The SA Vehicle Industry Thread

South Africa’s used-car prices are coming down, says prominent trader

The Covid-19 pandemic has not only disrupted the new vehicle market, but it has also turned the used car market on its head.

With new cars being in short supply due to a number of disruptions, including the global chip shortage, used-car prices increased as more buyers were forced into the second-hand market.

However, according to GetWorth, used-car prices are finally ticking downwards again as the new car supply improves and consumer confidence takes a knock due to higher fuel prices and interest rates.

Getworth has released a graph showing how used-car prices in various price ranges up to R800 000 have fared over the past three years and while prices are still relatively high compared to the pre-Covid-era, there is a definite downwards trend in most sectors of the market.

 
Why Mazda SA’s most expensive car is also its best seller

Against the norm, Mazda Southern Africa’s largest and most expensive passenger vehicle is also comfortably its strongest seller. So, why is this the case and what does it mean for the brand?

Typically, a mainstream automaker’s volume driver in South Africa’s passenger-vehicle space is a relatively affordable, fairly compact car. The Swift light hatchback, for example, powered Suzuki’s recent run of monthly sales records. In Volkswagen’s case, the Polo Vivo plays that role, while the Urban Cruiser routinely tops Toyota’s passenger-vehicle sales chart.

However, it’s an entirely different story for Mazda Southern Africa. Curiously, the Fuchū-based firm’s local division relies heavily on the CX-5 – its largest and most expensive passenger vehicle, topping out at a heady R742 900. Month in and month out, the elegantly styled crossover is the brand’s most popular model locally (and by some margin, too).

A closer look at Mazda CX-5 sales in 2022 so far

In order to illustrate just how dependent Mazda’s local distributor is on the CX-5, we whipped out a calculator and tallied up the brand’s individual model sales for the first eight months of 2022. Year to date, 1 563 units of the CX-5 have been registered in SA, translating to a monthly average of around 200 units and representing a hefty 44% of the company’s total passenger-vehicle sales in that time. It was Mazda’s top seller every single month.

While that sort of volume doesn’t look overly impressive when compared with the nation’s most popular vehicles, it’s far more than Mazda’s other – smaller and less expensive – products managed to achieve. For instance, over the same period, the Mazda2 attracted 805 sales, while the CX-3 finished on 647 units. The CX-30, meanwhile, settled for 320 registrations, with the Mazda3 hatchback bringing up the rear with just 213 units (the MX-5, of course, quietly skipped the country some time back).

 
How Hyundai became the world’s 3rd-biggest car company

Tesla’s share price is sky-high, but is Hyundai, in fact, the world’s ultimate deep-value car company?

A podium performance is only worthy if there are many competitors. And in the global automotive sales rankings, with about a dozen conglomerates controlling more than 60 brands, Hyundai’s had a terrific first half of 2022, during which it finished third overall. The Korean automotive multinational, which clusters the Hyundai car brand with its Kia and Genesis stablemates, trails only Toyota and Volkswagen, but is ahead of all American car companies.

With global electronics and semiconductor supply chains remaining fractured, no company had a great first half of 2022. It was a case of Hyundai’s decline being less than those of its rivals. But industry analysts and car fans won’t be surprised to learn that Hyundai is now the world’s 3rd-most powerful automotive entity.

There are good reasons for Hyundai’s lofty ranking, many of which are related to Korea’s industrial policy and high-level technical education. But Hyundai’s success also challenges the notion of what makes a great car company… and which products are perceived to guarantee success.

 
These were South Africa’s best and worst selling bakkies in August 2022

The South African bakkie market enjoyed something of a resurgence in August, with the Toyota Hilux being back in action following the reopening of the company’s Prospecton plant.

Following months of declines, South Africa’s overall light commercial vehicle market grew by 13.1% versus last August, recording a gain of 1 536 units. The Hilux, with its much-improved volume of 3 417 units, was no doubt largely responsible for this.

