Auto Sales Growth in South Africa Cools

Sales of new passenger cars in South Africa, which jumped 16% year on year in April, grew 6% to 37,000 units in May, according to the National Assn. of Automobile Manufacturers of South Africa.

Total deliveries, including buses and commercial vehicles, climbed 8% to 54,000 units last month. That includes increases of 11% to 14,300 light commercial vehicles and 9% to 1,700 heavy-duty trucks and buses. Demand for medium-duty commercial vehicles was flat at slightly less than 1,000 units.

Exports of new vehicles rose 17% year on year to 26,300 units.

In the January-May period of 2013, South Africa's total vehicle deliveries increased 8% to 268,200 units.

NAAMSA and auto executives predict that a sluggish economy and higher vehicle prices will cause the country's auto sales growth to slow in the second half of this year. They blame price increases on the weak rand and new emission taxes on new cars and some light commercial vehicles.