Ricochet News

Record New Vehicle Exports Of 32 165 Units in October

Nov 4, 2014
Record New Vehicle Exports Of 32 165 Units in October

The National Association of Automobile Manufacturers of South Africa (Naamsa) says that new vehicle exports in October were a record 32 165.

However, it cautions that while this is an increase of 7 973 units on the same month last year, exports in October 23 were affected by the prolonged strike action.

Naamsa says that against the background of “current normalised production volumes, further improvement in export numbers is anticipated over the remainder of 2014 and through 2015”.

Naamsa says the “remarkable strong domestic sales trend” experienced in September had continued into October, with 59 262 units sold, a “substantial improvement” of 2 654 vehicles or 4.7% compared to the same month last year.

The Association says that while the improvement in domestic new vehicles sales and exports was “encouraging, it was advisable to retain a cautious outlook regarding the expected performance of the automotive sector for the balance of 2014 and 2015.

“Subdued economic growth, past increases in interest rates and above inflation new vehicle price rises will translate into a difficult trading environment, particularly at franchise dealer level.

“The recent strength of the domestic market could result in overall new vehicle sales for 2014 reaching levels similar to those recorded in 2013.”

Naamsa reports that of the total new vehicle sales of 59 262, some 77.2% represented dealer sales, 14.3% sales to the vehicle rental industry, 4.3% to government and 4.2% to industry corporate fleets.

The Association said the “star performer” in October was domestic sales of new light commercial vehicles, bakkies and mini-buses, a segment of the market in which there were “exceptionally strong gains,” which 15 827 units sold, an increase of 1 941 or 14% on the same month last year.

It noted that the improvement in heavy truck was “encouraging” and “reflected. - MetroMinutes.


Photo courtesy of www.auto-meth.co.za