New Car Sales in South Africa for December 2015

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According to the National Association of Automobile Manufacturers of South Africa (NAAMSA), domestic car sales showed further decline in December 2015, with the exception of light commercial vehicles, which registered an increase of 3.9%. Toyota came out on top, once again, as South Africa’s best-selling car brand while the Ford Ranger claimed top spot as the best-selling vehicle in the country.

New car sales summary – December 2015

  • 49 250 aggregate new vehicle sales down by 4.1% (2 171 units) compared to December 2014
  • 17 391 export sales down by 20.3% (4 439 units) compared to December 2014
  • 33 025 passenger car sales down by 8.2% (2 715 units) compared to December 2014
  • 13 711 light commercial vehicles up by 3.9% (599 units) compared to December 2014

Top Selling Car Brands in South Africa December 2015

Brand

Total Sales

Market Penetration %

1. Toyota

9 117 (-2 707)

18.5%

3. Volkswagen

8 869 (+1 699)

18.0%

3. Ford Motor Company

6 345 (-492)

12.9%

4. GMSA

5 231 (+681)

10.6%

5. Nissan

3 035 (-1 164)

6.2%


Top Selling New Cars in South Africa – December 2015

Model

Total Sales

1. Ford Ranger

2 914 (+306)

2. Toyota Hilux

2 729 (-1 209)

3. Volkswagen Polo

2 588 (+529)

4. Volkswagen Polo Vivo

2 534 (+595)

5. Toyota Corolla

1 715 (-863)

New Car Sales Summary for 2015

South African new car sales have declined year-on-year for two years in a row with sales declining by 4.1% overall in 2015. Factors contributing to the decline include slow down in the domestic economy, interest rate hikes, disposable income pressure and new vehicle inflationary pressure.

2015 was a tough year for the South African automotive industry, particularly at dealer level, despite incentives and the 12.5% contribution made by the car rental sector. Trading conditions were very competitive across all 52 brands with a total of 2 595 model derivatives. New car sales turnover for the year grew by 3.6% with estimates at R235 billion for the year. All-time high exports are estimated to have contributed about R80 billion to the total industry revenue in 2015.  

New Car Sales Outlook for 2016

NAAMSA predicts a "lacklustre" year ahead for the South African automotive industry. Exports however, are predicted to remain positive in 2016 with an expected export increase of 42 000 units or 12.5%.

With the downward trend in the economy expected to continue well into the year, pressure will remain with economic growth of 1% or less expected in 2016. The weakening Rand will put pressure on inflation which will see prices of new vehicles increasing during the year. The current drought will further hamper economic growth. Expected increases in interest rates, administered prices of electricity, water and fuel will continue to pressurise consumer disposable income. In conclusion, NAAMSA projects that 2016 will yield a decline of between 3.0% and 5.0% in new car sales.

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