New vehicle sales rebounded in September‚ following the previous month’s decline‚ as strong demand from local dealerships and car rental firms provided support for the local automotive industry.
Figures from the National Association of Automobile Manufacturers of South Africa (Naasma) released on Wednesday recorded total vehicle sales at 60‚854 units last month — an increase of 11.5% compared with the same period last year following the 1.3% year-on-year drop in new car sales in August to 55‚751 units.
Of the total industry sales in September‚ more than 70% represented dealer sales and about 17% represented sales to the vehicle rental industry.
Domestic sales of new light commercial vehicles‚ bakkies and minibuses increased by 24.7% during the month‚ with sales of heavy trucks and buses also performing well‚ up 16.9%.
Local vehicle exports surged to to 30‚778 units‚ a 258% increase from the same time a year ago. “Whilst the improvement in underlying domestic new vehicle sales and export sales was encouraging‚ it was advisable to retain a cautious position regarding the outlook for the automotive sector for the balance of 2014‚” Naamsa said.
“Lower economic growth‚ recent increases in interest rates‚ the possibility of a further interest rate hike before year end and above inflation new vehicle price rises — would combine to ensure that the new vehicle sales trading environment would remain difficult‚” said Naamsa.
-Business Day
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