BUSINESS
The global and South African economy
has been subjected to enormous pres-
sure in the wake of COVID-19 and the
slow recovery to what is now known as
a new normal. As we look back on these
three years, for the first time it seems
that there is light at the end of the
tunnel and that 2023 will truly see the
global supply chain and its associated
industries return to normal.
Economists believe that despite
the fact that the South African GDP
continues to take strain, the economy
will begin to improve thanks to a variety
of factors including improvements in the
supply of automotive components and
new models. It has also been predicted
that global supply chain systems will sort
themselves out and that shipping costs
will reduce to a more affordable level.
Economic improvement will be
welcome across the board and in the
automotive industry it is expected to
result in improved vehicle affordability.
Proof thereof is that the latest new
vehicle sales reveal that there has been
a substantial increase in activity com-
pared to 2021 and of course 2020 and
it is expected that this momentum will
continue as long as supply can keep up.
Year to date in November passenger
vehicle sales were up 19,6%, light
commercials up 0,9%, medium trucks
and buses 8,8% and heavy trucks and
buses 10.8%. Overall, out of the total re-
ported industry sales of 49 413 vehicles
81,0% represented dealer sales, 14,7%
represented sales to the vehicle rental
industry, 2,3% sales to government and
2,0% to industry corporate fleets.
The new vehicle market has con-
tinued to outperform expectations
and with only one month to go in the
year it was running 13,6% ahead of the
There is light
at the end of the tunnel
BUSINESS FLEET AFRICA | December 2022
WWW.BUSINESSFLEETAFRICA.CO.ZA
Year to date in November
passenger vehicle sales
were up 19,6%, light
commercials up 0,9%,
medium trucks and
buses 8,8% and heavy
trucks and buses 10.8%.
Overall, out of the total
reported industry sales
of 49 413 vehicles 81,0%
represented dealer sales,
14,7% represented sales
to the vehicle rental
industry, 2,3% sales to
government and 2,0% to
industry corporate fleets.