GAC Australia has confirmed a shorter-range AION UT will join its local electric vehicle line-up in late 2026.

The new variant will use a smaller 44kWh Magazine Battery 2.0 pack and is set to deliver up to 320km of estimated WLTP driving range.

Pricing and local specification are still to be confirmed, but the smaller-battery model is expected to give GAC a lower entry point beneath the existing AION UT, which currently starts from $31,990 driveaway nationwide.

That would put the new variant into one of the most competitive parts of Australia’s EV market, where the 2026 Geely EX2, 2026 BYD Atto 1 and 2026 GWM ORA 5 SUV are all fighting for budget-conscious buyers.

CarSauce previously covered the current AION UT pricing and specifications, with the new short-range model set to broaden the range rather than replace the existing version.

Budget EV fight tightens

GAC has pitched the short-range AION UT as a model focused on urban driving and lower purchase cost.

Kevin Shu, CEO, GAC Australia, said the company had identified demand for more affordable electric cars.

"GAC is committed to delivering products that are tailored to the needs of Australian consumers, and in this instance, the call for more accessible entry-level EVs was particularly strong," Mr 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."

The timing means GAC will arrive with the short-range AION UT after several cheaper EVs have already entered the market.

The 2026 BYD Atto 1 is priced from $23,990 before on-road costs, while the 2026 Geely EX2 starts from $26,490 before on-road costs.

The 2026 GWM ORA 5 SUV is larger and starts from $33,990 driveaway.

GAC says more details on the short-range AION UT will be released over the coming months.

The short-range AION UT’s 320km WLTP figure would place it above the 2026 BYD Atto 1 Premium’s 310km WLTP claim and below the 2026 Geely EX2 Inspire’s 345km WLTP claim.

It would sit further below the 2026 GWM ORA 5 SUV’s approximately 430km overseas WLTC figure, though that model also starts at a higher driveaway price.

For now, the key missing figure is price.

If GAC positions the short-range AION UT materially below the current $31,990 driveaway starting point, it could give the brand a more direct rival for Australia’s cheapest electric cars.

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