Volkswagen Group Africa has called for urgent intervention by government to safeguard South Africa’s automotive manufacturing industry.
Martina Biene, Chairperson and Managing Director highlighted the challenges that local manufacturers face as the market experiences an influx of Chinese automotive brands. The high cost of manufacturing in South Africa makes it impossible to compete with the aggressive prices and strategies of Chinese imported vehicles.
She pointed out VW recently invested R140 million rand in generators at its Kariega facility due to load-shedding disruptions.
Biene also mentioned that VW invested in skills development, job creation, and infrastructure in South Africa.
Volkswagen’s R4 billion investment in its Kariega facility for the production of a new small SUV, set to be launched in 2027, proof of their commitment to local manufacturing. This emphasises the need for the government to not only protect but also grow the local automotive sector.
She added that the Manufacturing Automotive Industry in South Africa needs a serious conversation with the government about how to protect and support local manufacturing instead of allowing the market to be flooded with imports!
Speaking at a seminar organised by the National Association of Automotive Component and Allied Manufacturers (NAACAM) the CEO of Toyota, Andrew Kirby has repeatedly cautioned against the risks of deindustrialisation in the country.
Projected Fuel prices for December:
With the rand under renewed pressure and global oil prices taking a negative turn, petrol and diesel prices for December are heading in a upward direction.
The Department of Petroleum and Mineral Resources has published the official fuel price adjustments that will be affective from Wednesday, 4 December 2024.
With compliments to Bussinestech herewith the expected prices:
• Petrol 93: increase of 17 cents per litre (R21,15)
• Petrol 95: increase of 17 cents per litre (R21,47)
• Diesel 0.05% : increase of 54 cents per litre (R19,20)
• Diesel 0.005% : increase of 48 cents per litre (R19,33)
• Illuminating paraffin: increase of 66 cents per litre (R13,36)
Naamsa Vehicle sales report for November 2024
With a second consecutive monthly increase in new vehicle sales we can expect the start of the long-awaited upward trend in the new vehicle market. Total domestic new vehicle sales in November 2024, at 48,585 units, reflected an increase of 3,658 units, or a gain of 8,1%, from the 44,927 vehicles sold in November 2023.
Export sales decreased by 28,6%, in November 2024 compared to the vehicles exported in November 2023.
The November 2024 new passenger car market at 35,101 units had registered an increase of 5,849 cars, or a gain of 20,0%, compared to the 29,252 new cars sold in November 2023.
Sales for medium and heavy truck segments of the industry reflected a weak performance in November 2024 and at 699 units and 1,958 units, respectively, recorded a decrease of 9,2% in November 2023 in the case of medium commercial vehicles, and in the case of heavy trucks and buses a decrease of 10 vehicles, or 0,5%, compared to the units sold in the corresponding month last year.
As we come to the end of yet another year, we at CLC Trucks would like to wish all our customers, suppliers and staff a prosperous festive season!
-Cobus Lourens-
