Electric vehicle sales are surging in South Africa
The number of new energy vehicle (NEV) sold in South Africa increased 245.1% in the first nine months over the same period last year, Naamsa, the automotive business council said Friday.
For the first nine months, 3 092 NEVs were sold, compared to 896 NEVs sold during the full year 2021.
NEV sales by 13 industry brands in the third quarter increased 29.1% to 953 units, from 738 units in the second quarter.
The Department of Trade, Industry and Competition published an Automotive Green Paper on the introduction of NEV’s in May 2021.
The paper highlighted that NEV in South Africa is the future driving technology adopted by the global auto sector.
Naamsa said the local industry was awaiting information from government on the outcome of the recommendations to stimulate demand, and to manufacture NEVs and NEV components.
Alan da Silva, the sales and marketing head at vehicle financier Wesbank, said recently that local vehicle manufacturers would need to respond to global demand dictated by international regulations, particularly those of South Africa’s export markets.
“They will need to gear their manufacturing plants for NEV production and remain competitive, as trading partners will likely no longer require internal combustion engines vehicles. Government support to the SA auto industry is essential to assist the manufacturing sector to adjust to these changes," said Da Silva.
Naamsa said the increased production was off the back of new vehicle sales increasing strongly by 16,9% in the quarter, compared to the corresponding quarter 2021, and 17,6% compared to the previous quarter.
In line with the recovery in production to pre-pandemic levels, various manufacturers also returned to a three-shift basis, as well as multi-shifts in areas such as machining, press shops, paint shop operations and body shops.
Third quarter 2022 vehicle exports also increased by 92.2% compared to the corresponding quarter of 2021.
Third quarter industry employment reflected an increase of 690 jobs to reach 34 300 positions at end September 2022, as reported by Pretoria News, a partner of TV BRICS.
Photo: Pretoria News