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New vehicle sales momentum weakened in February with aggregate industry sales just 1.6% up year on year.
The National Association of Automobile Manufacturers of South Africa, says export sales performed well, improving by 22.4 % year on year.
Naamsa says the momentum of vehicle exports is expected to improve further over the rest of the year, with exports of light commercial vehicles expected to increase substantially during 2013.
Naamsa's Norman Lamprecht says the overall near term outlook for the automotive sector remained reasonably positive.
However, he says rising inflationary pressures will limit growth in real disposable income and growth for 2013 is projected at around seven percent.
"Negative factors include the increase in the recent emission tax which would result in an average price increase of between 0.5% and 1% from the 1st of April, thereafter is inflation as a result of the increasing cost in living, the impact of the weak Rand on the industry and the International economic development is affecting the industry" Lamprecht said.
Lamprecht says vehicle exports for 2013 are expected to exceed the previous record of 284 000 units achieved in 2008.
He says its anticipated that exports will be around 360 000 units on the back of the strong performance of light commercial vehicle exports.
Lamprecht says last year the South African motor industry exported vehicles to 87 countries world-wide.
However, he says this is expected to grow substantially with Ford saying it would export its new Ranger pick-up to around 148 markets around the world.
"The main markets remain the US, Europe and Japan and obviously with the recession in the European Union it specifically affected passenger car exports to Europe last year, but the decline through Europe was compensated by an increase of more that 10 000 vehicles into Africa as well as increase exports through Russia, China and Australia" he said.
