National Automobile Dealers’ Association

naamsa releases June 2023 New Vehicle Stats

Vehicle Sales Stats, 2023, June 2023


PRETORIA: Monday, July 03, 2023: naamsa | The Automotive Business Council said that the upbeat

new vehicle market performance was encouraging given the multiplicity of negative considerations which

still outweighs positive ones during the month of June 2023. Aggregate domestic new vehicle sales in

June, at 46,810 units reflected an increase of 5,758 units, or 14,0%, from the 41,052 vehicles sold in June

2022. Export sales recorded a decline of 3,920 units, or 12,6%, to 27,296 units in June 2023 compared

to the 31,216 vehicles exported in June 2022.

Overall, out of the total reported industry sales of 46,810 vehicles, an estimated 39,086 units, or 83,5%,

represented dealer sales, an estimated 10,0% represented sales to the vehicle rental industry, 3,5% sales

to government, and 3,0% to industry corporate fleets.

The June 2023 new passenger car market at 29,795 units had registered an increase of 251 cars, or a

gain of 0,8%, compared to the 29,544 new cars sold in June 2022. The car rental industry supported the

new passenger car market during the month and accounted for a sound 13,4% of sales in June 2023.

Domestic sales of new light commercial vehicles, bakkies and mini-buses at 13,945 units during June

2023 had recorded a substantial increase of 5,070 units, or a gain of 57,1%, from the 8,875 light

commercial vehicles sold during June 2022.

Sales for medium and heavy truck segments of the industry reflected a positive performance during the

month and at 743 units and 2,327 units, respectively, showed an increase of 56 units, or 8,2% in the case

of medium commercial vehicles, and, in the case of heavy trucks and buses an increase of 381 vehicles,

or a gain of 19,6%, compared to the corresponding month last year.

The June 2023 exports sales number at 27,296 units reflected a decline of 3,920 vehicles, or 12,6%,

compared to the 31,216 vehicles exported in June 2022.

For the first half of the year the new vehicle market was now 12,284 units or 4,8% ahead of the

corresponding period 2022 while vehicle exports were 7,857 units or 4,7% ahead of the first half of 2022.

The knock-on effects of the devastating KZN floods impacting on vehicle production and exports during

May 2022 were visible in the June 2023/June 2022 monthly comparisons, especially in the case of the

light commercial vehicle segment.

The unexpected extent of the upswing in the new vehicle market during June 2023, for the second month

in a row, exceeded expectations, despite ongoing increases in the total cost of ownership. Challenges

confronting the economy and the automotive industry such as high interest rates, high inflation, and

currency depreciation continue to strain consumers’ budgets and affordability appears to be driving new

vehicle sales, underlined by the top selling models in the market. In addition to an easing in inflation by

more than expected as well as an improvement in significantly less daytime loadshedding during the

month, another welcome development was the renewed collaboration between business and government

to urgently tackle key current challenges relating to energy, infrastructure and transport logistics, as well

as combating crime. If successful, the collaboration efforts could assist to reduce policy uncertainty and

promote a more predictable economic environment which would enable much higher levels of

investment, growth and job creation and to break out of the current low economic growth trap.

Vehicle exports performed weaker in June 2023 compared to the corresponding month 2022 but the

export momentum remains upward on the back of further new model introductions by major exporters in

the domestic market. Growing concerns about global stagflation, the economic impact and disruption of

supply chains resulting from the protracted geopolitical conflict, and the pace of tighter monetary policy

in major markets potentially posing the risk of a potential global recession, remain.

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