The SA Vehicle Industry Thread

Quite sure it's a different story when it comes to the cars government bought for ministers and other high ranking officials, no Polo Vivos allowed there.

Also very disappointed that not a single Chinese car on that list.

Well if you look at the list there are quite a number of Bimmers (X5, X6, 5, 7 series) listed.

Now why are you disappointed at no chinese listings?
 
Well if you look at the list there are quite a number of Bimmers (X5, X6, 5, 7 series) listed.

Now why are you disappointed at no chinese listings?

They deserve a slice of the pie like everybody else who has invested heavily in SA and they are building decent enough cars to be amongst those.
 
They deserve a slice of the pie like everybody else who has invested heavily in SA and they are building decent enough cars to be amongst those.

The problem is one of reputation. People tend to generally avoid the 'Made in China' brand. Personally I don't associate reliability or safety with 'Made in China'.
 
I would've expected them to be a bit more patriotic when buying 1000+ cars. Supporting local businesses and all that.
 
I would've expected them to be a bit more patriotic when buying 1000+ cars. Supporting local businesses and all that.

This is as far as we can go in patriotism, buying a locally produced VW, since we don't have any cars that we can proudly call our own?
 
This is as far as we can go in patriotism, buying a locally produced VW, since we don't have any cars that we can proudly call our own?
Sometimes you just have to take what you can get. Lets first try and do something easy with all the raw materials we dig up and slowly graduate to cars.
 
Vehicle Sales: Stormy 2016 bodes well for sunny 2017

Increased consumer confidence and a period of political stability, allied with a gradual strengthening of the rand, should see the vehicle retail market improve in 2017, but the news won't be good for everyone... Expect more OEMs to bite the dust and the rising cost of crude oil to impact on motorists' spending power...

If there was ever a theme song for South Africa, not least its vehicle market, it would surely be Gloria Gaynor's disco-era standard: “I Will Survive.”

Consider that in 2016 we've seen charges against Finance Minister Gordhan Pravin dropped, a credit rating downgrade to junk status escaped (if only just), increased vehicle exports, and the first faint twitchings of economic recovery. But more about that a little later...

The naysayers, of course, have had a field day. The rand has had a bumpy ride and consumer inflation has hit close to 7%, although for a punch-drunk public it feels a lot higher.

And in the motoring world, it was a bit of a bloodbath thanks to double-digit car price increases, a volatile rand and anaemic consumer confidence. Compared with 2015, passenger vehicle sales were down by 12.4%, the National Association of Automobile Manufacturers of South Africa reported. Total vehicle sales for the year, meanwhile, declined by 11.4%.

'Affordable wheels, now!'

But that's better – if only a little bit better – than the 12% decline predicted by WesBank, while used cars sales are up almost 10% over 2015 figures. Consumers want affordable wheels, and they want them now.

“Consumers continue to battle with affordability in the new market. This is most evident in the premium segments, where sales have fallen markedly,” says Simphiwe Nghona, CEO of motor retail at WesBank. “The majority of these premium models are imported and have been heavily impacted by the poor performance of the rand. These customers are either downgrading and buying more affordable models from mainstream brands, or moving to the used market.”

Exactly Simphiwe.

In 2016 we also saw one OEM leave our shores, namely Citroen. Despite fielding good product matched with good after-sales service, and generally good reviews from the motoring media, its sales were fractional. It won't stop with Citroen either.

Expect more OEMs to close shop

The South African motoring market is horribly overtraded. Despite being minnow-sized by global standards with a total of around 100 000 cars sold a year, some 50 vehicle manufacturers and importers have an official presence in South Africa. Most of them field a bewildering array of models.

To survive the local auto industry needs to be lean and mean, and as heartless as it might sound, to make the car market viable a several of those 50 brands need to go, and go they will. Common sense will prevail. It almost always does.

Signs of a recovery

Meanwhile, already the first tentative signs of a market recovery are noticeable. From around March 2017, I expect a combination of increased consumer confidence, and less political interference to mean vehicle sales growth of 5 to 8% – all helped by a rand that I anticipate hitting R12 to the dollar around the second quarter.

A lot of this sales growth will be in the budget segment. Consumers will still be reeling a little, and with OPEC and its oil-producing allies having essentially turned the taps to a trickle, fuel prices will increase. It might not seem like it, but at under $50 a barrel oil prices have been artificially low. A lot of us forget that prior to mid-2014, the black stuff was at over $100 a barrel.

As it starts to claw back to that level, we're going to pay more at the pumps, with an increase already scheduled for the end of December.

Plus as the government scrabbles to raise funds for everything from a bloated public service bill to a vast social welfare system, I wouldn't be in the least surprised if yet another Fuel Levy is added. As it is around 35% of the cost of every litre of fuel is allocated to different government levies. So frugal, fuel-sipping cars will become yet more popular in 2017.

