If one accounts for other categories – light commercials, trucks and busses – the overall increase in sales is only 22%, but that is still a major jump from the same month in 2024.

Naamsa CEO, Mikel Mabasa, says the total new-vehicle sales reached 45 308 units, reflecting an increase of 8 169 units, or a substantial gain of 22.0%, from the 37 139 vehicles sold in May 2024. He attributed the growth to relatively stable economic fundamentals earlier in the year.

Overall, of the total reported industry sales of 45 308 vehicles, an estimated 40,062 units, or 88.4%, represented dealer sales. An estimated 6.8% were sales to the vehicle rental industry, 3.0% to industry corporate fleets and 1.8% to government.

The May 2025 new passenger car market, at 31 741 units, registered an increase of 7 322 cars, or a gain of 30.0%, compared to the 24 419 new cars sold in May 2024. Car rental sales accounted for an unusually large 8.5% of new passenger vehicle sales during the month.

Domestic sales of new light commercial vehicles, bakkies and mini-buses, at 10 938 units during May 2025, recorded an increase of 601 units, or a gain of 5.8%, from the 10 337 units sold in May 2024.

Sales in the medium and heavy truck segments also performed well. In May 2025, 660 medium commercial vehicles were sold — an increase of 122 units, or 22.7%, compared to the 538 units sold in May 2024. Meanwhile, heavy trucks and buses recorded 1 969 units, an increase of 124 vehicles, or 6.7%, from the 1 845 units sold in the same month last year.

However, not all indicators were positive.

Vehicle export sales decreased by 5 165 units, or 14.6%, to 30 112 units in May 2025, compared to 35 277 vehicles exported in May 2024. Nonetheless, vehicle exports for the year to date were still 1.4% ahead of the same period last year.

The decrease in exports during the month was attributed to a major exporting vehicle manufacturer halting production from mid-April to mid-May to complete the remaining 40% of the required installations and upgrades in its body shop, paint shop and final assembly areas in preparation for the introduction of a new model. (Hint: It is Volkswagen who is preparing to build a small SUV alongside its Polo and Polo Vivo in Kariega).

Mabasa adds that the fragility of global demand, in the face of rising protectionism, is increasing and highlights the importance of maintaining export competitiveness through policy alignment, market diversification and value chain resilience.

In response to the naamsa figures, Brandon Cohen, Chairperson of the National Automobile Dealers’ Association of South Africa (NADA), said it was gratifying to see that consumer confidence, boosted by a further interest rate cut and positive geopolitical developments, translated into a 22% improvement in retail new vehicle sales in May.

“Sales were relatively slow during the first half of May but increased significantly in the latter half following President Ramaphosa’s meeting with US President Donald Trump, the finalisation of the national budget and the interest rate announcement,” Cohen noted.

NADA also highlighted that the substantial rise in overall sales was primarily driven by the 30% increase in passenger car sales. “In fact, actual market activity may have been even stronger than the reported total of 45 308 vehicles sold in May, as only 12 of the 24 Chinese brands currently available in South Africa submitted sales data,” Cohen added.

The used vehicle market also showed interesting trends, according to Thembinkosi Pantsi, Vice-Chairperson of NADA.

“May was a fascinating month for the pre-owned segment of the retail motor business. Many customers opted for pre-owned models from aspirational brands rather than investing in new vehicles. This trend has been gaining traction in recent months, with some buyers even showing interest in premium-brand cars that are between seven and ten years old,” he explained.

“We’ve also observed some customers choosing pre-owned Chinese models rather than new ones, indicating a desire to test the reliability and after-sales support of these vehicles before committing to a new purchase.”

Pantsi concluded by highlighting a noticeable increase in foot traffic: “We saw an increase in ‘walk-ins’ during May compared to previous months. Many of these customers had already conducted research on online platforms and arrived well-informed. Overall, May was a very positive trading month.”

• In April 2025, naamsa's new-vehicle sales figures showed a total of 42 401 units sold, an 11.9% increase compared to April 2024. This was driven by a 16.9% rise in passenger car sales to 30 101 units.
• In March 2025, naamsa’s figures recorded 49 493 units sold, a 12.5% increase compared to March 2024. This growth was attributed to a 25.3% jump in passenger car sales to 33 447 units.