Physical Address

BOX 5, Westhoven, 2142

naamsa November 2023 New Vehicle Sales

PRETORIA: naamsa | The Automotive Business Council says the current logistical challenges at the country’s ports and freight rail network negatively impact the vehicle production landscape and new vehicle sales in South Africa.

The current challenges will soon have a devastating domino impact on the entire auto value chain. While supply chains are gradually stabilising globally and semi-conductor shortages are anticipated to ease, our erratic logistical challenges will become the single biggest risk for the sector should we not urgently address many of the leadership and systemic structural challenges experienced by Transnet.

The sector’s productivity relies heavily on infrastructure investment, sustainable energy supply, and the revitalisation of SA’s Ports, Rail, and Road. A conducive framework is crucial to support these critical elements.

Focussing on the November New Vehicle Data, naamsa CEO Mikel MABASA said, “November’s vehicle data reveals a fourth consecutive monthly decline in new vehicle sales, attributed to the return of the Stage 6 load-shedding’s schedule and supply chain disruptions at Transnet.

All new vehicle market segments declined, with a boost from the export side. The November 2023 vehicle market declined by 13,4% and recorded 43,281 registrations compared to the 49,986 vehicle registrations in November 2022.

Overall, out of the total reported Industry sales of 43,281 vehicles, an estimated 36,735 units or 84,9% represented dealer sales, an estimated 9,9% represented sales to the vehicle rental industry, 2,5% to industry corporate fleets, and 2,7% to the government.

The new vehicle market was 1,3% below the pre-pandemic level of 2019 at the beginning of 2023. For the year to date, it was now 0,5% ahead of the same period in 2022, which means that depending on the December sales figures, it could miss out on returning to the pre-pandemic level after three years.

The November 2023 new passenger car market at 29,252 units had registered a significant decline of 4,184 cars, or a loss of 12,5%, compared to the new cars sold in November 2022. The dealer market and car rental sales accounted for 82,4% or 24,088 units and 12,6% or 3,672 units of the new passenger vehicle sales, respectively.

Domestic sales of new light commercial vehicles, bakkies, and mini-buses at 11,279 units during November 2023 had recorded a decline of 2,188 units, or a loss of 16,2%, from the 13,467 light commercial vehicles sold during November 2022.

Sales for the medium commercial vehicle segment at 785 units reflected a decline of 123 units, or a loss of 13,5%, compared to the 908 medium vehicle sales recorded in the same period last year.

The heavy truck and bus segments of the industry reflected a loss of 210 units or a 10,7% decline during the month at 1,965 units, compared to the 2,175 units sold during the corresponding month last year.

The November 2023 aggregate export sales continued in line with general industry expectations and increased by 23,5% at 41,008 units compared to the 33,207 recorded for November 2022 export units.