The SUV has driven a new record year of car sales in Australia, with sports utility sales overtaking all other cars for the first time amid more favourable economic conditions.
Federal Chamber of Automotive Industries data shows that Australians had bought a total of 1,189,116 vehicles over the past 12 months, a rise of 0.9 per cent on 2016.
CommSec economist Ryan Felsman said a stronger job market, a greater choice of vehicles for buyers and record vehicle affordability helped the industry shift into higher gear over 2017.
"The outlook for 2018 remains favourable especially with further improvement expected in the job market and on the expectation that vehicle prices will remain super-affordable for buyers," Mr Felsman said.
FCAI chief executive Tony Weber said with sports utility vehicles now in the ascendancy, the industry's transition to the SUV era now appeared entrenched.
"It is a growth pattern we expect will continue," Mr Weber said.
Across Australia, 465,646 SUVs were sold in 2017 representing 39.2 per cent of the total market, compared with 450,012 other passenger cars, on 37.8 per cent market share.
December also scored a record with 102,820 cars sold, up 4.1 per cent on the same month in 2016.
Toyota was the top-selling brand for the year, capturing 18.2 per cent of the market, and December's most popular brand while the Toyota Hilux was Australia's top-selling car for the second consecutive year.
Mazda, with 9.8 per cent market share, was the second highest seller, followed by Hyundai (8.2 per cent) and Holden (7.6).
The year, which included eight record months, saw upheaval in the motor industry, with both Toyota and Holden closing their Australian plants and ending a century of local car manufacturing.
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