It was the last Australian Grand Prix to be held prior to the race becoming a round of the Formula One World Championship the following year.

The trend of the race organiser Bob Jane of importing overseas star racers (mostly Formula One drivers) continued.

1984 Australian Drivers' Championship winner and front row qualifier, John Bowe, led the race until lap 9 when overtaken by Moreno after a loose spark plug lead caused his 1.6-litre Ford engine to misfire.

Both keen aviators, Lauda and Rosberg had actually spent most of practice and qualifying attending an air show at the nearby Essendon Airport, with newly crowned World Champion Lauda stating that he was in Australia mostly for a holiday and just to get away from Europe.

First Rosberg then de Cesaris caught and overtook the Tiga FA81/83 of Alfredo Costanzo to fill the podium positions.