Vehicle Sales Report, March 2023

Executive summary

• New vehicle sales increased to 1226 vehicles in March 2023, up from 1103 vehicles sold in February 2023. This equated to an 11.2% monthly increase. (Figure 1)
• The upsurge in vehicle sales can be ascribed to an increase in the sales of extra heavy vehicles and light commercial vehicles
• Heavy commercial vehicle sales declined by 38%. The increase in new vehicle sales was primarily driven by strong market sales of commercial vehicles
• A total of 3127 vehicles were sold during the first three months of 2023

Analysis

• On an annual basis, new vehicle sales increased by 16.3%, (Figure 2). This could be ascribed to increased consumer confidence
• Extra heavy commercial vehicle sales increased by 66.7% for March 2023 when compared to February 2023. This could have been influenced by an expansion of industrial sectors which translated into a growing demand from the logistics industry and rising demand from the construction sector (owing to improved construction activities).
• On a monthly basis, light commercial vehicle sales increased by 19.3%. This could be a consequence of increased light business activity
• Passenger vehicle sales increased by 2.9% between February 2023 and March 2023, owing to increased consumer confidence. (Table 1)

Table 1:

Figure 1: Monthly Vehicle Sales (March 2022 – March 2023)

Figure 2: Year on Year, Vehicle Sales Growth (March 2022- March 2023)

Outlook

The demand for new vehicles has been resilient despite interest rate hikes. We anticipate the market for new vehicles to maintain its momentum on the road to recovery as the economic climate continues to improve.