SA’s best-selling brands and vehicles in December 2023
South Africa’s new-vehicle market registered its 5th consecutive year-on-year decline in December 2023, closing out the calendar on a negative note. Here’s your overview, including Mzansi’s most popular brands, best-selling vehicles and more…
The figures are (finally) in: December 2023 was the South African new-vehicle industry’s 5th consecutive month of year-on-year decline. Yes, the closing month of the year saw the market register a total of 40 329 units, translating to a 3.3% drop compared with the corresponding month in 2022.
Furthermore, December 2023’s final tally represented a month-on-month fall of 10.5% compared with November 2023’s effort of 45 075 units (though it’s worth keeping in mind there are traditionally fewer trading days in the final month of the year).
Out of the total reported industry sales in December 2023, Naamsa estimated that 35 483 units (or 88%) represented registrations via the dealer channel, while 8.7% were sales to the vehicle-rental industry, 2.2% to government and 1.1% to industry corporate fleets.
In December 2023, Mzansi’s new passenger-vehicle market registered a year-on-year decline of 3.9% to finish on 27 606 units. The light-commercial vehicle segment likewise experienced a marginal drop, ending the month on 10 181 units (2.9% lower than the same month in 2022). As was the case in November, the export market showed some growth, increasing by 1.2% to 26 612 units.
Overall in 2023, SA’s new-vehicle sales increased by only 0.5% year-on-year, with 532 098 units sold across South Africa. Naamsa said it would “likely now take 4 years to recover to the pre-pandemic level of 536 612 units in 2019”. Meanwhile, total exports in 2023 of 396 290 units reflected a 12.7% gain compared with 2022, exceeding the previous record of 387 092 units achieved in 2019, according to Naamsa.
Meanwhile, Brandon Cohen, Chairperson of the National Automobile Dealers’ Association (NADA), said the “reported sales figures for December and January tend to get blurred with the different reporting strategies” of the various manufacturers in terms of reporting cut-off dates.
“So, it is usually best to wait for the end of January when one can combine the December and January figures and divide them by two to get an accurate picture of the end-of-year trends,” suggested Cohen.
“Overall, last year, dealers had to cope with tough market conditions that were, arguably, the toughest since 2007 or even 1998 in terms of economic pressure on consumers. This led to some overstocking, placing importers, distributors, and manufacturers under significant pressure to facilitate stock movement. Consequently, efforts were made to enhance market activity through year-end incentives, ensuring sustained sales momentum,” he added.
New-vehicle sales summary for December 2023
- Aggregate new-vehicle sales of 40 329 units decreased by 3.3% (1 392 units) compared to December 2022.
- New passenger-vehicle sales of 27 606 units decreased by 3.9% (1 131 units) compared to December 2022.
- New light-commercial vehicle sales of 10 181 units decreased by 2.9% (303 units) compared to December 2022.
- Export sales of 26 612 units increased by 1.2% (317 units) compared to December 2022.
10 best-selling automakers in SA in December 2023
Yes, Toyota ended the year exactly where it started: right on top. In December 2023, the Japanese giant registered 11 200 units in Mzansi, again finishing miles ahead of the 2nd-placed Volkswagen Group (5 274 units). Once more, Suzuki completed the podium, despite its sales slipping to 3 355 units (23.2% down on November’s showing and its lowest effort of what turned out to be a record year for the brand).
Meanwhile, Hyundai (2 569 units) climbed 2 positions to claim 4th in December, forcing Ford (2 489 units) down to 5th place and Nissan (1 900 units) to 6th. Renault wasn’t far behind in 7th position, with its tally of 1 864 sales seeing it fall just 36 units short of its alliance partner.
China’s Haval (1 480 units) moved up a spot to 8th, while Isuzu suffered a 32% month-on-month decline to end December on 1 434 units (sliding 2 rankings in the process). Finally, Kia again closed out the table, finishing 2023’s ultimate month on 1 415 units.
