March 2025 was the SA new-vehicle market’s 6th straight month of year-on-year growth. Here’s your full market overview, including a look at the country’s best-selling automakers…
In March 2025, South Africa’s new-vehicle market recorded its 6th consecutive month of year-on-year growth, with sales increasing 12.5% to 49 493 units. This performance – the market’s best in virtually 2 years – furthermore represented a 3.2% improvement over February 2025’s showing.
Naamsa described March 2025 as a “pivotal month” for the local industry, with the positive news extending to the export front, too, with this part of the market seeing growth for the first time in some 10 months. In the end, export sales from Mzansi surged 31.1% year on year to 39 477 units in March 2025.
According to the industry representative body, some 86.8% of last month’s total reported domestic industry figure represented dealer sales, while an estimated 7.3% were sales to the new-vehicle rental industry, 3.5% to government and 2.5% to industry corporate fleets.
Unsurprisingly, it was SA’s new passenger-vehicle segment that again drove growth in the overall market, with sales here rocketing 25.3% year on year to 33 447 units (the rental channel accounting for 7.2% of that figure). Meanwhile, domestic sales of new light-commercial vehicles again declined year on year, this time falling 8.4% to 13 328 units.
Meanwhile, Brandon Cohen, National Chairperson of the National Automobile Dealers Association (NADA), said the results proved that South African consumers had a “strong appetite for new passenger vehicles in March”, though added that the actual tally “may be [even] higher than reported, as several Chinese brands are not yet included in the current data”.
“The resilience in new-vehicle sales is evident, despite ongoing financial constraints for consumers. The growing pressure on financial institutions to approve credit is influencing purchasing behaviour, while rising electricity costs and fluctuating fuel prices continue to strain household budgets. Nevertheless, new-car sales remain buoyant, particularly in the lower market segments, with medium car sales remaining stable,” Cohen pointed out.
WesBank added that the industry “continued to defy economic turmoil in March to mark 6 consecutive months of year-on-year growth and round out 2 optimistic quarters of growth for the South African motor industry”. Lebo Gaoaketse, Head of Marketing and Communication at WesBank, suggested this growth came at a time when “local economic headwinds” were providing “more challenges than positives”.
“While the pending increase in VAT only amounts to R500 per R100 000, we expect that some purchase decisions will have been accelerated by its imminent implementation. While interest rates remained unchanged during the month, their levels have alleviated some affordability, stimulating demand in the market for new vehicles. WesBank has also experienced a reduction in balloon amounts financed year-on-year, reinforcing the positive improvements in affordability in the market,” explained Gaoaketse.
New-vehicle sales summary for March 2025
- Aggregate new-vehicle sales of 49 493 units increased by 12.5% (5 504 units) compared to March 2024.
- New passenger-vehicle sales of 33 447 units increased by 25.3% (6 756 units) compared to March 2024.
- New light-commercial vehicle sales of 13 328 units decreased by 8.4% (1 227 units) compared to March 2024.
- Export sales of 39 477 units increased by 31.1% (9 354 units) compared to March 2024.
SA’s 10 best-selling automakers in March 2025
Toyota SA Motors (which includes the Lexus and Hino brands) ended March 2025 on 11 660 units, representing a marginal month-on-month fall of 0.7%. Of course, that tally was more than enough for the Japanese giant to retain 1st position, again more than doubling the efforts of the market’s next-strongest contender.
That runner-up spot in March went to Suzuki Auto SA, meaning the Hamamatsu-based automaker has placed 2nd in each of 2025’s opening 3 months. In the end, Suzuki registered a total of 5 284 units, some 12.6% down on its February’s figure. Volkswagen Group Africa (including Audi sales) thus again had to settle for 3rd place, with its sales dipping 6.4% month on month to 4 913 units (for the record, that’s 371 sales behind Suzuki).
Hyundai (3 103 units) and Ford (2 907 units) both enjoyed slight month-on-month sales increases to remain in 4th and 5th position, respectively. Isuzu registrations surged 20.1% (compared to February 2025) to 2 759 units, which saw the Japanese brand comfortably keep 6th place.
Having returned to the top 10 in February, Nissan climbed a further 3 rankings to grab 7th in March 2025, with sales ballooning 53.8% (admittedly off a relatively low base) month on month to 2 303 units. Meanwhile, Indian automaker Mahindra put in what was easily its best performance yet, with local registrations climbing 39.9% month on month to a record 2 253 units.
Fascinatingly, that meant the market’s 2 largest Chinese brands were resigned to the final 2 spots in the top 10. Despite GWM sales increasing 20.6% month on month to 2 066 units – the first time the firm has breached the 2 000-unit mark since July 2023 – the company slid a place to 9th in March. Chery, meanwhile, fell 3 rankings to 10th, with registrations dipping 1.0% month on month to 1 904 units.
Still, Chery’s total was enough to again prevent Kia (1 402 units) and Renault (1 402 units) from re-entering the top 10. BMW Group SA (with a Naamsa-estimated 1 337 units) followed in 13th place, ahead of Omoda & Jaecoo (806 units) in 14th and Mercedes-Benz (with a Naamsa-estimated 563 units) in 15th.
1. Toyota – 11 660 units
2. Suzuki – 5 284 units
3. Volkswagen Group – 4 913 units
4. Hyundai – 3 103 units
5. Ford – 2 907 units
6. Isuzu – 2 759 units
7. Nissan – 2 303 units
8. Mahindra – 2 253 units
9. GWM – 2 066 units
10. Chery – 1 904 units
Sales outlook in South Africa for remainder of 2025
So, where to from here for South Africa’s new-vehicle market? Well, on the monetary policy level, Naamsa points to the country’s currently “stable” borrowing costs as a clear positive. However, it adds that “challenges such as energy constraints, rising living costs and the upcoming VAT increase in April may pose new hurdles in the months ahead”.
“Despite these potential headwinds, South Africa’s automotive industry remains committed to long-term growth and resilience,” the industry representative body says, adding that the industry has again “proved its ability to thrive amid geopolitical shifts and sustain its long-term growth trajectory”.
- ALSO READ: How many X3 units were built in SA in 2024
Meanwhile, NADA’s Cohen says while financial downturns have “historically” led to a “marked shift towards used vehicles as more affordable options”, this trend is “not as pronounced in the current environment, with strong growth in new-vehicle sales instead”. Still, NADA suggests the best approach currently is one of caution.
“With overall sentiment remaining constrained, we are adopting a cautious stance, particularly with the upcoming Budget Vote and potential US tariff announcements on the horizon. The sustained demand for passenger vehicles is a positive indicator, but broader economic uncertainties continue to shape the outlook for the automotive sector,” explains Cohen.
Finally, WesBank’s Gaoaketse says the arrival of “more and more Chinese brands and products is certainly creating more volume for the market at affordable prices with attractive specification levels”, adding that “some of these sales are winning market share from legacy brands, indicating a shift in buying behaviour as consumers become more product conscious and less brand conscious in their vehicle choice”.
In addition, Gaoaketse suggests relief at the pumps “thanks to substantial decreases across the fuel board during April” means consumer confidence “should remain as bullish as 1st quarter sales would suggest, providing a strong impetus for 2nd quarter sales. However, political and economic uncertainties continue to prevail, which could impact the growth trajectory”.
Related content
Farewell, Corolla Quest! SA-built sedan bows out
