Sales of new vehicles in South Africa rose by 17.2% year on year in February but growth clearly slowed in a trend set to hold during 2006, an industry body told Reuters on Friday.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more


Overall sales hit a record in 2005, surging by 25.7%, but the auto industry is being pressured by sustained strength in the rand currency, which is taking a toll on the country’s mining and manufacturing exports, the news agency noted.


“The fundamentals supporting the industry remain positive and whilst growth in new vehicle sales is likely to continue, the rate of improvement is expected to decline relative to previous years,” the National Association of Automobile Manufacturers of South Africa (NAAMSA) reportedly said.


“Industry projections for 2006 continued to anticipate an improvement in aggregate sales for the year of about 10%,” it added in a statement cited by Reuters.


New vehicle sales rose to 50,196 units in February compared to 42,822 units during the same month last year and 48,821 during January.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

NAAMSA reportedly said new export programmes would help boost overseas sales over the rest of 2006. Domestic sales have been the main driver of strong growth over the past couple of years, with the lowest interest rates in more than two decades igniting demand.


Exports increased 41.5% to 7,927 units, compared with January, Reuters added.


“Current projections for 2006 – taking into account various new light commercial and multipurpose vehicle export programmes – suggested an improvement in exports of about 45%, NAAMSA told the news agency.