The global automotive landscape is changing at a pace that would make even the most seasoned industry veterans’ heads spin.
Yet as I stand in Ford Australia’s sprawling display at this year’s Melbourne Motor Show, something remarkable becomes immediately apparent.
While manufacturers worldwide frantically announce electric vehicle targets and sunset dates for internal combustion engines, Ford Australia is proudly showcasing its latest lineup of petrol and diesel-powered vehicles front and center.
“We’re following our customers, not forcing them to follow us,” explains Sarah Thompson, Ford Australia’s Marketing Director, who agreed to chat with me between her busy schedule of press events.
I notice she gestures not toward the company’s upcoming electric offerings tucked in the corner of the display, but to the gleaming Rangers and Everests dominating the floor space.
“Australians have spoken clearly with their purchasing decisions, and we’re listening.”
The numbers tell a compelling story.
Despite the global push toward electrification, Ford’s traditional combustion engine vehicles continue to dominate their Australian sales charts, with the Ranger consistently ranking as one of the country’s best-selling vehicles.
But why is Australia bucking the international trend toward rapid electrification?
And how has consumer preference reshaped Ford’s strategy in a market that represents less than 2% of global vehicle sales yet wields outsized influence on product planning for certain segments?
The answers reveal much about Australia’s unique driving conditions, infrastructure challenges, and the deep-seated automotive preferences that continue to shape the market.
The Voice of the Customer: How Australians Shaped Ford’s Strategy
When Ford made the difficult decision to end local manufacturing in 2016, many industry observers wondered if the storied brand’s influence in Australia would gradually diminish.
Nothing could be further from today’s reality.
“What we’ve seen since 2016 is actually increased investment in understanding the Australian market,” explains Mark Wilson, a veteran automotive journalist who’s covered the industry for three decades.
I’m speaking with him over coffee near Ford’s development center in Melbourne, where surprisingly, the company has expanded its Australian design and engineering operations despite no longer manufacturing vehicles locally.
“Ford realized that Australian drivers are essentially the canaries in the coal mine for durability, heat management, and real-world testing,” Wilson continues.
“If a vehicle can stand up to Australian conditions and Australian drivers, it can handle pretty much anything.”
This perspective is shared by James Robinson, who has worked as a Ford dealer in regional Queensland for over twenty years.
“My customers aren’t making decisions based on what’s trendy in Europe or what Silicon Valley thinks is the future,” he tells me over the phone.
“They’re making practical choices based on what works for them today, next year, and five years down the road.”
Robinson explains that his dealership still regularly sells Rangers and Everests to customers who plan to keep them for a decade or more.
“That long-term ownership perspective changes how people think about their purchases,” he points out.
“When you’re planning to keep a vehicle through multiple governments and policy changes, you tend to favor proven technology over emerging options.”
This consumer sentiment is backed by hard data.
Ford Australia’s internal research, shared with me during my visit to their headquarters, shows that over 78% of their ute and SUV buyers still prefer traditional powertrains when given a side-by-side choice with equivalent electric options.
The reasons cited are consistently practical rather than ideological – concerns about range, charging infrastructure, vehicle longevity, and resale value dominate the feedback.
“We’ve certainly seen increased interest in electric and hybrid options,” admits Thompson.
“But interest doesn’t always translate to purchases, and our job is to provide what customers will actually buy, not what generates the most social media buzz.”
Beyond the Urban Bubble: The Real Australian Driving Experience
To truly understand why Australians continue to favor traditional powertrains, one needs to venture beyond the metropolitan centers of Sydney and Melbourne.
I decided to do exactly that, joining longtime Ford owner Michael Davidson for his weekly 900-kilometer round trip from his cattle property near Longreach to pick up supplies and parts.
“Electric vehicles might make perfect sense for someone driving 30 kilometers a day in the city,” Davidson remarks as we cruise along in his 2021 Ranger, the air conditioning blasting against the 38-degree heat outside.
“But out here? It’s a completely different world.”
