South Africa’s carmakers are on a 2-year winning streak

New car sales in September 2026 reached the highest level the South African automotive industry has seen in years, selling 61,645 units and capping off two full years of uninterrupted growth.

This represents a 12.7% increase over the last year, which is surprising, since the South African economy has come under severe pressure as seemingly endless petrol price increases led to higher interest rates.

Despite this, Automotive Business Council (Naamsa) data revealed September’s total not only beat the March 2026 peak but also drove the local market past 60,000 units for the first time in years.

Automotive marketplace Cars.co.za Chief Innovation and Product Officer Alan Quinn noted that this performance meant the new-vehicle market in South Africa achieved its 24th month in a row of year-on-year growth.

“This achievement shows how strong local demand has remained even in the face of continuing economic difficulties, consumer preference shifting more and more to affordability and value in all vehicle segments,” he said.

During the month, South Africa’s top-selling car brand, Toyota, pocketed nearly a quarter of all sales, thanks to the 15,366 units sold when including Lexus and Hino.

It was the first time the Japanese carmaker surpassed the 15,000-unit mark since March 2022, and it also represented a record month for the Hilux builder.

Alongside Toyota, fellow Japanese brand Suzuki also drove South Africa’s new car sales performance with its best sales of the year, 6,668 units – good enough for second place.

A third Japanese brand, Isuzu, overtook both Chery and GWM, securing sixth spot with 3,022 units sold. This performance was thanks to 2,551 D-Max sales, as the bakkie became the second-best-selling in September.

Despite slipping to seventh place overall, Chery crossed the 3,000-unit mark for the first time, registering 3,004 sales last month.

Overall, passenger vehicle sales improved 14.7% year-on-year to 44,291 units, while light-commercial vehicle (LCV) sales jumped 9.6% since last year to 14,361 units.

Finances won’t stop South Africans from buying new cars

According to major vehicle finance provider WesBank, local vehicle appetite remains, despite affordability pressures and the recent 25 basis point increase in the repo rate to 7.25%.

Thanda Sithole, Senior Economist for FNB and WesBank, said September’s performance shows that demand remains resilient, even as consumers face higher borrowing costs and pressure from fuel and other living expenses.

“What is particularly encouraging from a financing perspective is that WesBank’s application data also indicates continued demand, with new vehicle finance applications growing year-on-year and at a faster rate than total vehicle applications,” he said.

Sithole added that vehicle running costs remain an important consideration as headline inflation rose to 4.4% in August from 4.3% in July, with higher fuel prices among the contributors to the increase.

“As fuel and running costs become an increasingly important part of the vehicle-buying decision, consumers are looking beyond the monthly instalment to understand the broader cost of ownership,” he said.

“The instalment, insurance, maintenance and fuel costs all need to be considered when determining what is genuinely affordable.”

This sentiment is shared by the National Automobile Dealers’ Association (NADA), which warned that October’s fuel price increases will place further pressure on household budgets.

“For many South Africans, transport is essential to earning a living, taking children to school and accessing essential services,” said Thembinkosi Pantsi, Vice Chairperson of NADA.

“The journey to work does not get shorter when fuel becomes more expensive. Households have to find that additional money within budgets that are already stretched.”

He added that September’s stronger new-vehicle sales provided an encouraging foundation for the final quarter, but sustaining that momentum will require continued attention to affordability.

“A manageable monthly instalment does not necessarily mean that a vehicle is affordable,” Pantsi said.

“Buyers should consider what it will cost to finance, fuel, insure, service and maintain, based on their actual travel needs.”