SOUTH AFRICAN BAKKIE SALES: AUGUST 2022

1. Toyota Hilux - 3 417
2. Ford Ranger - 1 791
3. Isuzu D-Max - 1 789
4. Nissan NP200 - 1 397
5. Mahindra Scorpio Pik-Up - 896
6. Nissan Navara - 661
7. GWM Steed - 440
8. Toyota Land Cruiser PU - 401
9. Hyundai H100 Bakkie - 231
10. Kia K2700 - 168
11. GWM P-Series - 138
12. Volkswagen Amarok - 128
13. TAC T-Series - 72
14. Mitsubishi Triton - 68
15. Suzuki Super Carry - 67
16. JAC X-Series - 61
17. Mahindra Bolero - 37
18. Peugeot Landtrek - 36
19. Volkswagen Transporter PU - 14
20. Jeep Gladiator - 13
21. Mazda BT-50 - 4
22. Kia K2500 - 2

 
A clear display of Bakkie dominance, who reigned supreme in August?

 
Sayonara! Nissan Micra Axed in South Africa

Yet another one bites the dust. The Nissan Micra has been discontinued in South Africa, with the well-known nameplate quietly riding off into the sunset after 18 years on the local market…

The Nissan Micra has exited the South African market. Yes, the Japanese firm’s local division has pulled the B-segment hatchback from sale, bringing an end to the badge’s 18-year run in the country.

Although Nissan South Africa didn’t respond to our queries on the topic, we understand the Micra – which is also known in some markets as the March – was discontinued locally at some point in August 2022. For the record, the nameplate made its debut in South Africa back in 2004 (our market missed out on the first two generations), when the K12 model touched down.

The fourth-generation (K13) Micra followed in 2011, before morphing into the prolonged lifecycle Micra Active in 2017. Finally, the fifth-generation (K14) model – which is closely related to the Renault Clio IV – launched locally in mid-2018, with the Active version continuing to be sold alongside its fresher 66 kW sibling for a couple more years.

At launch, Nissan SA promised the fifth-gen Micra would “revitalise the small car segment in South Africa”, pointing out that it played in “one of the most popular segments in the country”. The range expanded with a new flagship trim level in early 2019, before a more powerful 84 kW engine option arrived towards the end of that year.

However, local buyers didn’t ever really take to the Micra 5, which found itself struggling for scraps in a segment dominated by the Kariega-built Volkswagen Polo hatchback. Though the little Nissan was likely in a run-out phase over the past two months or so, it’s telling that just 95 units were registered in South Africa over the first eight months of 2022.

 
New vehicle sales in South Africa: September 2022

New vehicle sales summary for September 2022

- Aggregate new-vehicle sales of 47 786 units increased by 10.8% (4 639 units) compared to September 2021.
- New passenger-vehicle sales of 32 392 units increased by 9.7% (2 855 units) compared to September 2021.
- New light-commercial vehicle sales of 12 573 units increased by 14.9% (1 632 units) compared to September 2021.
- Export sales of 41 474 units increased by 104.6% (21 199 units) compared to September 2021.

10 best-selling car brands in South Africa for September 2022

1. Toyota – 12 059 units

2. Volkswagen Group – 6 750 units

3. Suzuki – 4 355 units

4. Hyundai – 3 146 units

5. Nissan – 2 649 units

6. Renault – 2 601 units

7. Isuzu – 2 287 units

8. Ford – 2 212 units

9. Kia – 2 086 units

10. Chery – 1 352 units

10 best-selling vehicles in South Africa for September 2022

1. Toyota Hilux – 2 842 units

2. Volkswagen Polo Vivo – 2 473 units

3. Isuzu D-Max – 1 968 units

4. Toyota Urban Cruiser – 1 946 units

5. Ford Ranger – 1 604 units

6. Toyota Hi-Ace – 1 526 units

7. Toyota Corolla Cross – 1 434 units

8. Volkswagen Polo (hatch) – 1 371 units

9. Suzuki Swift – 1 332 units

10. Nissan NP200 – 1 198 units

Top 9 vehicles exported from South Africa in September 2022

1. Ford Ranger – 9 829 units

2. Volkswagen Polo (hatch) – 9 656 units

3. BMW X3 – 7 014 units

4. Toyota Hilux – 6 820 units

5. Nissan Navara – 595 units

6. Isuzu D-Max – 329 units

7. Toyota Corolla Cross – 238 units

8. Toyota Fortuner – 198 units

9. Nissan NP200 – 65 units

 
These were South Africa’s 50 top-selling vehicles in September 2022

Despite all the economic doom and gloom, exacerbated by record levels of load shedding, rising interest rates and high fuel prices, South Africa’s new vehicle market continues to grow, albeit at a slightly slower pace.

