South Africa's new vehicle sales hit a decade high in 2025
South Africa's new vehicle market delivered its strongest performance in a decade during 2025, supported by improving economic conditions and stronger consumer affordability. Paul Marshall, Managing Director at Lightstone Auto highlights that lower interest rates, subdued vehicle price inflation, and broader model and price choice helped total new vehicle sales rise 16% year-on-year to nearly 600 000 units. Passenger vehicles were the primary growth driver, recording a 20% increase and marking their best annual performance since 2014. Light Commercial Vehicles grew steadily, while New Energy Vehicle sales reached a fifth consecutive annual record, led by continued demand for hybrid models. A stronger-than-expected Rand and interest rate cuts further improved conditions, allowing the market to outperform earlier forecasts. Looking ahead, Lightstone anticipates continued growth in 2026 at a more moderate pace as the market begins to consolidate.