As we drive, Davidson points out the vast stretches without cellular service, let alone charging infrastructure.
Service stations are often hundreds of kilometers apart, and even they sometimes experience power outages during the wet season.
“I can carry extra diesel if I need to,” he explains.
“Can’t exactly carry spare electricity if the charger at the next town isn’t working.”
This practical reality is echoed by Emma Chen, a mining engineer who splits her time between Perth and remote sites across Western Australia.
“My Ford Everest needs to be ready to go at a moment’s notice, sometimes for journeys of over a thousand kilometers,” she tells me when I call her to discuss her vehicle choices.
“The five minutes it takes to fill up with diesel versus potentially hours of charging makes all the difference in my work.”
Chen’s perspective highlights another often-overlooked aspect of Australia’s automotive landscape – the prevalence of vehicles that serve double duty as both family transport and work vehicles.
“On Friday, my Everest is taking the kids to sport,” she explains.
“By Monday morning, it might be navigating mining trails with specialized equipment in the back.”
This versatility requirement favors the established reliability and adaptability of traditional powertrains, especially when combined with Australia’s vast distances and variable infrastructure.
Ford’s research indicates that over 40% of their Australian customers regularly drive their vehicles in conditions that would be considered “extreme usage” in most global markets.
“It’s not just about off-roading, though that’s certainly part of it,” explains Dr. Thomas Williams, who heads Ford Australia’s product planning division.
“It’s about heat, dust, varied fuel quality in remote areas, and the expectation that a vehicle purchased today will perform flawlessly across a huge range of conditions for many years without specialized support infrastructure.”
Engineering for Australia: Testing That Shapes Global Products
What many Australians don’t realize is how significantly their driving conditions influence Ford vehicles sold around the world.
At Ford’s You Yangs Proving Ground in Victoria, I’m given rare access to see how Australian conditions have become a crucial testing benchmark for Ford’s global vehicle development.
“If it can survive Australian testing, it can survive anywhere,” says Principal Engineer Rebecca Martinez, as we watch disguised prototypes of future models being punished on the facility’s specially designed torture tests.
The sprawling 950-hectare facility includes everything from high-speed tracks to punishing off-road courses that replicate some of Australia’s harshest driving environments.
“We maintain sections of road here that are actually worse than what you’d find in the real world,” Martinez explains with evident pride.
“The goal is to compress ten years of hard use into a few months of testing.”
What’s particularly interesting is how this Australian testing influences Ford vehicles sold globally.
The cooling systems in Rangers sold in Europe, the dust sealing on F-150s in America, and the suspension tuning on Everests in Thailand have all been shaped by lessons learned in Australian conditions.
“Australia has become our global benchmark for durability,” Martinez continues.
“It’s why we’ve actually expanded our engineering and development footprint here even after manufacturing ended.”
This influence explains why Ford has maintained such a strong commitment to the Australian market despite its relatively small size in global terms.
The company maintains a staff of over 2,500 in Australia, most in design, engineering, and product development roles.
“Australian engineers have a seat at the table for global product planning,” Williams tells me.
“Particularly for trucks and SUVs, the Australian perspective is considered essential to creating vehicles that can truly perform anywhere in the world.”
This development approach has created an interesting dynamic where Australian consumer preferences directly influence the vehicles Ford sells globally.
And those preferences continue to favor robust, proven petrol and diesel powertrains for the foreseeable future.
The Economics of Choice: Why Traditional Powertrains Still Make Financial Sense
Beyond the practical considerations of range and infrastructure, there’s a straightforward economic reality that continues to favor traditional powertrains in Australia.
“The purchase price gap between equivalent electric and combustion-powered vehicles remains significant,” explains financial analyst Jennifer Wong, who specializes in automotive sector economics.
“When you factor in Australia’s unique taxation structure, remote servicing costs, and resale considerations, the financial equation still strongly favors traditional powertrains for many buyers.”
Wong shares data showing that the average price premium for equivalent electric vehicles in Australia remains between 25-40% higher than their combustion counterparts, even after government incentives in states that offer them.
