New vehicle sales in South Africa are slowly picking up but have yet to reach 2019 levels. This is according to the National Association of Automobile Manufacturers of SA (Naamsa).
“We are not out of the woods yet. While vehicle exports are making a steady comeback, we remain cautiously anxious about the reports of a Covid-19 second wave across Europe which could further depress our overall outlook for the balance of this year,” says Naamsa CEO Mikel Mabasa.
“The downward trajectory in the new vehicle market continued during the month of October, albeit at a slower pace, with aggregate domestic sales at 38 752 units reflecting a decline of 13 216 units, or 25.4%, from the 51 968 vehicles sold in October last year. Export sales at 33 474 units also declined by 7 792 units or 18.9% compared to the 41 266 vehicles exported in October 2019.”
According to a statement from the organisation the year-to-date sales figures tell a dismal story, reflecting a decline of 146 261 units, or 32.5%, compared to the corresponding period last year.
Mabasa said he remained pessimistic about automotive business conditions over the next six months.
“Vehicle export numbers are gradually regaining momentum but in terms of a recovery much will depend on an improvement in the economic climate of the South African automotive industry’s main trading partners.
