New vehicle sales have increased to 47,294 units in June 2025, up by 7,444, or 18,7%.
This is according to a report released by the Automotive Business Council (NAAMSA), this week.
About 40,621 units, of the total amount, or 85,9%, were dealer sales, while an estimated 8,2% represented sales to the vehicle rental industry. About 3,2% were to industry corporate fleets, and 2,7% to government sales.
The June 2025 new passenger car market at 32,570 units had registered an increase of 5,807 cars,
or a gain of 21,7%, compared to the 26,763 new cars sold in June 2024.
Bakkies and mini-buses sold were at 12,129 units in June 2025.
Mikel Mabasa, CEO of NAAMSA, said the decision to cut 25bps in May 2025, by the Reserve Bank, is one of the contributing factors to the increase, this is despite an unchanged consumer inflation, of 2.8% year-on-year.
“The first half of 2025 has shown just how resilient and responsive our domestic market truly is.
Strong consumer demand, supported by positive economic fundamentals, has helped the
automotive sector deliver impressive growth amid global turbulence. At naamsa, we recognise this momentum as a reflection of supportive macro-economic policy choices and a highly adaptive industry. As 2025 marks a critical inflection point for the sector, we look forward to progressive policy support measures as part of the SAAM35 Review that sustains this growth trajectory, enhances competitiveness, and drives deeper inclusion across the value chain,” said Mabasa.
He also said the sector still faces systemic challenges, despite the latest positive report, “South Africa’s automotive industry has long relied on a thriving export engine to sustain production volumes and attract investment. However, the current trade policy shifts, particularly from the United States, pose a real challenge to this model. To address this, our response must be strategic- diversifying markets, expanding regional trade, and continuing to advocate for fair and
rules-based global trade systems.”
The automotive sector accounts for 22.6% of the country’s manufacturing output, exporting to some 155 international markets.
The manufacturing sector in automotives, employs about115,000 people.