According to the National Association of Automobile Manufacturers of South Africa (Naamsa), 47 786 new vehicles were sold in September 2022, representing an increase of 10.8% over the same month last year.

While passenger car sales have led the growth for most of this year, last month it was bakkies that took the lead, with a year-on-year sales growth of 15.3%, versus 9.7% for the cars and SUVs. The latter was fuelled by the rental car industry, which accounted for 18.9% of sales.

On the sales charts, it was the usual suspects that dominated, with the Toyota Hilux leading the way with 2 842 sales, followed by the Volkswagen Polo Vivo, at 2 473.

The Isuzu D-Max was the country’s second most popular bakkie in September, with a volume of 1 968, while the Ford Ranger managed 1 604 sales, which is impressive considering that the current model will be replaced soon.

SA’S 50 TOP SELLING VEHICLES: SEPTEMBER 2022

1. Toyota Hilux – 2 842
2. Volkswagen Polo Vivo – 2 473
3. Isuzu D-Max – 1 968
4. Toyota Urban Cruiser – 1 946
5. Ford Ranger – 1 604
6. Toyota Hi-Ace – 1 526
7. Toyota Corolla Cross – 1 434
8. Volkswagen Polo – 1 371
9. Suzuki Swift – 1 332
10. Nissan NP200 – 1 198
11. Renault Kwid – 1 077
12. Kia Picanto – 842
13. Volkswagen T-Cross – 814
14. Toyota Starlet – 786
15. Chery Tiggo 4 Pro – 773
16. Suzuki Vitara Brezza – 733
17. Renault Kiger – 731
18. Renault Triber – 712
19. Mahindra Scorpio – 666
20. Toyota Fortuner – 636
21. Toyota Agya – 594
22. Hyundai Grand i10 – 584
23. Hyundai Venue – 566
24. Hyundai Atos – 560
25. Toyota Corolla Quest – 510
26. Nissan Magnite – 471
27. Ford EcoSport – 464
28. Nissan Navara – 450
29. Suzuki Dzire – 415
30. Toyota Land Cruiser PU – 403
31. GWM Steed – 365
32. Haval Jolion – 362
33. Volkswagen T-Roc – 347
34. Hyundai i20 – 344
35. Chery Tiggo 7 Pro – 342
36. Suzuki S-Presso – 340
37. Suzuki Baleno – 333
38. Suzuki Celerio – 321
39. Haval H6 – 298
40. Toyota Prado – 292
41. Hyundai Creta – 289
42. Suzuki Ertiga – 285
43. Nissan Almera – 283
44. Volkswagen Tiguan – 281
45. Kia Rio – 270
46. Suzuki Jimny – 268
47. Hyundai Grand Creta – 240
48. Chery Tiggo 8 Pro – 237
49. Kia Sonet – 233
50. Mahindra XUV300 – 216

 
10 best-selling bakkies in South Africa: September 2022

Here’s a look at the list of South Africa’s best-selling bakkies for September 2022, which shows some movement on the podium as well as – rather unusually – a new entrant to the top 10…

September 2022 saw South Africa’s new-vehicle market put in another resilient performance, with industry sales increasing 10.8% year on year to 47 786 units. The country’s light-commercial vehicle segment (which includes bakkies) enjoyed even stronger growth, closing the month with year-on-year gains of 14.9% to reach 12 573 registrations.

So, what does that mean for our list of SA’s best-selling bakkies? Well, the Prospecton-built Toyota Hilux – which recently had its range bolstered by the arrival of the 165 kW GR-Sport derivative – was once again the star of the show, with 2 842 units registered in September. Though this figure was down somewhat on the number of registrations achieved in August, it still suggests Toyota’s factory in KwaZulu-Natal is almost back to full production capacity.

Meanwhile, the Struandale-produced Isuzu D-Max (1 968 units) came just short of cracking the 2 000-unit mark (its maker reports a combined figure that includes Gen 6 sales) but managed to climb one spot to second. That saw the outgoing version of the Ford Ranger – which will soon be replaced by the likewise Silverton-manufactured new-generation model – fall a place to third, with 1 604 units sold.

