KEY FEATURES: FOURTH QUARTER 2020
- Aggregate new vehicle sales during the fourth quarter declined by 16,9% compared to the corresponding quarter 2019 but the improved performance of 11,2% compared to the previous quarter 2020 bodes well for the anticipated rebound in the new vehicle market in 2021;
- Fourth quarter 2020 industry employment reflected an increase of 218 jobs to reach 30 162 positions at end of December 2020;
- Industry capacity utilisation levels in the various industry segments continued their gradual improvement, reflecting improved national and international market conditions for vehicle sales and exports;
- Aggregate capital expenditure by the major vehicle manufacturers in 2020 recorded its highest level on record at R9,2 billion;
- All vehicle segments reflected sizeable decline compared to the corresponding quarter 2019, but encouragingly, once again reflected a gradual improvement compared to the previous quarter;
- Vehicle exports have been regaining upward momentum during the fourth quarter, but a recovery to pre-COVID-19 levels will depend on an improvement in the economic climate of the industry’s main trading partners; and
- New features in the naamsa quarterly review of business conditions include employment and capital expenditure trends by the independent vehicle importers as well as a naamsa CEOs Confidence Index as an in-house leading business confidence indicator of current and future developments in the domestic automotive industry.