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    Home » General News » Car Sales in South Africa Rise 13.6% in First Half of 2025

    Car Sales in South Africa Rise 13.6% in First Half of 2025

    Henno KrugerBy Henno Kruger General News 5 Mins Read17 ViewsAugust 3, 2025
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    Car sales in South Africa are showing strong resilience and growth in 2025, up 13.6% in the first half of the year compared to the same period in 2024.

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    This marks a solid recovery in both new and used car sales, driven by lower interest rates, consumer appetite for affordable models, and a more accessible financing environment.

    Car Sales in South Africa

    In June alone, new vehicle registrations reached 47,294 units, an impressive 18.7% year-on-year increase, according to industry data. Passenger cars led with 32,570 units sold, up 21.7%, while light commercial vehicles registered 12,129 units, a rise of 14.9%.

    Toyota Dominates New Car Sales Rankings

    Toyota topped the June 2025 sales charts with 11,690 units, maintaining its stronghold in the South African car sales market. It was followed by:

    • Suzuki: 5,221 units
    • Volkswagen Group: 4,973 units
    • Ford, Hyundai, Chery, Isuzu, Mahindra, and BMW rounded out the top 10.

    A key factor behind Toyota’s dominance? Brand loyalty, value retention, and a wide model range that aligns with shifting consumer priorities.

    Imports Surge While Local Production Declines

    Between January and May, imports of new light vehicles by established manufacturers grew by 25.6%, while independent importers saw a sharper 33.4% increase. In contrast, local manufacturing dropped 14%, highlighting the pressure South African automakers face in a market increasingly saturated by competitively priced imports.

    This trend has widened consumer options—boosting car sales overall—while raising concerns about the long-term sustainability of local production.

    Used Car Sales Remain Robust

    The used vehicle market is also riding high. In May 2025, pre-owned car transactions totaled R13.65 billion, a 21.1% year-on-year increase, with 31,741 units sold.

    Top-performing models included:

    • Ford Ranger – approx. 2,000 units
    • Toyota Hilux – 1,584 units
    • VW Polo Vivo – 1,283 units
    • VW Polo 1.0 TSI, Toyota Hilux 2.8 GD‑6, and Ford Ranger XL also posted strong numbers

    Notably, four of the five top-selling used cars have held dominant positions since 2020—testament to South Africans’ preference for proven reliability, durability, and resale value.

    Market Shifts: Crossovers, Hatchbacks, and Chinese Brands

    Current car sales trends reflect growing interest in crossovers and compact hatchbacks over luxury sedans. Key players include:

    • Toyota Corolla Cross – up 35.2%
    • VW Polo Vivo – up 34.3%
    • Toyota Starlet – up 32.9%

    Meanwhile, premium sedans like the Mercedes-Benz C-Class fell by 19.2%, indicating a pivot toward more practical, fuel-efficient models.

    Emerging brands like Chery and Great Wall Motors have also gained traction, both now ranking among the top 15 most financed brands in the country—a significant shift attributed to improved build quality, affordability, and expanded after-sales support.

    Financing & Market Concentration

    Toyota, Volkswagen, and Ford collectively account for over 50% of financed vehicle sales in 2025:

    • Toyota: 18%
    • Volkswagen: nearly 18%
    • Ford: almost 14%

    Despite a small share for outlier brands (just over 10%), the market is slowly diversifying. Factors like access to financing, availability of spare parts, and total cost of ownership are becoming more decisive in buyer decisions.

    Electric Vehicle Market: Slow But Growing

    While overall car sales have surged, new energy vehicles (NEVs)—including battery electric vehicles (EVs), hybrids (HEVs), and plug-in hybrids (PHEVs)—are showing a mixed performance.

    In Q1 2025:

    • According to Naamsa, 3,487 NEVs were sold – up 14% YoY
    • EVs dropped 16.4% to 276 units
    • PHEVs surged 70.9% to 241 units
    • HEVs, led by the locally assembled Toyota Corolla Cross, accounted for 2,970 units (85.2% of NEV sales)

    Used Market Shows Spark of Electric Interest

    The pre-owned electric and hybrid market is slowly building momentum. According to Lightstone Auto, financed used NEVs made up 1% of transactions in 2024, up from just 0.5% in 2023. This growth reflects greater availability of affordable used models and rising buyer familiarity with alternative drivetrains.

    EV Affordability Improves, but Challenges Persist

    Recent price drops are making NEVs more accessible:

    • Toyota Corolla Cross HEV: ~R494,400
    • Chery Tiggo Cross CSH (SA’s most affordable HEV): R439,900
    • Dayun S5 EV: around R399,900
    • PHEVs now start around R600,000, down from over R1 million

    Still, EV adoption is limited by infrastructure bottlenecks. Outside of Johannesburg, Cape Town, and Durban, the charging network remains thin, hampering consumer confidence.

    Global trade uncertainty—especially with key export partners like the U.S.—also casts doubt over the long-term strategy for EV rollouts in South Africa.

    Outlook: South African Car Sales Show Strength, With Room to Grow

    Car sales in South Africa are rising steadily in both new and used markets, supported by a favourable credit environment, price-conscious consumer behaviour, and an influx of competitively priced imports. While NEVs—especially hybrids and PHEVs—are gaining ground, widespread EV adoption will require structural reform in pricing, infrastructure, and policy.

    If these hurdles are addressed, South Africa’s car sales market could become one of the most dynamic in the Global South—fueled by innovation, expanding options, and evolving buyer priorities.

    Watch this space for updates in the General News category on Running Wolf’s Rant.

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