New vehicle sales in 2016 began on a weak note, but it was what the industry was expecting.
Motor manufacturing industry, Naamsa, said Monday that aggregate new vehicle sales in January fell by 6.9% year-on-year.
"In the event, January 2016 aggregate new vehicle sales at 48 615 units had registered a decline of 3 613 vehicles or a fall of 6.9% compared to the 52 228 vehicles sold in January last year. The January, 2016 export sales at 13 057 units reflected an unexpectedly large decline of 3 652 vehicles or a fall of 21.9% compared to the 16 709 vehicles exported in January last year," a Naamsa statement said.
"Overall, out of the total reported Industry sales of 48 615 vehicles, an estimated 36 456 units or 75.0% represented dealer sales, 18.4% represented sales to the vehicle rental Industry, 4.4% to Industry corporate fleets and 2.2% to government."
"The new car market had continued to experience pressure during January, 2016 and at 34 936 units reflected a decline of 2 272 cars or a fall of 6.1% compared to the 37 208 new cars sold in January last year. The car rental Industry had again made a strong contribution and had accounted for 24.6% of new car sales in January, 2016," Naamsa added.
"Domestic sales of industry new light commercial vehicles, bakkies and mini buses at 12 074 units during January, 2016 reflected a decline of 1 090 units or a fall of 8.3% compared to the 13 164 light commercial vehicles sold during the corresponding month last year. Model run outs and model run ins had played a role in the January sales numbers."
Naamsa said industry new vehicle exports during January, 2016 had registered a substantial decline compared to the corresponding month last year.
"Logistics and shipment capacity constraints had contributed to the lower January export numbers. A substantial increase in new vehicle exports was expected to materialise from March, 2016 onwards and, at this stage, industry projections for exports during 2016 showed an improvement of around 40 000 vehicles or about 12% to an anticipated 375 000 export units."
