Australia Eyes Chinese Electric Trucks to Break Diesel Dependence

Australia imported 30.2 billion litres of diesel in 2025, roughly 90% of its diesel sales, leaving the country highly reliant on fuel imports to power its freight and industrial sectors. The nation is exploring options to reduce this dependence, with a focus on electrification.

Developments in China, particularly in heavy-truck electrification, where electric models accounted for nearly one-third of sales in 2025, offer a potential pathway. China’s integrated freight-energy system, spearheaded by CATL’s Qiji architecture and a partnership with Sinopec for 10,000 battery-swapping stations, demonstrates a shift from importing fuel to utilizing durable electric assets.

Australia doesn’t need to replicate the entire Chinese system but could adapt elements for concentrated freight routes like those serving ports, mines, and distribution centres. Several Australian companies, including Viva Energy and IOR, are positioned to partner with Chinese manufacturers to test and deploy these technologies. Successful trials could shift a significant portion of Australia’s freight task from diesel to domestically sourced electricity.