Mazda Australia says it isn’t focusing on importing mild-hybrid (MHEV) versions of its top-selling models, and instead is focusing its homologation investment on upcoming hybrid (HEV), plug-in hybrid (PHEV), and battery-electric (EV) models.
Mazda Australia managing director Vinesh Bhindi told CarExpert that while the Japanese brand is committed to reducing its fleet CO2 emissions and complying with Australia’s New Vehicle Efficiency Standard (NVES), which penalises and credits models that exceed increasingly stringent CO2 limits respectively, the focus for its so-called Multi-Solution Approach is EV, PHEV and HEV – not MHEV.
“Our view is no technology is banned, which means there are two ways to comply: by limited technologies to the one that gives zero fines or some credits; or just pay the fine and you comply. We are here to serve our consumers, so [they] want a particular technology and are happy to pay for whatever they want – that’s where our starting point is,” said Mr Bhindi.
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“The reason we look at it that way is because this is a transition, and our government recently [announced] quite an ambition in CO2 reduction – and we must do that, we must all play our part in that, but no-one is going to do it overnight.
“So in this transition phase, if there is a population and a percentage of customers who will embrace battery EVs, because even hybrids and plug-in hybrids eventually get some level of fines, the only technology that is neutral is battery EV that might create reduction and enough credits that protect the consumers that probably see that technology not fit for purpose, or they don’t have comfort, or they choose not to – and we need to serve them.
“And generally speaking, they will probably be the ones who will say ‘we want zero electrification, we’re happy with a level of ICE or a small level of electrification’. Our engineering effort is at the extreme [right now], so EV, hybrid and plug-in hybrid as opposed to adding more, say, mild-hybrid.”
However, Mr Bhindi said that adding more ‘M Hybrid’ model variants isn’t entirely off the table if the business case stacks up.
While Mazda’s mild-hybrid range in Australia is limited to the Large Architecture-based family of SUVs – CX-60, CX-70, CX-80 and CX-90 – the Japanese automaker offers a slew of mildly electrified drivetrains in most of its core products in overseas markets including Japan and Europe, from the little Mazda 2 hatchback through to even the current CX-5 mid-size SUV.
The Mazda 3 and CX-30 have both previously been offered with 24V mild-hybrid versions of the smaller 2.0-litre petrol engine locally, as well as the mild-hybrid Skyactiv X engine with its innovated compression-ignition combustion system. However, these variants were culled due to slow sales – in part because they were only offered in expensive trims.
Currently, the non-MHEV Skyactiv-G 2.0 engine in the Mazda 3 emits 138g/km of CO2 on the combined cycle, which will make it non-compliant with the NVES Type 1 emissions limit from the 2026-2027 financial year, when the ‘target’ figure for passenger cars drops from 141g/km to 117g/km.
Mazda Australia has also elected not to release the M Hybrid version of the next-generation CX-5 due on sale here within 12 months, instead persisting with a carryover 2.5-litre petrol engine, though an all-new full-hybrid version that will debut the company’s new in-house ‘Mazda Hybrid System’ with a new ‘Skyactiv-Z’ petrol engine is due for launch in 2027.
Later this week, Mazda will also confirm the next step in its EV journey for the Australian market. Stay tuned to CarExpert for our coverage.