Cadillac has knocked $32,000 off the Lyriq electric SUV, dropping it from $122,000 to $90,000 plus on-road costs and slipping it under the Luxury Car Tax threshold for fuel-efficient vehicles. The price is permanent, not a promotional run-out.

What you get for $90,000

The Lyriq stays in dual-motor form, with a total 388 kW from a 102 kWh lithium-ion battery and a claimed 530 km WLTP range. There is no detuned base variant. Both the Luxury and Sport grades now share the same $90,000 plus on-roads price, or $95,000 drive-away. Standard kit on both includes 21-inch alloys, a panoramic glass roof, power tailgate, 33-inch curved digital display, 19-speaker AKG audio, leather upholstery with heated, ventilated and massage front seats, and heated ventilated outboard rear seats.

By landing under $91,387 (the FY2025-26 LCT threshold for fuel-efficient vehicles), Cadillac is also dodging the punishing luxury car tax that has dogged American-import EVs in this market for years. That is the whole point of the cut.

What that does to the segment

At $90,000 plus on-roads, the Lyriq is now staring directly at the BMW iX xDrive40 (from $130,400 plus on-roads), the Audi Q8 e-tron 55 (from $148,000 plus on-roads), the Genesis GV60 (from $103,700 plus on-roads), and the Volvo EX90 (from $124,990 plus on-roads). It comfortably undercuts all of them. It is also within shouting distance of the Polestar 3 ($110,000 plus on-roads) and the Tesla Model X, which is effectively unavailable as a new build in Australia right now.

The closest spec match in price is probably the BYD Sealion 7 Performance ($63,990 drive-away), which costs about 30 per cent less and produces 390 kW. Cadillac is asking buyers to pay the premium for a five-metre full-fat US import with the badge to match.

Cartell Assessment

Premium EV pricing in Australia is broken, and Cadillac just broke it harder. A $32,000 permanent cut three years into the model's life is not a recalibration. It is a market correction. The Lyriq launched too high in Australia, GM knows it, and the LCT threshold made the maths obvious. We also do not love that Cadillac's only response to soft sales has been a discount. The Lyriq is a five-metre, 388 kW, 102 kWh device that is competent and roomy and a touch unrefined to drive. The cut moves it from "no thanks" to "actually worth a test drive". That is not nothing, but it is also not transformation.

AU Outlook

If you were waiting for European EV pricing to come down to meet you, watch what Audi and BMW do next. Both have to respond, because a 530 km Lyriq at $95,000 drive-away is going to drag the segment lower no matter what they think of their own pricing power. For buyers, the move is straightforward. Book a test drive, then watch what the German brands do in the next ninety days. There is more discounting in this segment, not less.