The Tesla Model Y has been named the overall winner of Drive’s 2026 Car of the Year awards, marking the first time the electric SUV has claimed the prestigious title.
Drive’s judging panel recognised the Model Y for improvements to its driving technology and accessibility, particularly the introduction of Tesla’s Full Self-Driving (Supervised) technology in a vehicle priced under $60,000.
\”The Tesla Model Y is not only a globally successful car, but now a locally successful one,\” Drive Director of Content James Ward said. \”Australian new car buyers have endorsed it, with the Tesla Model Y Australia’s best-selling electric vehicle and a top 10 selling model overall in 2025.\”
The overall Drive Car of the Year award recognises the vehicle that \”moves the game forward the most for Australian new car buyers\”. Ward noted the Model Y’s forward-thinking approach elevates expectations for current and future car buyers.
\”The recent updates are significant. It is an incredibly well-equipped, practical and affordable family car, now with a 5-year warranty, and when combined with Australia’s most reliable EV charging network, makes electric vehicle ownership easier and more accessible than ever before,\” Ward said.
Consumer attitudes shifting gradually
Despite the Model Y’s recognition, Drive’s latest consumer research shows around 60% of Australians say they are not ready to consider buying an electric vehicle. However, Generation Y shows greater openness, with 54% willing to consider an electric vehicle for their next purchase and 40% open to buying from new market entrants, including Chinese brands offering new-energy vehicles.
Ward highlighted a significant industry milestone reached at the end of 2025, when sales of electrified new vehicles – including hybrid, plug-in hybrid and full electric models – surpassed pure petrol cars for the first time.
\”Hybrid sales alone have grown 102% in the past two years, with buyers now understanding the week-to-week benefits of lower fuel consumption,\” Ward said.
New brands gaining recognition
The shift towards electrification is reflected across the 2026 awards, with only two of the 18 category winners unavailable with electric or hybrid power options – both diesel four-wheel drives.
New brands are also making their mark, with Zeekr earning its first trophy and BYD winning two awards in the 2026 program.
Drive CEO Simon Halfhide said the awards program provides valuable guidance for consumers navigating an increasingly complex market, with Australia now home to over 70 automotive brands compared to 50 five years ago.
\”Our Drive Car of the Year program continues to grow in value to Australian drivers each year,\” Halfhide said. \”With many consumers finding the expansive choice of brands and cars overwhelming, the awards provide a trusted and valuable shortlist, with authoritative and firsthand advice to help kick start their research journey.\”
Lifetime Achievement awards introduced
For the first time in the awards’ history, Drive has introduced Lifetime Achievement awards, recognising two vehicles that have won their respective categories for six consecutive years.
The Defender 110 receives the award for Best Luxury Off-Road SUV Under $150,000, while the Kia Carnival claims the Best Family Car Under $80,000 honour.
\”There are two cars that have won awards in their respective categories consecutively over the last 6 years and frankly remain uncontested,\” Ward said. \”This honour goes to the Defender 110 and the Kia Carnival, which continue to provide unique and different value to buyers.\”
Hyundai emerged as the most successful individual brand in the 2026 category awards, following its overall win in 2025. The Korean manufacturer secured awards for the new Palisade in the Best Seven-Seat SUV under $90,000 category, while luxury sub-brand Genesis saw the GV70 take its second consecutive award.
The complete list of category winners includes victories for BYD in the urban car and entry-level EV segments, Honda Civic Hybrid in the urban car under $60,000 category, and Ford taking dual-cab ute honours with both the Everest and Ranger V6.
All details of this year’s winners and finalists are available on Drive.com.au.
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