An EV is Australia's cheapest new car for the first time

BYD has cut the price of its smallest electric model, the Atto 1 hatchback, enough to make it the cheapest new car on sale in Australia — the first time an electric vehicle has undercut every petrol model on a national market. The move is a milestone for the global shift toward electric cars, because until now EVs have generally carried a price premium at the bottom of the market.

The significance goes beyond one country. When a battery-powered city car can beat conventional petrol hatchbacks on sticker price, it suggests manufacturers are getting closer to parity on upfront cost rather than relying only on fuel savings over time. BYD, which already sells several electric models in Saudi Arabia, has built its growth on exactly this kind of aggressive positioning.

The Atto 1 sits at the very bottom of the brand's range, below the Dolphin and the Atto 3 crossover. In Saudi showrooms, a car of this size would line up against small petrol hatchbacks such as the Toyota Yaris, Hyundai Accent and Nissan Sunny, as well as entry electric options from MG and other Chinese brands. It is a city car first, not a long-distance family vehicle.

For Saudi shoppers, the cheaper sticker price should not be the whole calculation. Consider whether you can charge at home — a villa with a private parking space is a very different proposition from an apartment building. Summer heat and heavy air-conditioning use both draw down range, so check real-world figures rather than optimistic claims, and ask about battery warranty terms, service centre coverage and parts availability before committing.