Continuing the strong start to the year, new vehicle sales had another revved up month in May.
The 45,308 units sold reflected a substantial 22% gain over May 2024 and sales were buoyed by declining interest rates and relatively stable economic fundamentals, according to motor industry body Naamsa.
New cars led the charge with 31,741 units sold last month, a 30% gain over the same month in 2024. Light commercial vehicles, including bakkies and minibuses, found 10,938 owners, a 5.8% increase over May last year.
Sales for medium and heavy truck segments were also up.
The South African Reserve Bank's decision to cut the repo rate to 7.25% — taking the prime lending rate to 10.75% — signalled a welcome policy pivot in support of industrial growth, affordability and macroeconomic stability, said Naamsa CEO Mikel Mabasa.
“The Reserve Bank’s decision will add further momentum to these gains as consumers respond positively to improved credit conditions. With inflation easing to 2.8%, still well below the 3%-6% target range, and the rand gaining strength amid improving investor sentiment, the macroeconomic environment became more conducive to supporting consumer spending and business investment,” he said.
The SARB's latest decision to lower interest rates supported consumer affordability and boosts production competitiveness as global uncertainty weighed heavily on export markets, he said, while admitting the new tariff measures announced by US President Donald Trump remain a concern.
Toyota remained South Africa’s favourite new car brand in May, with Suzuki Auto in second place ahead of Volkswagen. The latter was affected by the temporary closure of its Gqeberha factory to prepare for the assembly of a new small SUV, which meant fewer Polos and Polo Vivos were assembled during the month.
TOP SELLING BRANDS — MAY 2025
- Toyota — 10,330
- Suzuki — 5,536
- Volkswagen Group — 4,582
- Hyundai — 3,251
- Ford — 2,932
- GWM — 2,069
- Chery — 1,995
- Isuzu — 1,961
- Mahindra — 1,524
- Kia — 1,406
- Renault — 1,302
- BMW Group — 1,253
- Omoda and Jaecoo — 924
- Nissan — 907
- Stellantis — 641
- Jetour — 620
- Mercedes-Benz — 523
- FAW Trucks — 487
- Daimler Truck — 315
- Scania — 283
- Foton — 257
- BAIC — 254
- Jaguar Land Rover — 242
- JAC — 210
- Honda — 200
- Mazda — 198
- Mitsubishi — 167
- UD Trucks — 164
- Volvo Group — 136
- MAN — 111
- Powerstar — 92
- Porsche — 92
- Sinotruck — 68
- Tata — 66
- Proton — 60
- Volvo Cars — 48
- Subaru — 30
- Iveco — 26
- VECV — 21
- Babcock — 13
- Ferrari — 8
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