10 best-selling bakkies in South Africa for September 2022

1. Toyota Hilux – 2 842 units

2. Isuzu D-Max – 1 968 units

3. Ford Ranger – 1 604 units

4. Nissan NP200 – 1 198 units

5. Mahindra Pik Up – 666 units

6. Nissan Navara – 450 units

7. Toyota Land Cruiser 79 – 403 units

8. GWM Steed – 365 units

9. Volkswagen Amarok – 168 units

10. Mitsubishi Triton – 72 units

 
Toyota retain the top spot in the month of September

Toyota convincingly retained the top spot for sales in the local market during the month of September but who else ranked in the top 10 and what were their best sellers.

Reflecting on the new vehicle sales statistics for the month of September 2022, naamsa states that amid the despondency relating to load shedding and other weakening economic indicators, the new vehicle market continued to reflect a healthy performance, but the pace of recovery has started to slow down.

Related: Toyota dominates local sales charts in August 2022

Aggregate domestic new vehicle sales in September 2022, at 47 786 units reflected an increase of 4 639 units, or 10,8%, from the 43 147 vehicles sold in September 2021. Export sales recorded a huge increase of 21 199 units, or 104,6%, to 41 474 units in September 2022 compared to the 20 275 vehicles exported in September 2021.

Overall, out of the total reported industry sales of 47 786 vehicles, an estimated 39 152 units, or 81,9%, represented dealer sales, an estimated 14,2% represented sales to the vehicle rental industry, 2,3% sales to government, and 1,6% to industry corporate fleets.

The September 2022 new passenger car market at 32 392 units had registered an increase of 2 855 cars, or a gain of 9,7%, compared to the 29 537 new cars sold in September 2021. The car rental industry supported the new passenger car market during the month and accounted for a sound 18,9% of sales in September 2022.

Here are the best 10 performers in the passenger and Light CV segment

Toyota – 12 069

Volkswagen Group SA – 6 750

Suzuki Auto – 4 355

Hyundai Automotive South Africa – 3 146

Nissan – 2 649

Renault – 2 601

Isuzu Motors South Africa – 2 287

Ford Motor Company – 2 212

Kia South Africa – 2 086

Chery Auto South Africa – 1 352

 
13 oldest vehicles you can still buy new in South Africa

Though now uncommon, a vehicle generation sometimes lasts well in excess of a decade. But which date back the furthest? These are the oldest new vehicles still on the market in South Africa (and how they’re selling)…

If we were to venture an educated guess, we’d say the average lifecycle of a vehicle generation today has shortened to around 5 years. Platforms, powertrains and designs all have to keep pace with rapidly evolving customer tastes and ever-tightening regulations.

But there are still a few outliers that have soldiered on for more than a decade sans fundamental updates. While most have benefited from an update or three along the way (some with multiple facelifts), they’re technically still in the same generation as the very day they launched.

So, we decided to comb through South Africa’s automotive market and identify the oldest new vehicles still on sale today (big thanks to our esteemed colleagues over at duoporta.com for helping us fill in a few gaps). For the record, we’re basing each model’s “age” on the year it was introduced to the local market, rather than its global reveal date.

Take note we won’t count prolonged lifecycle models such as the Volkswagen Polo Vivo, Toyota Corolla Quest and Isuzu D-Max Gen 6. And it’s worth pointing out a few recently discontinued vehicles – the likes of the Nissan 370Z, Nissan GT-R and Lamborghini Aventador – would have made the list had they been available for just a few months longer.

Other select honourable mentions that just failed to make the list include the Ford EcoSport, Jaguar F-Type and Nissan Almera (all introduced in 2013) as well as the Lamborghini Huracàn, Mini Hatch, Nissan X-Trail and Porsche Macan (which each arrived the following year).

Right, let’s take a closer look at the 13 oldest vehicles you can still buy new in South Africa in 2022, along with their respective sales figures for the month of September.

13. Toyota FJ Cruiser – 2011 (11 years)

12. Mitsubishi ASX – 2011 (11 years)

11. Mahindra XUV500 – 2011 (11 years)

10. GWM Steed 5 – 2011 (11 years)

9. Ford Ranger – 2011 (11 years)

8. Volkswagen Amarok – 2010 (12 years)

7. Toyota Land Cruiser Prado – 2009 (13 years)

6. Nissan NP200 – 2008 (14 years)

5. Fiat 500 – 2008 (14 years)

4. Mahindra Bolero – 2005 (17 years)

3. Kia K2 Series – 2004 (18 years)

2. Hyundai H-100 – 2004 (18 years)

1. Toyota Land Cruiser 70 Series – 2002 (20 years)

 
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