1 018 new vehicles sold in September

Car loans perceived risky
Toyota maintained its dominance in the light commercial vehicle market with a 46.9% market share.
Phillepus Uusiku
A total of 1 018 new vehicles were sold in September, which is 34 fewer than were sold in August, but represents a 32.7% year-on-year increase from the 767 new vehicles sold in September 2021, according to IJG Securities.

Year-to-date, a total of 7 932 new vehicles have been sold during the first three quarters of the year, of which 4 075 were passenger vehicles, 3 358 light commercial vehicles, and 499 medium and heavy commercial vehicles, IJG added.

Toyota had a strong month and continues to retain its lead in the new passenger vehicle sales segment, accounting for 31.3% of the sales year-to-date, followed by Volkswagen with 23.0% market share. The two top brands have been maintaining their large gap over the rest of the market with Kia and Suzuki following with 9.0% and 7.9% of the market, respectively, leaving the remaining 28.7% of the market to other brands, IJG said.

On a year-to-date basis, Toyota also maintained its dominance in the light commercial vehicle market with a 46.9% market share, with Nissan in second place with a 12.7% market share. Ford and Isuzu claimed 11.6% and 5.6% of the light commercial vehicle sales, respectively. Hino continues to lead the medium commercial vehicle segment with 27.0% of sales year-to-date. Scania retained its position as the leader in the heavy and extra-heavy commercial vehicle segment with 27.6% of the market share year-to-date.

According to Simonis Storm, some of the local banks perceive car loans as higher risk in the current economic environment, and this has constrained vehicle sales in recent months

“Some local dealerships still indicate that a large share of customers are seeing their car loan applications rejected. Household instalment credit has been lacklustre (averaging 0.9% year to date), whereas corporate instalment credit has recorded double digit growth in recent months.”

Local car rental companies purchased a total of 162 vehicles during Namibia’s peak tourist season (May to September) this year, compared to 240 vehicles bought in last year’s peak tourist season. “This is indicative of major global supply constraints still limiting available stock at local dealerships as we know that there is significant demand from rental companies who want to expand their fleet. High demand stems from a significant improvement in tourist inflows during this year,”Simonis Storm [email protected]