Best Diesel Cars for Australian Drivers | Power & Efficiency

Even as electric and hybrid vehicles dominate headlines, diesel cars continue to play a vital role in Australia’s driving landscape. From long-distance commuters to outback adventurers, diesel remains synonymous with torque, towing capacity, and fuel efficiency. For Australians who value rugged performance and long-lasting reliability, diesel vehicles still offer unmatched practicality.

This blog takes a deep dive into the best diesel cars available in 2025, focusing on SUVs, utes, and sedans tailored to the Australian lifestyle. Whether you’re planning road trips across the Nullarbor, towing a caravan up north, or simply seeking lower fuel costs for long commutes, diesel power deserves serious consideration.

The Case for Diesel Cars in Australia

Fuel Efficiency and Range

One of the strongest appeals of diesel cars is their superior fuel economy on highways. With fuel prices fluctuating, the ability to stretch every litre becomes invaluable. Diesel engines typically deliver 20–30% better mileage than their petrol counterparts, making them perfect for long-haul drivers.

Torque for Towing and Off-Roading

Torque, rather than horsepower, is the secret to diesel dominance in towing and 4x4 adventures. Whether you’re pulling a caravan, horse float, or boat, diesels offer the low-end grunt required to move heavy loads with ease. For off-roaders tackling steep inclines or sandy trails, diesel torque ensures better control and stability.

Durability and Longevity

Diesel engines are built tough. With fewer spark-related issues and robust construction, they can outlast petrol engines by hundreds of thousands of kilometres if properly maintained. For Australians investing in a work ute or family SUV, this longevity makes diesel cars an attractive option.

Real-World Australian Relevance

While EV infrastructure is growing, rural and remote regions still struggle with charging access. Diesel, with its wide availability and long range, remains the practical choice for country drivers and tradies.

Best Diesel SUVs in Australia 2025

Toyota LandCruiser 300 Series

The Toyota LandCruiser is an Australian icon, and in 2025 its twin-turbo V6 diesel engine continues to impress. With 227kW of power and a staggering 700Nm of torque, it’s engineered for serious off-road expeditions and towing. Its 3,500kg towing capacity, robust suspension, and advanced safety tech make it the go-to diesel SUV for families and adventurers alike.

Ford Everest

Sharing DNA with the Ranger ute, the Ford Everest is a refined yet rugged diesel SUV. The 2.0L bi-turbo diesel engine offers strong efficiency, while the optional 3.0L V6 turbo diesel cranks up power for serious towing. With a premium interior, large infotainment screen, and safety features, it balances comfort with capability.

Isuzu MU-X

The MU-X is a crowd-favourite among Aussies seeking value for money. Powered by Isuzu’s reliable 3.0L turbo-diesel engine, it offers 450Nm of torque and excellent towing capability. Its straightforward design and dependability make it a low-maintenance option for buyers wanting practicality over flashiness.

Toyota Fortuner

Built on the Hilux platform, the Fortuner provides a strong balance between city comfort and rugged adventure. Its 2.8L turbo-diesel is well-proven, offering 150kW of power and 500Nm torque. It’s a smaller alternative to the LandCruiser but still boasts excellent off-road chops.

Best Diesel Utes in Australia 2025

Toyota Hilux

The Toyota Hilux remains the top choice for tradies and adventurers. The 2.8L turbo-diesel delivers 150kW and 500Nm, perfect for heavy payloads. With strong resale value, legendary reliability, and improved safety tech in 2025, it continues to dominate Australia’s ute market.

Ford Ranger

The Ford Ranger is the Hilux’s fiercest rival. Available with a 2.0L bi-turbo diesel or a 3.0L V6 turbo diesel, it offers towing power up to 3,500kg. The latest generation boasts advanced tech like Ford’s SYNC 4 system and semi-autonomous driving features, making it as smart as it is tough.

Isuzu D-MAX

The Isuzu D-MAX has cemented its reputation as a no-nonsense workhorse. Its 3.0L diesel engine is robust, with 140kW and 450Nm torque, and the ute’s five-star ANCAP safety rating appeals to family buyers too. A top choice for those prioritising reliability and value.

