Numerous public holidays in April have failed to put a dampener on new vehicle sales.
The National Association of Automobile Manufacturers of South Africa says aggregate new vehicle sales registered strong gains with a year on year improvement of 10.5 percent.
Naamsa says Mercedez Benz is still only providing single total sales figures as a result of a directive from its German parent.
The Association says aggregate new passenger car sales, including estimates from MBSA, reflected an improvement of 12.1%, while year to date, new car sales remained 9.1% ahead of the corresponding four months of 2011.
"Aggregate Industry sales had improved by 4 034 units or 10.5% to 42 617 vehicles from 38 583 units in April last year well above the growth rate in Industry total sales of 6.9% for the four months of the year."
"Overall, out of the total detailed (disaggregated) reported Industry sales of 40 417 vehicles (excluding MBSA), 90.7 % or 36 671 units represented dealer sales, 4.1% to Industry corporate fleet sales, 2.8% represented sales to the vehicle rental Industry and 2.4 % sales to Government. From a seasonal perspective, sales to car rental companies were expected to improve from June, 2012 onwards as the car rental Industry started to re-fleet," Naamsa said.
"Aggregate Industry new car sales during April 2012 had performed reasonably well and at 29 517 units (including MBSA) reflected an improvement of 3 190 units or 12.1 % compared to the 26 327 new cars sold during April 2011. Interestingly, the year on year growth momentum in April new car sales had improved rising to its best level in the past six months. Year to date new car sales remained 9.1% ahead of the corresponding four months of 2011."
Naamsa says vehicle exports in April declined by 11 percent.
"Industry export sales were expected to improve modestly over the balance of the year as the Ford global compact vehicle export programme and the BMW new 3 series export volumes were ramped up," Naamsa said.
"However, the Industry's overall export performance during 2012 would remain a function of the direction of the global economy. Vehicle exports into Europe remained under pressure as a result of the recession and debt crisis in the Eurozone. As a result, Industry vehicle export projections had been revised downwards and were now expected to reach about 270 000 vehicles down from 300 000 units originally projected for 2011."
It says the outlook for 2012 remains one of modest growth.
"Factors that would continue to lend support to the domestic market included the ongoing improvement in the financial position of consumers, relatively low interest rates, continuing improvement in vehicle affordability in real terms, the highly competitive trading environment and new model introductions."
"Continued growth in consumer expenditure and public sector infrastructural investment would also support domestic new vehicle sales. As a result, domestic sales were expected to continue to reflect growth, but at a relatively subdued rate. At this stage, domestic sales were expected to improve by between 8% and 10%."
