Chinese Nissans it’ll launch here, though the plug-in hybrid Frontier Pro dual-cab ute has been spied testing and shown to dealers here.

MORE: Explore the Nissan Ariya showroom