New vehicle registrations hit record but easing tipped
AUCKLAND: New Zealand new vehicle registrations hit a record last year for the fifth year in a row but the market is now expected to soften, the Motor Industry Association says.
‘‘Given current global economic factors, distributor expectations for 2019 indicate a softening of the market. Further steady growth in the new vehicle sector above 2018 outturn is not expected,’’ MIA chief executive David Crawford said.
The market has been buoyed by low interest rates and record migration and tourism arrivals. While interest rates are set to remain low, migration is waning. The latest data from Statistics New Zealand showed annual net migration continued to ease off its record highs in October, falling to its lowest level in three years.
There were 161,519 new vehicles registered in the year, up 1% or 1648 units compared with 2017, Mr Crawford said.
Total registrations of passenger and SUVs were down 0.4% last year compared with 2017 but commercial vehicles were up 4%, he said.
New car registrations fell 3.6% in December compared with the previous December. Toyota remained the market leader with a 26% share, followed by Holden with 9% and Mitsubishi with 8%.
In the commercial sector, Toyota was the leader in December with 21% of registrations, followed by Ford with 19%.
The Ford Ranger, however, retained the top spot as the bestselling commercial model both in December and for the fourth year in a row. The Toyota Hilux was second.
In the luxury passenger and SUV sector, MercedesBenz retained the market leader spot last year, followed by Audi and BMW. However, the market for these brands softened last year compared with 2017, signalling a distinct pending softening in the rest of the vehicle market, Mr Crawford said.
The MIA represents New Zealand distributors of new cars, trucks and motorbikes.