These were the five biggest stories in South Africa’s automotive industry this week.
WeBuyCars expected to take a big hit this month
Transaction Capital, owner of WeBuyCars, this week released its latest trading update for the financial year ending 30 September, announcing that it expects the used-car retailer to take a 20% revenue hit for the year.
This is attributed to an increase in new-vehicle supply over the past year and a subsequent drop in used-car prices cutting into WeBuyCars’ margins, as well as an extremely high comparator year in 2022.
Mercedes-Benz launches two electric SUVs in South Africa
In one week, Mercedes-Benz introduced two electric SUVs to the local market in the form of the EQE and EQS.
The vehicles complete Mercedes’s current electric line-up and slot in above the EQA, EQB, and EQC as the most powerful and luxurious electric SUVs the automaker has to offer in the domestic market.
Big petrol price hikes expected for October
Following substantial fuel price hikes that hit the country in September, more petrol and diesel price increases are looming for October.
Mid-month data published by the Central Energy Fund indicates that petrol prices are looking to rise by up to R1.22 per litre come the first Wednesday of next month, and diesel prices by a more substantial R2.03 per litre.
The difference in the anticipated increases take into account to a tightening global diesel supply and rising demand that is subsequently pushing up the cost for this fuel type.
Stellantis goes all in on South Africa
Stellantis – parent company of popular brands including Alfa Romeo, Citroen, Fiat, Jeep, Maserati, Opel, and Peugeot – this week made two major announcements for the South African market.
The organisation officially launched its Eurorepar spare parts shop in the country with over 15,000 components for various brands, all backed by a two-year warranty.
It also confirmed an investment of R3 billion into a new factory in the Eastern Cape that will start production on a one-tonne bakkie in 2026.
Cape Town protects its citizens from diesel price hikes
The City of Cape Town’s Urban Mobility Directorate has confirmed that, despite diesel prices rising by up to R2.84 per litre in September, the tariffs of its MyCiTi public transport service will not increase.
Following massive fuel price hikes over the course of 2022 that eventually led to the temporary suspension of a key bus route, the city has come up with an innovative pricing mechanism to protect its citizens from these unpredictable fluctuations.
It confirmed that the MyCiTi tariffs won’t increase until the wholesale diesel prices eclipse R27.51/litre.
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