New car exports will fall short of projections

Strike toll will be known this month, writes Ed Richardson EXPORTS OF new cars from South Africa are expected to drop as a result of the recent automotive strike, warns the National Association of Automobile Manufacturers of South Africa (Naamsa). In its comment on the August sales figures for the industry, Naamsa said vehicle exports for August, 2001 would be "severely affected". "Whilst manufacturers would take steps to make up for lost export production, it was unlikely that the industry would achieve the originally projected 105 000 units for year 2001," says Naamsa. Full year 2001 new vehicle sales - domestic and export units - are now expected to fall short of original projections due to the strike. "Moreover, the industryÕs future export performance would increasingly be tied to conditions in the global economy which was currently showing signs of a slow down, says Naamsa. "A clearer picture of the impact of the recent strike on domestic and export sales would emerge during the month of September, 2001," it adds. This pessimism is in sharp contrast to the more than 70% year on year growth in new vehicle exports up to July.