New car sales in South Africa increased by 15.5% year-on-year in June, with 38,337 units sold.
- The increase was mainly driven by the passenger car segment, which saw a 19.2% rise in sales compared to June 2022.
- However, exports of locally manufactured vehicles saw a 7.7% decline in June, with 24,431 units exported.
- The decline in exports can be attributed to supply chain disruptions, including a global shortage of semiconductor chips.
- The automotive industry in South Africa has been struggling with these disruptions, as well as rising input costs and a shortage of skilled labor.
- Despite these challenges, the industry has been working to increase local production and exports through initiatives such as the Automotive Masterplan 2035.
- The Masterplan aims to increase local content in vehicles produced in South Africa and promote the development of new technologies.
- The industry’s success in achieving these goals will be crucial to its long-term sustainability and competitiveness.