An electric hatch just cracked the $20,000 barrier
For the first time, the cheapest new car you can buy in Australia is electric. BYD has dropped the Atto 1 Essential to $19,990 drive-away nationwide, and no petrol or hybrid rival can currently match it on the road.
The detail that matters is those two words, drive-away. This is not a teaser figure that balloons once the dealer adds registration and stamp duty. It is the number you actually hand over.
What the price used to be
The Atto 1 Essential previously wore a $23,990 sticker before on-road costs. Add the usual charges and the real cost to get it registered sat comfortably above that number.
BYD has effectively carved thousands off the drive-away total in one move. Its local boss framed the cut as a direct response to cost-of-living pressure and stubbornly high fuel prices, pitching cheaper ownership rather than a decontented bargain-basement special.
Why the drive-away number is the one to trust
This is where buyers get caught. A price advertised as a "from" figure before on-road costs is never what lands in your driveway.
Registration, stamp duty, plates and dealer delivery can add thousands, and they vary from state to state. A genuine drive-away quote like the Atto 1's strips out that guesswork, which is exactly why it pays to compare like for like before you sign anything.
How it stacks up against the cheapest petrol cars
Until now the budget floor belonged to small petrol hatches. The Kia Picanto has long been the go-to, starting around $19,190, though that is a list price before on-road costs rather than a drive-away figure.
The MG3 can match it at $19,990 drive-away, but only through a limited offer for existing MG owners and their family. Everyone else pays $20,990, which leaves the Atto 1 as the cheapest new car most buyers can simply walk in and drive away.
What $19,990 actually buys you
The Atto 1 Essential runs a single electric motor driving the front wheels, making 65kW and 175Nm. It is no rocket, but instant electric torque makes it feel lively in traffic and easy to place in a car park.
Its lithium iron phosphate battery delivers a claimed 220km of WLTP range. At roughly 3990mm long it shares a footprint with the Toyota Yaris and Mazda2, so it is squarely a city car rather than a highway cruiser.
Who it suits, and who should keep looking
For a second car, a short commute or a first step into an EV, 220km of range covers the average Australian driving week comfortably between charges. Around town, it is the easy part of the case.
If you regularly cover long distances, look higher up the range or at rivals like the MG4 for more range per charge. For context on how far budget electric cars have come, our look at Australia's cheapest electric SUV shows how quickly this end of the market is moving.
Paying for it without overpaying
Even at $19,990, most buyers will still finance a new car, and this is where the saving can quietly leak back out. Dealer finance on a cheap car often carries a marked-up rate that adds far more over the term than the drive-away discount just saved you.
Before you accept the finance desk's first offer on an Atto 1, it pays to shop the rate. Loanseekers checks your finance against around 70 lenders to find the sharpest deal on a car like this, so a genuinely cheap EV does not quietly turn into an expensive loan. For pricing on the petrol and hybrid rivals in this bracket, Carseekers tracks the wider new-car market so you can see where the real value sits.
The finer details
Your questions answered.
Is the BYD Atto 1 really the cheapest new car in Australia?
Yes. At $19,990 drive-away for the Essential grade, the Atto 1 is currently the most affordable new car of any kind on sale in Australia, and the first full electric car to take that title. Petrol rivals like the Kia Picanto advertise lower list prices, but those figures sit before on-road costs, not drive-away.
How much does the BYD Atto 1 cost drive-away?
The Atto 1 Essential is $19,990 drive-away nationwide, down from a previous $23,990 before on-road costs. Because it is a drive-away price, it already includes registration and stamp duty, so it is close to the true cost of getting the car on the road.
What is the driving range of the BYD Atto 1?
BYD claims 220km of WLTP range from the Atto 1's lithium iron phosphate battery. That suits city commuting and short trips between charges, but it makes the Atto 1 a town car rather than a long-distance highway machine.
How does the BYD Atto 1 compare to the Kia Picanto and MG3?
The Kia Picanto starts around $19,190, but that is a list price before on-road costs and the cheapest version is a manual. The MG3 reaches $19,990 drive-away only through a restricted owner-and-family offer, otherwise it is $20,990. The Atto 1's $19,990 drive-away is open to every buyer, and it swaps petrol bills for cheaper electric running, with 220km of range as the trade-off.
Is the $19,990 BYD Atto 1 price a drive-away figure or before on-road costs?
It is a genuine drive-away price, which is the number you actually pay. That is an important distinction, because many rivals quote a lower "from" price that climbs once registration, stamp duty and dealer delivery are added. Always compare drive-away to drive-away.
Is the BYD Atto 1's 220km range enough for daily driving?
For most Australians the average week is well under 220km, so the Atto 1 covers commuting and errands with charging headroom to spare. If you regularly drive long distances or cannot charge at home, a car with more range will suit you better.
