Strong truck sales buck trend in SA

COM­MER­CIAL NEWS/ Naamsa’s lat­est new-ve­hi­cle sales fig­ures show that medium and heavy seg­ments recorded fifth con­sec­u­tive month of growth, writes De­nis Droppa

Business Day - Motor News - - COMMERCIAL NEWS -

The lat­est new-ve­hi­cle sales fig­ures re­leased by the Na­tional As­so­ci­a­tion of Au­to­mo­bile Man­u­fac­tur­ers of SA (Naamsa) showed truck sales re­mained strong against an oth­er­wise de­clin­ing mar­ket.

Last month’s over­all do­mes­tic new-ve­hi­cle sales at 47,486 units de­clined 2,265 ve­hi­cles (4.6%) com­pared to 49,751 ve­hi­cles sold in Novem­ber last year.

Pas­sen­ger-car sales dropped 5.4% to 31,054 units, and light com­mer­cial ve­hi­cles were down 6.1% to 13,695 units.

How­ever, trucks bucked the trend with sales in­creases in both the medium and heavy seg­ments. There were 804 medium trucks sold in Novem­ber, an im­prove­ment of 120 units, or 17.5%, while the 1,933 heavy trucks and buses sold re­flected a gain of 270 ve­hi­cles, or 16.2%.

It was the fifth con­sec­u­tive month that both truck seg­ments recorded in­creased sales, which sug­gested an im­prove­ment in cap­i­tal in­vest­ment sen­ti­ment, said Naamsa.

The as­so­ci­a­tion be­lieves that the cur­rent dif­fi­cult eco­nomic en­vi­ron­ment is ex­pected to con­tinue over the medium term, partly be­cause of the re­cent in­ter­est rate in­crease and on­go­ing pres­sure on con­sumers’ dis­pos­able in­comes.

The best that could be an­tic­i­pated is for the do­mes­tic new-ve­hi­cle mar­ket to sta­bilise in com­ing months, but any re­cov­ery is likely to be mod­est.

An en­cour­ag­ing fea­ture was the broad-based and sub­stan­tial in­crease in the lat­est pur­chas­ing man­agers’ in­dex, the first in­crease since Fe­bru­ary, which could sig­nal a pos­si­ble im­prove­ment in gen­eral busi­ness con­di­tions in about six months, con­cluded Naamsa.

Isuzu’s N-Se­ries was SA’s top-sell­ing truck range in Novem­ber.

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