“For fleet buyers and business users who can factor in lifetime operating costs, the equation is beginning to shift,” she acknowledges.
“But for private buyers making what remains the second-largest purchase most will ever make after their home, the upfront cost difference is still decisive.”
This economic reality is clearly reflected in Ford’s product planning for Australia.
While the company has announced ambitious global electrification targets, their Australian lineup continues to feature newly developed and updated petrol and diesel options.
The recent introduction of the next-generation Ranger Raptor with its twin-turbo V6 petrol engine – a powerplant developed with significant Australian input – demonstrates the company’s continued investment in traditional powertrains for this market.
“We’re not ignoring electrification,” insists David Chen, Ford Australia’s Product Development Director.
“But we’re approaching it as an expansion of choices rather than a replacement strategy in this market.”
Chen points to the upcoming Ranger PHEV (Plug-in Hybrid Electric Vehicle) as an example of Ford’s measured approach.
“It gives customers who want electric capability for urban driving but still need the range and versatility of a traditional powertrain for longer journeys or remote work the best of both worlds.”
This strategy of expanding choices rather than forcing market transitions appears to be paying dividends.
Ford Australia reported its strongest sales in five years last quarter, with traditional combustion models leading the charge.
The Infrastructure Reality Check: Australia’s Unique Challenges
Perhaps the most significant factor in Australia’s slower transition to electric vehicles is the country’s infrastructure reality.
Despite ambitious announcements and funding commitments, the actual deployment of charging infrastructure outside major urban centers remains limited.
“Australia presents unique challenges for EV infrastructure that go beyond just distance,” explains energy infrastructure specialist Dr. Amelia Patterson.
“You’re dealing with an electrical grid that already experiences stability issues during extreme weather, vast distances between population centers, and the logistical challenges of maintaining complex technical infrastructure in remote locations.”
To understand these challenges firsthand, I embarked on a drive from Adelaide to Darwin in a conventional Ford Everest, tracking potential charging points along the way.
The results were sobering.
Even along this major route, I encountered multiple stretches of 300+ kilometers without any charging infrastructure.
Several planned charging locations listed on apps were found to be either not yet constructed or out of service.
And in two locations, local service station operators told me that even their existing chargers frequently experience downtime due to grid reliability issues and the challenges of getting specialized technicians to perform repairs in remote locations.
“The reality is that Australia needs both transition time and significant infrastructure investment before electric vehicles can offer the same freedom of movement that traditional vehicles provide,” Patterson notes.
“This isn’t about resistance to change – it’s about the practical realities of a massive country with a relatively small, dispersed population.”
Ford Australia’s strategic decisions reflect this understanding of the market.
“We’re absolutely committed to electrification as part of our future,” Thompson emphasizes.
“But we’re equally committed to continuing to serve our customers with excellent petrol and diesel options for as long as they need them.”
This balanced approach stands in contrast to some manufacturers who have announced aggressive timelines for phasing out combustion engines globally.
“Those announcements typically come from companies based in markets with much higher population density, shorter average driving distances, and more developed charging infrastructure,” Wilson points out.
“Australia’s reality is different, and Ford’s strategy reflects that understanding.”
The Voice from the Service Bay: What Mechanics Are Saying
An often overlooked perspective in the powertrain debate comes from those who maintain these vehicles over their lifetime.
I visited several Ford service centers across the country to speak with mechanics about their experiences and outlook.
“I’ve been working on Fords for over thirty years, and the reliability of modern diesel engines is just remarkable,” says Robert Chen, head mechanic at a dealership in regional New South Wales.
“We see Rangers and Everests coming in with 300,000, even 400,000 kilometers still running strong with just regular maintenance.”
Chen expresses concerns about the long-term support for electric vehicles, particularly in regional areas.
“Right now, if you have an issue with your EV in many parts of Australia, you might be looking at a flatbed truck journey of hundreds of kilometers to the nearest qualified service center,” he explains.
“That’s assuming you can find a tow vehicle rated to handle the weight of a modern EV.”