A proud history of pulling off miracles

If any of this sounds overly optimistic or rosy, remember: South Africa has a long and proud history of pulling off miracles, from the largely peaceful 1994 elections – which now seem like a different lifetime – to the 2010 World Cup. The list is long.

And not only will this great and glorious country survive 2017, but it will thrive.

So, let me stick my neck out and go against the educated economists, who in my humble opinion are better weather forecasters, and predict a R12-to-the-Dollar exchange rate.

Hairdressers are more trusted at forecasting weather than lawyers, sangomas, economists, bankers, journalists, politicians and used car salesmen. Even my hairdresser reckons I am being too modest!

http://www.cars.co.za/motoring_news/vehicle-sales-stormy-2016-bodes-well-for-sunny-2017/43004/
 
The SA government bought these bakkies in 2016…


We’ve already looked at all of the passenger vehicles that the South African government purchased in 2016. And now we’re turning our attention to the bakkies that found their way into the various government fleets during the year.

Some 6 905 light commercial vehicles were bought by government in 2016, although here we’re focusing on bakkies (thus excluding the likes of panel vans and minibuses).

The list below makes for rather interesting reading, with the Nissan NP300 absolutely dominating proceedings, with 2 243 units moved. The Ford Ranger slots into second and the Isuzu KB into third, while the Toyota Hilux – the country’s best-selling bakkie overall in 2016 with 35 428 sold – takes fourth.

Bakkies bought by SA government in 2016:

Nissan NP300 Hardbody – 2 243
Ford Ranger – 1 611
Isuzu KB – 586
Toyota Hilux – 521
Volkswagen Amarok – 448
Toyota Land Cruiser Pick-up – 273
Chevrolet Utility – 130
Nissan NP200 – 117
Mahindra Genio – 44
Mahindra Scorpio Pik-Up – 18
Nissan Navara – 10
Tata Xenon – 6
Mahindra Bolero – 5
Nissan Patrol Pick-up – 3
Hyundai H100 – 2
Volkswagen Transporter PU – 2

http://www.carmag.co.za/news_post/the-sa-government-bought-these-bakkies-in-2016/
 
In 2016, South Africa’s new vehicle market shrunk by 11,4% to 547 442 units, when compared to 2015. Passenger vehicle sales made up 361 273 of that figure.

But what sort of impact did the rental industry have?

Well, according to figures from the folks over at Lightstone Auto, some 57 407 passenger vehicles were sold to rental companies during the year, which translates to around 16% of South Africa’s total passenger car market. Not an insignificant number at all, then…

Here are the 10 vehicles that proved the most popular with buyers for rental agencies in 2016.

1. Volkswagen Polo Vivo hatch – 6 913
2. Ford Fiesta – 5 085
3. Toyota Corolla Quest – 4 763
4. Volkswagen Polo – 4 679
5. Toyota Etios – 3 726
6. Chevrolet Spark – 2 408
7. Renault Sandero – 2 139
8. Kia Picanto – 1 741
9. Volkswagen Polo Vivo sedan – 1 693
10. Ford Figo – 1 657

http://www.carmag.co.za/news_post/10-best-selling-cars-with-sas-rental-industry-in-2016/
 
Car prices continue to outpace general inflation


South African consumers are notorious for voting with their wallets; if you price yourself out of the market, they don’t complain, they just quietly melt away, and the first you hear of it is when sales of your products start falling.

And that’s what has been happening in the South African new-vehicle business; according to the TransUnion Vehicle Price Index for the fourth quarter of 2016, the average price of new vehicles has gone up by 9.4 percent, compared to the last quarter of 2015 - that’s more than double the average price increase between the fourth quarter of 2014 and the same period in 2015.

The price rise has been, on average, more than three percent higher than the general rate of inflation for the past three quarters, which has pushed many South Africans, their household budgets already stretched to the limit, away from new cars and into the used-car market.

Sales figures released by the National Association of Automobile Manufacturers of South Africa bear that out, with a 12 percent drop in the sales of new cars and a 9.4 percent fall in new light commercial sales, between the fourth quarter of 2015 and the same period last year.

Supply and demand

But here’s the thing: The number of finance deals for new vehicles in the last three months of 2016 dropped by 25 percent compared to the year before, while the number of loans for used cars went up eight percent - South African lenders are now financing two and a half times as many used cars as new ones.

But, if you take the figures across both new and used vehicles, the number of finance deals around the R200 000 level has stayed constant, while the number of of loans closer to R190 000 has actually gone up slowly but steadily, pushing the average monthly repayment up from R4656 to R4910. That’s an increase of just more than one percent, considerably below the rate of inflation, as South African motorists vote with their wallets, buying smaller new cars or moving to the used-car sector.

