GAC to slow its Australian dealer expansion as focus shifts to quality over quantity

From quantity to quality: expansion set to slow

GAC Australia's head of network development, David Kaing, has told GoAutoNews Premium that the Chinese brand's rapid Australian dealer rollout will slow as it shifts attention from quantity to quality. Kaing said that "right now, and probably over the next six to 12 months, we'll slow down our appointments and work towards enabling our network to be stronger, to provide quality to our customers." ¹

According to GoAuto, GAC has opened 45 dealerships in less than a year since launching in Australia, with 35 of those in metropolitan areas. The brand expects to be halfway to its five-year target by the end of 2026, with plans to reach a 60-strong network before the year is out. GoAuto notes that by then GAC's network will have grown larger than BMW's in a little over one year. ¹

The original target was set at GAC's Australian brand launch in late 2025, when the company announced plans to exceed 100 dealerships within five years, starting from nine initial sales and service outlets under its newly formed Australian subsidiary. GAC also said it planned to introduce more than ten new models over five years, spanning sedans, SUVs, pickups and MPVs. ²³⁴

Where the next dealers will go

Kaing told GoAutoNews Premium that rural and provincial areas will be the focus of future network expansion, but not small towns. "We won't go into little areas like Ayr or Roma," he said, explaining that GAC is selecting larger populated centres where VFACTS data shows strong car sales. "So, Toowoomba, Wagga Wagga, Albury, we're starting to reach out to those areas now." ¹

GoAuto reported in August 2026 that GAC's expansion had continued in Victoria, with nine dealerships open in Melbourne and a new Preston location in the city's inner north shortly before the flagship announcement. A GAC spokesperson told the publication the brand then had 46 active dealerships, projected to reach 55 by the end of the third quarter of 2026 and 60 by year's end. ⁷

That trajectory is consistent with GoAuto's October report of 45 operating dealers and a year-end target of 60, though the two stories give slightly different counts and interim milestones at different dates; neither publisher presents the figures as contradictory. In May 2026, Autotalk reported the network at 30 locations nationwide with growth planned beyond metropolitan areas, based on comments from GAC Australia chief executive Kevin Shu. ¹⁷⁶

Strengthening the existing network

Once the 60-dealer milestone is reached, Kaing said the next stage is to "enhance them and make them strong and enable them", with dealer profitability and engagement central to the plan. "You can't have 100 dealers selling a small volume. You need to grow that with volume," he told GoAutoNews Premium, adding that a dealer "can't be sustainable if there's 100 dealers selling 10 (cars) each." ¹

Training is part of the strengthening effort. Kaing said GAC hopes to bring on its first trainer position "this quarter", using performance metrics to identify which dealers are already strong and which need help. He argued that rapid innovation from Chinese brands has changed the sales process itself, with some customers knowing more than sales consultants before a deal is closed, and said localising product content will help educate GAC's sales forces. ¹

Kaing also framed the relationship with dealers as collaborative rather than top-down. "You have got to work with them (the dealers) and grow together because there's a big cake and everyone needs a piece of it," he told GoAutoNews Premium. ¹

Flagship concept store in South Melbourne

GoAutoNews Premium reported in August 2026 that a new flagship GAC dealership is due to open on Normanby Road in South Melbourne in November. The site will be operated by Star Automotive Australia Group, which also runs Melbourne City MG and has a Melbourne City GWM location slated to open soon. Colliers large format retail associate director Jake Beckwith said the dealership will occupy an approximately 770-square-metre building to which GAC has committed a five-year lease. ⁷

According to Star Automotive Australia Group, the South Melbourne site is intended as a "concept store" rather than a standard showroom, featuring a "brand strength" wall, a landscaped GAC-branded display garden, an extensive showroom floor, a new car delivery zone and a customer lounge. Dealer principal Kendal Yang described it as the biggest statement the group has made, saying at 770 square metres it will be the largest GAC concept store in Victoria. ⁷

Context: a year of rapid growth since launch

GAC formally entered the Australian market at a Sydney launch event on November 18, 2025, unveiling its Australia Local Strategy, "GAC: Growing Australian Confidence", under its One GAC 2.0 global strategy. Three models debuted simultaneously: the AION V electric SUV, the M8 PHEV, billed as Australia's first plug-in hybrid MPV, and the EMZOOM SUV. The company also announced its GAC Care service model, including a seven-year unlimited-kilometre vehicle warranty and an eight-year/200,000-kilometre battery warranty. ²³⁴

The lineup has since grown. Autotalk reported in May 2026 that GAC had added the AION UT electric hatchback after launching with the AION V, EMZOOM and M8 PHEV in late 2025. CarExpert reported in March 2026 that GAC would not follow rivals such as Chery, MG and BYD in introducing sub-brands locally, with local boss Kevin Shu telling the publication: "We have centralised sub-brands as one GAC strategy to keep simple and direct communication with the public, customers, dealerships, media, and so on." ⁶⁵

The slowing appointment rate follows a period of unusually fast network building. From nine outlets at launch in November 2025, the network had reached 30 locations by May 2026 according to Autotalk, 45 to 46 by August and October 2026 according to GoAutoNews Premium reporting, and is targeted at 60 by the end of 2026. The five-year goal of more than 100 dealerships, and GAC's stated ambition of becoming a top 10 volume-selling brand in Australia by the end of the decade, remain the stated objectives the current consolidation phase is meant to support. ²⁶¹⁷