Outside of the top 10, Chinese firm Chery (1 401 units) again had to settle for 11th position, though was comfortably ahead of the BMW Group (980 units), Indian automaker Mahindra (737 units) and Mercedes-Benz (736 units, by Naamsa’s estimation).
1. Toyota – 11 200 units
2. Volkswagen Group – 5 274 units
3. Suzuki – 3 355 units
4. Hyundai – 2 569 units
5. Ford – 2 489 units
6. Nissan – 1 900 units
7. Renault – 1 864 units
8. Haval – 1 480 units
9. Isuzu – 1 434 units
10. Kia – 1 415 units
10 best-selling vehicles in South Africa in December 2023
The final month of 2023 saw South Africa’s best-selling vehicle overall again take gold, though this time the Prospecton-produced Toyota Hilux (2 858) was just 410 units ahead of the Kariega-manufactured Volkswagen Polo Vivo (2 448 units), which climbed a spot to 2nd.
That saw the Ford Ranger slip a position to 3rd, with 1 936 registrations last month. The likewise locally built Toyota Corolla Cross (1 932 units) again claimed 4th, though ended up a mere 4 units behind the Silverton-made bakkie.
However, the biggest mover was the Toyota Vitz (1 358 units), with the Suzuki-built budget hatchback (which is currently SA’s cheapest car, bearing a starting price of R169 899 courtesy of a long-running promotion) cracking 4 figures for the first time to grab a strong 5th position. The Toyota Hi-Ace (1 056 units) remained in 6th.
The Struandale-built Isuzu D-Max (1 023 units) fell 2 places to 7th, though just about managed to keep its nose ahead of the Toyota Starlet, which ended December 2023 on 1 013 units, falling a place in the process. The latter Suzuki-built model was the highest-placed imported vehicle overall. The Suzuki Swift (967 units) held steady in 9th, while the Renault Triber (901 units) earned the final place on the list.
What about the vehicles just outside the top 10 in December 2023? Well, the Chery Tiggo 4 Pro (898 units) came exceedingly close to cracking the nod, while the locally manufactured Toyota Fortuner (798 units) finished in 12th. The soon-to-depart Nissan NP200 (749 units) fell from the top 10, while the Hyundai i20 (741 units) and Hyundai Grand i10 (731 units) completed the top 15. There was no place for the Volkswagen Polo hatchback (708 units).
1. Toyota Hilux – 2 858 units
2. Volkswagen Polo Vivo – 2 448 units
3. Ford Ranger – 1 936 units
4. Toyota Corolla Cross – 1 932 units
5. Toyota Vitz – 1 358 units
6. Toyota Hi-Ace – 1 056 units
7. Isuzu D-Max – 1 023 units
8. Toyota Starlet – 1 013 units
9. Suzuki Swift – 967 units
10. Renault Triber – 911 units
Vehicle-sales outlook in SA for 2024
So, what does 2024 hold for South Africa’s new-vehicle market? Well, Naamsa says the pause in interest-rate increases by the South African Reserve Bank during the 2nd half of 2023 “as well as the easing in inflation will continue to provide some support to counter the growing pressures on household incomes”.
“Alongside faster economic growth and moderate inflation, lower interest rates would go a long way to support the new-vehicle market in 2024,” says the industry representative body, adding vehicle exports will likely be supported by a global economy that is “expected to remain weak” and inflation that “is likely to gradually decrease”.
Indeed, Naamsa CEO Mikel Mabasa says he remains “hopeful” that 2024 will deliver a more positive outcome in terms of new-vehicle sales, after the market was not quite able to match the “pre-pandemic levels” of 2019.
Meanwhile, NADA’s Cohen says the outlook for 2024 is “cautiously optimistic, especially going into the 2nd half of the year with expectations that interest rates should come down in the next few months on the back of lower fuel prices and hopefully a gradual decline in inflation”.
“We will be closely monitoring currency exchange rates as these are very fluid due to the global factors affecting them, such as wars, natural disasters and the many general elections pending worldwide in 2024, including right here in South Africa. This year will certainly not be a leisurely ride and will again require resilience and commitment from the dealer network,” concludes Cohen.
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