1. VW turns to China to fix its Aussie sales slide
Volkswagen is about to do what plenty of brands have already done — build cars in China for Australia. Global boss Thomas Schäfer told Autocar the brand is “starting now to export” from China to “countries that have easier access from China than Europe, such as Australia”. A VW Australia spokesperson told Drive Australia is “one of the markets being considered for vehicles sourced from China”. The likely candidates are cheaper electric cars and family SUVs — a direct answer to the Tesla Model Y and Zeekr 7X. VW needs it: sales are down 23 per cent year-to-date (17,161 vehicles to the end of September 2026), and China is now the leading country of origin for new cars in Australia. Funny enough, VW was there first — the Chinese-built Polo Classic sold here in 2004–2005, before GWM arrived.
Source: Drive
2. ARENA bets $5.35M on cars that feed the grid
Your parked EV could soon earn its keep. The Australian Renewable Energy Agency has announced a $5.35 million, three-year vehicle-to-grid trial — Australia’s biggest commercial deployment of the tech. Up to 130 electric vehicles and bi-directional chargers will be tested with Jet Charge, AGL and the ACT government: ARENA puts in $4.1 million, Jet Charge $1.25 million. The idea is simple — charge off-peak, then push power back into the grid when demand spikes. Many of the fleet cars will deliver in-home health services, so they’ll be plugged in overnight. It follows ARENA’s 2020 V2G project and comes a month after Amber Electric’s residential test reached 1,000 homes. This one matters: it’s the real-world answer to the “what if everyone plugs in at 6pm” question.
Source: AAP News
3. Waymo takes the robotaxi race to Madrid
Waymo has confirmed it plans a fully autonomous ride-hailing service in the Madrid region in 2027 — its first in Spain. Jaguar I-PACE robotaxis will start appearing on Madrid streets in the coming days with trained specialists behind the wheel, mapping and testing under Spain’s DGT framework for Level 4 vehicles across Madrid city, Alcobendas and Getafe, day and night. Driverless paid rides only begin in 2027. Reports say Waymo wants to grow its fleet from 4,000 cars to 8,000 by the end of this year and 20,000 by the end of 2027, bankrolled by $5 billion in debt financing secured this month. It already runs 15+ US cities and 500,000+ paid rides a week. One catch: Uber and WeRide already hold DGT testing permits in Madrid, with commercial service tipped by year’s end — Waymo isn’t first through the gate.
Source: Tesla News Wire
4. Toyota’s bZ4X just had its best month ever in Australia
Toyota’s electric experiment is finally clicking. The bZ4X posted a record sales month in September — 413 per cent higher than the same month last year. Sales boss John Pappas says the Touring and regular bZ are “right on track for 5000” sales — nearly double the pre-fuel-spike run rate. EVs took 24.2 per cent of the new-car mix last month, snapping at the heels of hybrids and plug-ins at 25.8 per cent. The honest verdict from Drive: still not enough to worry Tesla, BYD or Zeekr — but the gap is closing.
Source: Drive
That’s the drop. Back tomorrow morning — catch every Daily Drop, or browse the car gadgets while you’re at it.