This perspective is shared by independent mechanic Sophia Williams, who operates a workshop in a rural Victorian community.
“My customers need vehicles they can rely on, and that I can fix quickly if something does go wrong,” she tells me.
“The current reality is that we can have parts for most Ford diesel engines delivered overnight, and I have the training and tools to get them back on the road quickly.”
Williams has begun taking courses on electric vehicle servicing but notes that the specialized equipment required represents a significant investment for small regional workshops.
“Eventually we’ll all transition, but it will take time, especially in areas where the volume of EVs doesn’t yet justify the investment,” she admits.
This service reality creates another practical consideration for Australian buyers, particularly those in regional areas who depend on their vehicles for both work and personal transportation.
“If your vehicle is your livelihood, being without it for an extended period while waiting for specialized parts or service isn’t just an inconvenience – it’s lost income,” Wilson points out.
For now, this service reality continues to favor traditional powertrains with their established support networks and readily available parts.
The Customer Profiles: Who’s Keeping Combustion Alive
To better understand who’s driving the continued demand for traditional powertrains, I spoke with a diverse range of Ford owners across Australia.
Their stories reveal patterns that help explain why combustion engines remain the preference for many buyers.
James Murray, a construction contractor from Brisbane, represents the work vehicle segment that makes up a substantial portion of Ford’s Australian customer base.
“My Ranger needs to be ready for anything – towing heavy loads one day, navigating muddy construction sites the next, and sometimes driving 800 kilometers to reach remote job sites,” he explains as he shows me his well-used but meticulously maintained 2020 Ranger.
“I’m not ideologically opposed to electric vehicles – I actually think they’re fascinating technology,” he continues.
“But they simply don’t yet offer the flexibility and certainty I need for my business.”
A different perspective comes from Lisa Chen, a young professional from Sydney who recently purchased a new Ford Escape with a petrol engine.
“I did seriously consider an electric option,” she tells me over coffee near her office.
“But when I looked at my actual lifestyle – frequent road trips, an apartment without guaranteed charging access, and uncertainty about how long I’ll keep the vehicle – the petrol option just made more practical sense.”
Chen represents a segment of urban buyers who aren’t opposed to electrification in principle but find that their specific circumstances still favor traditional options.
“I expect my next vehicle might be electric or at least a hybrid,” she adds.
“But the technology and infrastructure need to evolve a bit more to match my needs.”
Perhaps the most passionate advocates for combustion engines come from Australia’s enthusiast community, represented by Michael Davidson, whom I meet at a Ford owners’ gathering outside Melbourne.
“There’s something about the sound and feel of a performance-tuned combustion engine that’s part of the DNA of automotive enthusiasm,” he explains as he shows me his modified Ford Focus ST.
“Electric vehicles have impressive acceleration, but they can’t replicate the emotional connection many of us have with traditional engines.”
This enthusiast market, while relatively small in volume, has outsized influence on brand perception and marketing.
Ford’s decision to bring vehicles like the Mustang and Focus ST to Australia, even in relatively small numbers, recognizes the importance of keeping these passionate advocates engaged with the brand.
The Policy Landscape: Navigating Uncertain Regulatory Waters
Australia’s approach to vehicle emissions and electrification policy has been characterized by shifts and uncertainty that have influenced both manufacturer strategies and consumer behavior.
“Unlike markets such as the EU or California with clear long-term regulatory frameworks, Australia’s approach has been less consistent,” explains policy analyst Dr. Jonathan Zhang.
“This creates planning challenges for both manufacturers and consumers making long-term purchase decisions.”
The uncertainty has encouraged a more cautious approach from both sides of the market equation.
Manufacturers like Ford have maintained stronger investment in improving traditional powertrains alongside electrification efforts, while consumers have often favored the “known quantity” of established technologies.
“When you’re making planning decisions with 5-10 year horizons, regulatory certainty is crucial,” Ford’s Chen explains.
“Our approach has been to improve efficiency and performance across all powertrain types while developing the flexibility to shift our product mix as the market evolves.”
