Despite a shift in national lockdown regulations for the worse in June 2021, local car sales appear to be gaining momentum. This is according to the data published by naamsa in its monthly wrap up of national vehicle sales.
Reflecting on the new vehicle sales statistics for the month of June 2021 naamsa said that the recovery in the new vehicle market is gaining momentum and in line with industry expectations, notwithstanding the country moving from level 2 to level 3 in mid-June and subsequently to adjusted alert level 4 lockdown restrictions at the end of June 2021.
Aggregate new vehicle sales of 38 030 units up by 20% (+6 387units) compared to the 18 808 units sold in June 2020.Passenger car sales of 24 482 units up by 28% (+5 348units) compared to the 19 134 units sold in June2020.Light Commercial Vehicle (LCV) sales of 11 208 units up by 9.6% (+986 units) compared to the 10 222 units sold in June 2020.Export sales of 28 384units up by 20%(+9 576units) compared to the 18 808units expired in June 2020.
Toyota – 9 630 unitsVolkswagen – 5 530 unitsFord – 3 273 unitsHyundai – 2 450unitsNissan – 2 120unitsSuzuki – 1 992unitsHaval – 1 809 unitsIsuzu – 1 664unitsKia – 1 557 unitsRenault – 1 456 units
The new vehicle market continued its gradual recovery during the month of June 2020 in the face of a number of challenges, but also opportunities. Ongoing stronger sales through the dealer channel signals improved consumer and business sentiment, rental companies are re-fleeting again while the delayed replacement cycle, due to lockdown restrictions in 2020, are catching up in contributing to improved new vehicle sales.
However, of concern is the persistent electricity supply disruptions, port delays, and the third Covid-19 wave of infections being experienced. The vaccine rollout is slow and a third wave of the pandemic threatens to dent the momentum in consumption in the country, especially if the adjusted alert level 4 lockdown restrictions are extended for longer than the initial two-week period. Compared to the first six months of 2020, the new vehicle market was now 40,1% above the corresponding period last year, but compared to the pre-Covid-19 first six months 2019, the new vehicle market was still 11,7% below the corresponding period 2019, highlighting that a full recovery would be protracted until around 2023.