South African new car sales for December 2012
New vehicle sales in South Africa ended on a positive note in December 2012 with aggregate industry sales totalling 46 016 units, 1.8% (825 units) up on sales in December 2011, according to the National Association of Automobile Manufacturers of South Africa (NAAMSA). NAAMSA predicted industry growth of around 8% in 2012 which in the event now sits at 9.2% when compared to 2011 sales.
Summary: New vehicle sales in South Africa December 2012
- Total units sold 46 016 units (+1.8%)
- Year-on-Year volume improvement of 7.6%
- Exports up by 39.2% or 19 719 units in December 2012
- 2012 Industry growth of 9.2% compared to 2011
- 439 997 new passenger cars sold in 2012, up by 11.3% compared to 2011
- New vehicle related sales turnover up by 11% in 2012
Looking forward to 2013
NAAMSA predicts 7.3% growth in domestic sales volumes for 2013 based on the assumption that the South African economy will grow, in real terms, by around 3% in 2013, while also factoring in other domestic and international trends.
Factors that will continue to support industry growth include
- Low interest rates
- Improved vehicle affordability
- New high-technology model introductions
- Easier access to vehicle finance
- Continued strong replacement demand
Other positive factors include expected growth in the South African economy, economic stability, investment confidence, growth and employment, car rental industry demand and a sound and stable monetary and fiscal policy environment.
Factors that will negatively impact industry growth include
- Rising inflationary pressures
- Upward pressure on interest rates towards the end of 2013
- Global economic woes
- Domestic and international geo political events
NAAMSA predicts that domestic vehicle production will increase from approximately 550 000 vehicles produced in 2012 to about 650 000 vehicles in 2013, an increase of around 18%. The industry aims to achieve a production figure close to 1.2 million vehicles by the year 2020.
According to NAAMSA, 2013 is likely to prove a more challenging year for the SA Automotive Industry. However, the Industry remains well positioned to continue to make a positive contribution to the South African economy, particularly if economic growth in excess of 3.0% materialises.
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