Nevertheless, says TransUnion Auto Solutions boss Derick de Vries, there are only so many decent used cars out there and, as the supply diminishes, demand for new vehickles should recover. He sees the new-car market stabilising in 2017 - although manufacturers and distributors will have to sharpen their pencils to remain competitive; the VPI report indicates that their customers are not going to spend more on a car, they’re going to buy down instead.

http://www.iol.co.za/motoring/industry-news/car-prices-continue-to-outpace-general-inflation-7509585
 
Nice article share. I received R10k over book for my pristine Ranger D/Cab this week which goes to show the used guys are hungry for clean stock to flip.

There are big specials on new cars too (R75k off Ranger D/Cab) etc...
 
Ferrari SA boasts with impressive 2016 sales figures

2016 proved to be a stellar year for Ferrari as monthly sales figures released by Naamsa paints a prosperous picture for the automaker.

Considering that its cheapest car retails from R4.3-million in South Africa, it is actually very refreshing that the automaker registered a very strong sales figure for 2016, according to Naamsa's monthly sales figures.

Huge success rate

The Italian automaker sold an incredible 94 cars in South Africa; excluding limited edition vehicles.

The Ferrari FF, the brands only four-seater, saw one new owner in August. In February, the 458 Speciale also only found one owner, but considering that the 458 range has been replaced by the 488, this solitary unit can be understood.

The F12 Berlinetta, the most expensive vehicle in Ferrari SA’s stable, found three new owners, as did the 599 GTB.

The prancing horses

The 488 GTB, 488 Spider and California T were Ferrari SA’s best-selling cars for 2016. The California T, in third, sold 13 units, the 488 Spider 25, and the 488 GTB an incredible 48.

But, the Spider only went on sale in June and this is where things get interesting.

For the year, the GTB averaged 4.4 units per month. Since going on sale until December, the Spider averaged 3.6 cars over those seven months. And over the same period, the GTB averaged 2.4. That’s a drop of two cars per month!

What will 2017 hold?

2016 was stellar for Ferrari; by any measurable standard - even if the overall stats across the entire new vehicle market took a huge stumble. No one has a crystal ball to predict how the new year will pan out, but considering the popularity of the brand - and especially the three top-selling cars - it’s difficult to see Ferrari not having another successful year.

http://www.wheels24.co.za/News/Industry_News/ferrari-sa-boasts-with-impressive-2016-figures-20170116
 
People are liking this thread. I'll keep it up. Surprised not much negative about the industry. The car manufacturing industry is very NB to SA
 
SA Top 40 of 2016: Best Sellers


Want to know which cars and bakkies people actually buy most in South Africa? These are the 40 best-selling vehicles of 2016, as sold by dealers.

While it is interesting to look at the sales figures released by NAAMSA every month, things get even more intriguing when you dig deeper... Using data supplied by Lightstone Auto we can now provide a detailed look at the actual model derivatives South Africans bought most in 2016, and also exclude the rental, government and fleet figures which may skew the overall picture.

The list, unfortunately, doesn’t include Mercedes-Benz as this brand doesn't report its figures and neither does it feature the Koreans (Hyundai/Kia) as individual sales are only reported some 5 months later. We know, for example, that the Hyundai Tucson would have very likely featured highly on this list, perhaps more than once.

Reading into the figures

The main thing to take home from the sales figures is that South Africans still love bakkies... the Ford Ranger 2.2, Chev Utility 1.4 and Nissan NP200 1.6 in particular. You don’t have to look too far down the list to find the first Toyota Hilux either. Check out our comparison of SA's best double cabs here.

The top-selling passenger car, as expected is the VW Polo 1.2 TSI Comfortline, only rivalled by its Polo Vivo 1.4 sibling. In fact, you have to go down a fair way to find the next hatchback, which is the Toyota Etios 1.5 XS.

Compact SUVs continue to sell well with the Ford Ecosport 1.5 punching high up on the sales charts. Interestingly, the Mazda CX-5 2.0 performs extremely well, placing 2nd on the sales charts for SUVs. The Ecosport and CX-5 are the only SUVs in the top 40, although Hyundai’s Tucson – which we don’t have figures for – is also said to sell in large numbers. Read our comparison of the best family SUVs here.

Sedans are gone

The only sedans to make the top 40 sales chart are the BMW 320i and the Toyota Corolla Quest 1.6. Mercedes-Benz may have a C-Class that sells as well as the Bimmer but without the data we can't include it. This trend away from sedans is something that has picked up momentum as buyers look for all-in-one vehicles such as SUVs and Crossovers.

http://www.cars.co.za/motoring_news/sa-top-40-of-2016-best-sellers/43011/

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The used car prices are being inflated.

Renault Sandero prices at launch(2014) :
Expression Turbo 66kW five-door - R123 900 (R133 900 with aircon)
Dynamique Turbo 66kW five-door - R141 500

I searched for a 2014 Sandero Dynamique on Autotrader & the cheapest car was R134 000.
 
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