After a slight upturn in April, new-vehicle sales plummeted again in May with major decreases in South Africa's car and commercial vehicle segments.
Motor industry body Naamsa attributed it to national election jitters that “applied a handbrake on purchases of big-ticket items such as vehicles”, along with an additional public holiday during the month. Export sales also recorded a substantial 19.1% decrease to 24,235 units in May compared to May 2023.
The 37,105 units sold domestically last month reflected a 14.2% decrease compared to May 2023. Light commercials, including bakkies and minibuses, were the biggest losers with 10,334 sales last month, a 19.5% loss over May 2023. Passenger cars fared better but still dropped 11.7% to 24,367 units year on year.
The medium truck segment fell 7.3% and heavy trucks and buses decreased 17.1%.
The steep sales drop occurred despite positive factors which included the second consecutive full month of no load-shedding, relatively low oil prices, and interest rates remaining unchanged for the sixth consecutive month.
“While this is of some comfort to indebted consumers, the high lending rate combined with high inflation and relatively lower household income will continue to negatively impact the new-vehicle market,” said Naamsa CEO Mikel Mabasa.
“Once the rand exchange rate, consumer price inflation and fuel prices are under control, it will stimulate the economy and also the demand for new vehicles.”
Toyota remained the country's best-selling brand in May with 8,795 units sold and Volkswagen was back to second place with 4,939 sales after being overtaken in April for the first time by Suzuki.
TOP 15 SELLING BRANDS IN MAY 2024
- Toyota — 8,795
- Volkswagen — 4,939
- Suzuki — 4,101
- Ford — 2,860
- Hyundai — 2,185
- Isuzu — 1,626
- Chery — 1,609
- Nissan — 1,522
- GWM — 1,205
- Renault — 1,110
- BMW/MINI — 1,068
- Kia — 1,003
- Mahindra — 941
- Stellantis — 515
- Mercedes-Benz — 478
These were the best-selling brands as elections stifle car sales in May
Sales of cars, bakkies and trucks plummet 14.2% compared to May 2023
Image: Dall-E
After a slight upturn in April, new-vehicle sales plummeted again in May with major decreases in South Africa's car and commercial vehicle segments.
Motor industry body Naamsa attributed it to national election jitters that “applied a handbrake on purchases of big-ticket items such as vehicles”, along with an additional public holiday during the month. Export sales also recorded a substantial 19.1% decrease to 24,235 units in May compared to May 2023.
The 37,105 units sold domestically last month reflected a 14.2% decrease compared to May 2023. Light commercials, including bakkies and minibuses, were the biggest losers with 10,334 sales last month, a 19.5% loss over May 2023. Passenger cars fared better but still dropped 11.7% to 24,367 units year on year.
The medium truck segment fell 7.3% and heavy trucks and buses decreased 17.1%.
The steep sales drop occurred despite positive factors which included the second consecutive full month of no load-shedding, relatively low oil prices, and interest rates remaining unchanged for the sixth consecutive month.
“While this is of some comfort to indebted consumers, the high lending rate combined with high inflation and relatively lower household income will continue to negatively impact the new-vehicle market,” said Naamsa CEO Mikel Mabasa.
“Once the rand exchange rate, consumer price inflation and fuel prices are under control, it will stimulate the economy and also the demand for new vehicles.”
Toyota remained the country's best-selling brand in May with 8,795 units sold and Volkswagen was back to second place with 4,939 sales after being overtaken in April for the first time by Suzuki.
TOP 15 SELLING BRANDS IN MAY 2024
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