Nissan Navara

The Navara blends comfort with performance. Its twin-turbo diesel engine provides 140kW of power and 450Nm torque, while coil-spring rear suspension gives it a smoother ride than many rivals. In 2025, new styling updates and advanced safety features keep it competitive.

Mazda BT-50

Sharing underpinnings with the Isuzu D-MAX, the BT-50 offers similar strengths with Mazda’s design flair. It’s aimed at drivers who want a ute that looks stylish but still hauls serious loads.

Best Diesel Sedans and Hatchbacks

While SUVs and utes dominate diesel sales, a few sedans and hatchbacks remain in play for Australians wanting efficient long-distance touring.

BMW 3 Series Diesel

For premium buyers, the BMW 320d sedan delivers strong fuel economy and refined performance. With 140kW of power and responsive handling, it’s a diesel that doesn’t compromise on driving pleasure.

Mercedes-Benz C-Class Diesel

The C220d remains one of the most efficient luxury sedans, blending premium interiors with impressive highway economy. Perfect for executives who regularly cover long distances.

Peugeot 508 Diesel

Peugeot continues to offer a diesel variant for Australians seeking European styling and practicality. It’s efficient, comfortable, and a standout for those who want something different from mainstream brands.

Diesel Cars for Long-Distance Touring

Australia’s vast distances make diesel the natural choice for touring. A diesel SUV or ute with a 70–80L tank can easily cover 1,000km on a single fill. Models like the LandCruiser 300, Isuzu MU-X, and Ford Ranger are favourites among grey nomads towing caravans across the country.

Diesel Cars and Fuel Efficiency in 2025

Despite the perception that diesel is “dirty,” modern turbo-diesel engines have become cleaner, with advanced particulate filters and emissions control systems. In fact, for long-distance driving, diesels often produce fewer CO2 emissions per kilometre than petrol cars due to their efficiency.

For example:

• Toyota Hilux: ~8.0L/100km

• Isuzu MU-X: ~7.8L/100km

• Ford Everest: ~7.5L/100km

These numbers mean fewer fuel stops and more money saved in the long run.

Reliability of Diesel Cars

Reliability is often where diesel shines. Engines like Toyota’s 2.8L turbo-diesel and Isuzu’s 3.0L are known for going the distance with minimal fuss. With regular servicing and quality diesel fuel, many diesel cars can easily surpass 400,000km—making them excellent for Australians who rack up serious mileage.

Diesel Cars vs Alternatives: EVs and Hybrids

The Australian car market is rapidly shifting toward EVs and hybrids, but diesel still holds strong advantages:

• EVs excel in city driving but lack rural charging infrastructure.

• Hybrids are efficient but don’t match diesel torque for towing.

• Diesel remains the king for long-distance, heavy-load practicality.

In the coming decade, diesel sales may shrink, but for many Aussie lifestyles—farmers, miners, tradies, and grey nomads—it remains the most realistic option.

Buying Tips for Diesel Cars in Australia

• Check towing needs: If you plan on hauling heavy loads, prioritise torque over horsepower.

• Consider servicing costs: Diesel servicing can be pricier, but reliability balances this out.

• Resale value: Utes like the Hilux and Ranger retain strong resale thanks to high demand.

• Look at safety ratings: Choose models with a five-star ANCAP rating, especially for family use.

• Fuel quality: Stick to reputable stations; poor-quality diesel can damage modern engines.

Future of Diesel Cars in Australia

While governments push for electrification, the transition will take time. Diesel will remain important for regional areas, construction industries, and long-haul travel. In 2025, buyers still have strong diesel options across all categories, but the long-term outlook suggests manufacturers may gradually reduce diesel offerings.

Conclusion: Is Diesel Still Worth It?

For Australian drivers who demand power, efficiency, and reliability, diesel remains a smart choice in 2025. Whether you’re towing across the outback, commuting long distances, or seeking a robust family SUV, diesel cars provide the practicality that many Aussies still rely on.

While EVs and hybrids grow in popularity, diesel continues to deliver unmatched real-world benefits—making it one of the most dependable fuel types for the unique challenges of Australian roads.