South Africa Auto Sales Growth Slowed to 9% Last Year

Demand for motor vehicles in South Africa climbed to 623,900 units in 2012 compared with 571,400 units in 2011, according to the National Assn. of Automobile Manufacturers of South Africa.

NAAMSA says the country's slowing economy held last year's sales increase to 9% compared with gains of 16% in 2011 and 25% in 2010. Passenger-car demand rose 11% to 440,000 units in 2012, cooling from 17% growth the previous year.

The group predicts South Africa's total vehicle sales will advance 7% to 669,400 units in 2013, including an 8% rise in passenger-car volume to 475,000 vehicles.

Last year's sales of light commercial vehicles in the country grew 5% to 156,200 units. Demand climbed 6% to 9,800 units for medium-duty trucks and 3% to 17,900 units for buses and heavier trucks.

South Africa's growth was already slowing by year-end. December's total vehicle sales increased only 2% year on year to 46,000 units. Passenger-vehicle volume rose 8% to 33,000 units, boosted mostly by sales to rental-car companies, NAAMSA says.

The country's vehicle exports expanded 4% to 227,800 units in 2012, the second-highest level on record despite lower shipments to Europe. NAAMSA predicts exports will surge 36% this year because of stronger demand in the rest of Africa.