According to Naamsa, South Africa’s new-vehicle market “continued its road to recovery” in April 2022 despite facing a number of disruptions, with the monthly sales total of 37 107 units representing an increase of 4.3% compared with the same month in 2021.
Although markedly down on March 2022’s impressive total of 50 607 units, April’s year-on-year growth was achieved despite the deadly KwaZulu-Natal flooding disaster, which not only caused supply-chain and transport disruptions but forced Toyota South Africa Motors to halt production at Prospecton (and damaged a number of freshly built vehicles, too). In addition, renewed COVID-19-related parts shortages and the global repercussions of Russia’s invasion of the Ukraine as well as SA’s usual string of April public holidays impacted the local market last month.
Still, Naamsa revealed the passenger-vehicle segment was largely responsible for keeping the industry in the positive, with this sector of the market’s 26 653-unit contribution representing a 12.9% gain compared to April 2021. The car rental industry played a key role here, accounting for 12.5% of car sales during the month. Domestic sales of new light-commercial vehicles, however, fell 11.9% to 9 558 units in April 2022. Export sales, meanwhile, recorded a year-on-year increase 16% to 30 788 units.
WesBank, meanwhile, advised the market “shouldn’t be dismayed” by April’s results, pointing out the industry faced a “few more challenges than usual” in its attempts to maintain pace.
“Volatility is the only constant within the market, especially impacted by erratic supply beyond the manufacturers’ control. April’s volumes remain on the high end of last year’s performance and therefore shouldn’t be cause for any alarm,” says Lebogang Gaoaketse, Head of Marketing and Communication at WesBank.
Aggregate new-vehicle sales of 37 107 units increased by 4.3% (1 516 units) compared to April 2021.New passenger-vehicle sales of 26 653 units increased by 12.9% (2 924 units) compared to April 2021.New light-commercial vehicle sales of 9 558 units decreased by 11.9% (-1 291 units) compared to April 2021.Export sales of 30 788 units increased by 16% (4 248 units) compared to April 2021.
Despite being hit with the full force of the KZN floods, Toyota remained the most popular brand in South Africa in April, though its tally fell by more than 6 000 units (from its best effort yet) in March 2022 to 8 952 units. Suzuki, meanwhile, climbed back up to a strong third, setting yet another monthly sales record (its fourth on the trot) of 3 696 units. Renault moved up one place to fifth, while Kia improved two spots to seventh. Ford and Haval each dropped a spot to eighth and ninth, respectively.
1. Toyota – 8 952 units
2. Volkswagen Group – 5 084 units
3. Suzuki – 3 696 units
4. Hyundai – 2 847 units
5. Renault – 2 400 units
6. Nissan – 2 148 units
7. Kia – 2 019 units
8. Ford – 1 962 units
9. Haval – 1 393 units
10. Isuzu – 1 038 units
Another month (even one with production interruptions), another instance of the Toyota Hilux topping South Africa’s new-vehicle sales charts. However, there was plenty of movement on the table below. The Suzuki Swift, for instance, enjoyed what must surely be its best monthly effort yet (with 650 of its 1 621 units coming courtesy of the rental channel) to climb eight spots to second, beating even the Volkswagen Polo Vivo, Toyota Corolla Cross and VW Polo hatchback to the title of the country’s best-selling passenger vehicle. The Ford Ranger returned to the table to grab sixth, while the Renault Kiger snaffled ninth. Toyota’s Suzuki-built Starlet and Urban Cruiser, meanwhile, tumbled out of the top 10.
1. Toyota Hilux – 2 788 units
2. Suzuki Swift – 1 621 units
3. Volkswagen Polo Vivo – 1 547 units
4. Toyota Corolla Cross – 1 421 units
5. Volkswagen Polo (hatch) – 1 320 units
6. Ford Ranger – 1 140 units
7.Toyota Hi-Ace – 1 126 units
8. Nissan NP200 – 966 units
9. Renault Kiger – 931 units
10. Isuzu D-Max – 777 units
The Kariega-built Volkswagen Polo hatchback was again far ahead in the export race in April 2022 with more than 8 300 units leaving local shores, while the Silverton-produced Ford Ranger improved to in excess of 5 000 units. The number of Toyota Hilux units shipped from Prospecton fell to 3 411, while the Isuzu D-Max and Nissan Navara both again settled for three figures. We should point out, of course, that BMW and Mercedes-Benz did not submit detailed figures for April 2022, so it’s unclear how many new X3 and C-Class sedan units were exported from SA during the reporting period.
1. Volkswagen Polo (hatch) – 8 349 units
2. Ford Ranger – 5 038 units
3. Toyota Hilux – 3 411 units
4. Isuzu D-Max – 409 units
5. Nissan Navara – 241 units
So, where to from here for South Africa’s new-vehicle market? Well, Naamsa says the domestic automotive industry is expected to “continue a stop-start recovery in 2022” in view of prevailing COVID-19-related supply-chain disruptions, insufficient stock, and escalating energy and transportation costs.
In terms of vehicle exports, the industry representative body further says prospects for 2022 “remain optimistic on the back of further new locally manufactured model introductions during the year”. However, it warns the economic damage from the Russia-Ukraine conflict will “contribute to a significant slowdown in global growth in 2022” and add to inflation. As SA’s automotive volumes are “predominantly driven by export demand”, Naamsa says the industry is “highly vulnerable to changes in demand in export markets”, in particular Europe and the United Kingdom.
WesBank’s Gaoaketse, meanwhile, says the year-to-date picture “continues to look positive”, showing growth of 14.8% compared to the same period last year. Indeed, new-vehicle sales to the end of April totalled 173 299 units compared to the 151 022 sold during the first four months of 2021.
“While this is largely thanks to the strong first quarter, the market is expected to continue to its erratic recovery throughout the year,” points out Gaoaketse.