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Government Backs Cheaper Loans for Hyundai and Kia EVs in $60 Million CEFC Deal

Targeted loan discounts aim to cut upfront costs to boost EV uptake during a period of shrinking rebates.

Overview

  • Australia’s Clean Energy Finance Corporation has committed up to $60 million with Hyundai Capital Australia to lower finance costs on selected Hyundai and Kia battery‑electric vehicles.
  • Eligible borrowers receive discounts of 0.5 to 1.0 percentage points per annum, with a 1.0 point cut saving more than $1,900 in interest on a $70,000 five‑year loan.
  • Only fully electric models priced below the $91,387 Luxury Car Tax threshold qualify, with hybrid and plug‑in hybrid models excluded.
  • Novated leases are not eligible, demonstrator vehicles must have under 5,000 km, and the discounted offer cannot be combined with other finance.
  • The tightly targeted measure lands as many state rebates have ended and the federal EV fringe benefits tax exemption is under review, with EVs accounting for about 8.3% of 2025 new‑car sales.