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News Article - Automotive
VWSA and DaimlerChrysler are market leaders
Posted on: Friday, 08 March 2002. Article source: Eastern Cape Business News
EASTERN CAPE vehicle manufacturers Volkswagen South Africa and DaimlerChrysler led the new car, as well as the medium and heavy commercial vehicle markets in February 2002. Nelson Mandela metro-based Volkswagen South Africa (VWSA) was the top new car supplier in South Africa for the 12 th successive month. DaimlerChrysler, which is based in the Buffalo City metro, led both the medium and heavy commercial sectors. Together with the Port Elizabeth-based Delta Motor Corporation, the two manufacturers captured 47 per cent of the total new vehicle market, and 41 per cent of total new car sales in South Africa for February. According to the National Association of Automobile Manufacturers of South Africa (Naamsa), total new vehicle sales for the for February were 30 229 units. Although this is 4.1 per cent below February 2001, the combined new vehicle sales for January/February 2002 are over two per cent ahead of the same period last year. "The market came in a little higher than we had forecast and, although this may have been as a result of pre-pricing increase buying, it is nevertheless encouraging to see the market as strong as it is," says Mike McKelvie, Executive Director, Marketing and Sales for the Ford Motor Company of Southern Africa. "We are particularly encouraged to see year-to-February total industry sales ahead of the same period last year and, in particular, to note that the medium and heavy commercial vehicle sales segments are showing month over month growth,” he said. Ford has an engine export plant in Port Elizabeth. According to Naamsa, sales of vehicles in the medium and heavy truck segments of the industry grew by two per cent year-on-year, while there was a 25.5 per cent improvement in sales of heavy trucks and buses. Both sectors recorded strong gains on the previous month of January, 2002. A softening of the local market is expected, but Eastern Cape manufacturers are expected to be protected due to strong exports. "Under current domestic economic circumstances South Africa will rely heavily on exports to support economic growth during 2002, and in this regard Volkswagen is well placed to make a meaningful contribution with a number of highly successful and significant export initiatives in place," says Volkswagen South Africa sales and marketing director Jolyon Nash. VWSA exports Golf 4s to the Eastern Cape, while DaimlerChrysler is the world supplier of right-hand-drive models of the Mercedes C-Class. Exports of South African-produced motor vehicles started 2002 on a strong note, with aggregate vehicle exports for January, 105.6 per cent ahead of the corresponding month in 2001, according to Naamsa. South Africa exported a total of 6 766 new cars, 787 light commercials, and 42 medium and heavy trucks and buses in February.
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