Chinese manufacturer GAC has confirmed it will introduce a new short-range variant of the AION UT electric hatchback in Australia in late 2026. The incoming model is engineered to compete directly at the budget end of the EV segment, lowering the entry price for the brand’s compact urban vehicle.
Currently, the existing AION UT lineup opens at $31,990 drive-away nationwide. While official pricing for the new short-range derivative remains unconfirmed, it is expected to significantly undercut this current entry point. This repositioning is a strategic response to intensifying price competition in the compact class, triggered by the recent arrival of the Geely EX2, which opens from a highly aggressive $26,490 (before on-road costs).

By introducing a smaller battery option, the new AION UT will be better equipped to challenge the Geely, alongside other affordable hatchbacks including the BYD Dolphin and Atto 1, GWM Ora, and the rear-wheel-drive MG4 EV Urban.
Propulsion for the new derivative relies on a smaller 44kWh Magazine Battery 2.0, replacing the larger 60kWh unit utilised in the existing premium lineup. GAC claims this reduced-capacity architecture will deliver a maximum driving range of 320km on the combined WLTP testing cycle.

The manufacturer also highlighted the structural and thermal safety credentials of the Magazine 2.0 battery packaging, which is engineered to prevent thermal runaway in the event of cell damage. GAC Australia CEO Kevin Shu said:
“With its innovative powertrain technologies, distinctive European-influenced design, and a generously spacious interior that defies its compact exterior footprint, I am confident the short-range AION UT will be a leading option not just for those considering their first EV, but also those looking for their first car.”
Full specifications (interior image above shows regular model), and final Australian pricing for the 44kWh AION UT will be detailed closer to its local launch in the final quarter of 2026.

