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Aggregate new vehicle sales fell 4.1% year on year in September, as the vehicle market continues to be hit by external factors impacting on consumer sentiment.
The Automotive Business Council said export sales recorded a 12.6% decline while new passenger car sales dropped 8.4%.
CEO, Mikel Mabasa said “significant pressure” was exerted on the industry by various external business factors, which included higher fuel prices, ongoing transport logistic challenges, power outages, and the volatility in commodity prices, among others.
However, he said despite these challenges, the industry was showing resilience in terms of year-to-date sales and export performance, which is ahead 8.3% year-to-date.
Mabasa said this could be attributed to the relatively low production volumes, emanating from the impact of the 2022 floods.
Vehicle exports for the year to date were now 8.3% ahead of the same period last year, at a total of 285 200 units.
“Although the South African Reserve Bank (SARB) maintained the repurchase rate at 8.25% in September 2023, the automotive industry continues to grapple with concerns over consumer affordability,” Mabasa added.
The Automotive Business Council will also be hosting the South African Automotive Week from 11-13 October 2023 in Midrand.
