Analysis
Monthly and Annual Sales Performance:
- In December 2023, a total of 841 vehicles were sold, marking a decline from the 1,171 vehicles sold in November 2023, representing a 28% monthly decline
- However, on an annual basis, vehicle sales increased by 11.7% compared to December 2022, with a total of 12,775 vehicles sold in 2023, representing a 16.9% annual increase compared to the same period in 2022.
Specific Vehicle Categories:
- Sales of passenger, light commercial, medium commercial, and extra heavy vehicles declined by 25%, 31%, 41.6%, and 100% month-on-month respectively.
- Notably, sales of heavy commercial vehicles and buses increased by 20% and 125% respectively.
Consumer Confidence and Market Outlook:
- The low vehicle sales for December 2023 are indicative of low consumer confidence, likely influenced by shifting consumer spending patterns during the festive season.
- The subdued sales of light, medium, and extra heavy vehicles could be attributed to reduced construction activities, leading to lower demand for heavy transportation services.
Table 1: Monthly vehicle sales by type
| Market | Dec-2023 | Nov-23 | Monthly unit change | Monthly % change |
| Passenger vehicles | 426 | 568 | (-142) | (-25) |
| Light commercial vehicles | 371 | 542 | (-171) | (-31.5) |
| Medium commercial vehicle sales | 14 | 24 | (-10) | (-41.6) |
| Heavy commercial vehicle sales | 6 | 5 | 1 | 20.00 |
| Extra heavy commercial vehicle sales | 15 | 28 | (-13) | (-46.43) |
| Bus | 9 | 4 | 5 | 125.00 |
Figure 1: Monthly Vehicle Sales (December 2023 vs. November 2023)
Source: Lightstone Auto & HEI RESEARCH
Figure 2: Month on Month, Vehicle Sales Growth (December 2022- December 2023)
Source: Lightstone (Pty) Ltd & HEI RESEARCH
Figure 3: Year on Year, Vehicle Sales Growth (December 2022- December 2023)
Source: Lightstone (Pty) Ltd & HEI RESEARCH
Outlook
Despite the monthly fluctuations, the demand for new vehicles has remained strong throughout the year 2023. This resilience in demand indicates underlying market stability and potential for recovery in specific vehicle categories. Additionally, the annual increase in vehicle sales signals overall market growth and resilience, providing a positive outlook for vehicle sales in 2024.