This approach has resulted in significant advancements in Ford’s traditional powertrains.
The latest generation of Ford’s diesel engines offers improved efficiency, reduced emissions, and enhanced refinement compared to their predecessors.
“A new Ranger diesel is significantly cleaner and more efficient than models from just a decade ago,” Chen points out.
“We’ve achieved this by continuing to invest in internal combustion technology rather than treating it as a legacy product.”
This ongoing development reflects Ford’s understanding that for many Australian customers, traditional powertrains will remain the preferred choice for years to come.
The Global Context: Australia as the Exception Rather Than the Rule
It’s important to recognize that Australia’s continued preference for traditional powertrains makes it something of an outlier in Ford’s global markets.
“What we’re seeing in Australia is not representative of our global transition strategy,” explains Richard Martinez, Ford’s Asia-Pacific Strategy Director, whom I spoke with via video conference.
“In many markets, particularly in Europe and parts of Asia, our electrification timeline is much more accelerated.”
This creates an interesting dynamic where Australia has become one of the markets where Ford expects traditional powertrains to have their longest lifecycle.
“Australia, along with parts of the Middle East, Africa, and South America, represents markets where the transition to electrification will follow a different timeline than our European or North American operations,” Martinez continues.
“That’s not a judgment – it’s simply a recognition of different market realities.”
This approach allows Ford to balance its global commitments to electrification with the practical reality that different markets will transition at different speeds.
For Australian consumers, it means continued investment in developing and improving the petrol and diesel options they still prefer.
Looking Ahead: Ford’s Balanced Approach to Australia’s Future
So what does the future hold for Ford’s powertrain strategy in Australia?
The company is pursuing what it describes as a “customer-led transition” rather than forcing the market in a predetermined direction.
“We’re making significant investments in electrification globally, and those benefits will certainly come to Australia,” Thompson assures me.
“But we’re equally committed to continuing to serve our customers who prefer traditional powertrains with excellent products for as long as they need them.”
This dual-path strategy includes several key elements:
- Continued development and refinement of diesel and petrol engines for core models like the Ranger and Everest
- Introduction of hybrid and plug-in hybrid options as transitional technologies
- Targeted introduction of fully electric models in segments where Australian market conditions support them
- Ongoing investment in the You Yangs Proving Ground to ensure all powertrains meet Australian durability expectations
“We believe the transition to electrification is inevitable, but the timeline will be determined by customer needs, infrastructure development, and regulatory frameworks,” Chen explains.
“Our job is to provide excellent choices across the powertrain spectrum and let customers decide what works best for their specific circumstances.”
This approach appears to have resonated with Australian consumers, with Ford’s market share growing over the past two years despite – or perhaps because of – their more measured approach to electrification compared to some competitors.
Why Ford’s Combustion Engines Are Here to Stay (For Now)
As my time with Ford Australia concludes, what becomes clear is that the company’s commitment to petrol and diesel models in this market isn’t about resistance to change.
Rather, it reflects a deep understanding of the unique Australian driving environment, the practical needs of their core customers, and the infrastructure realities of this vast continent.
“We’re proud of our electrification journey globally, and we’re excited to bring those technologies to Australia when the time is right for our customers,” Thompson emphasizes as we conclude our conversation.
“But we’re equally proud of continuing to deliver the engines that Australians trust and rely on today.”
For Australian Ford customers, this balanced approach means continued access to the traditional powertrains that still best serve their needs, alongside growing options to transition to electrified models as personal circumstances and infrastructure evolve.
It’s a strategy that recognizes Australia’s unique position in the global automotive landscape – a vast country with distinct driving demands where the roar of petrol and diesel engines will continue to be heard on city streets and outback trails for years to come.
And based on sales figures and customer feedback, it’s a strategy that’s working.
Thanks to you – the Australian customers who continue to vote with their wallets – Ford’s commitment to providing choice rather than mandating transition ensures that the rumble of combustion engines will remain part of Australia’s automotive soundtrack for the foreseeable future.