Naamsa reports that “impressive gains” were recorded in all four sectors of new vehicle sales in August. Statistics show that 4 120 (13,5 per cent) more vehicles were sold last month than the corresponding period last year.

Naamsa reports that “impressive gains” were recorded in all four sectors of new vehicle sales in August. Statistics show that 4 120 (13,5 per cent) more vehicles were sold last month than the corresponding period last year.


August’s sales total of 34 644 units heralded a successive month of strong retail performance in the new vehicle market and Naamsa attributed this to “recent interest rate reductions, expectations of further rate cuts, improved affordability on the back of price stability, attractive sales incentive packages and continuing demand from the car rental sector”.


New car sales in August (22 979 units) reflected a gain of 2 640 (13 per cent) compared with the 20 339 units sales recorded during the same period last year. Moreover, the new car sales were virtually unchanged from July’s sales – which “in itself had been an amazingly strongly month”, Naamsa said.


Sales of new light commercial vehicles, bakkies and minibuses rebounded strongly during August and at 10 154 units reflected an improvement of 1 104 units or 12,2 per cent compared with the 9 050 units sales recorded during the corresponding month last year. Light commercial vehicle sales also rose 4,4 per cent (426 units) compared with the sector’s figure for July.


Sales of vehicles in the medium and heavy truck segments of the industry in August had strong upward momentum. With sales of 575 and 936 units respectively, the sector improved by 42 units or 7,9 per cent, in the case of medium commercials, and 334 units or 55,5 per cent, in the case of heavy trucks and buses – compared with the corresponding month last year.


Sales of heavy trucks remained close to monthly record levels and prospects for this sector remained above average going forward on the back of continued support from general replacement demand and positive investment sentiment, a Naamsa spokesman said.


Naamsa said sales of new motor vehicles were expected to keep increasing for the rest of the year, supported by further reductions in interest rates, ongoing improvement in new vehicle affordability as a result of price restraint by manufacturers, more sales incentive packages and an expected overall improvement in the South African economy.


“Further expected improvements in vehicle exports, coupled with a stronger domestic market, should enable the automotive industry to make a major contribution to the impending upturn in manufacturing output in South Africa,” the spokesman said.



:: Click here to access the August new vehicle sales figures.::

Original article from Car