Johannesburg - South Africa’s new vehicle market continues to sag, with July 2019 seeing a 3.7 percent year-on-year decline, to 47 856 units.
However, despite it being a strong month for rental sales, it was passenger cars that took the big hit, declining by 8.2 percent versus July last year, while light commercial vehicle sales actually grew by 2.9 percent. Furthermore, the medium commercial market saw a 14.9 percent improvement and the heavies grew by a substantial 21.4 percent.
There was also some good news on the export front, with sales increasing by 22.1 percent year-on-year.
More interest rate cuts needed
“While the small interest rate cut during July was warmly welcomed by industry and consumers alike, it may take some more incentive from the Reserve Bank to jump-start the economy and entice consumers back into the new vehicle market,” said WesBank’s Executive Head of Motor, Ghana Msibi.