New vehicle sales continued to drop in South Africa in the month of June. Statistics from the National Association of Automobile Manufactures of SA (Naamsa) showed that sales were down 21.9% in June compared with the same period last year. In May new vehicle sales fell 23.4%, or 12 095 units year on year. This is a bad time for the motor industry as sales continue to plummet. One can only wonder, how long will the motor car dealers and manufacturers be in business for?

Tighter monetary conditions have forced consumers not to have much disposable income. This in turn has forced the slump in cars sales. Very few people can even think about buying a new car today. Those who may be thinking about buying a new car maybe buying a new smaller car and looking at selling their bigger and more fuel consuming car. With the ever rising fuel prices, those with larger cars are now thinking about selling their cars and buying smaller and more fuel efficient cars. It would be interesting to see the statistics of new cars sales and see what percentage of the sales are of smaller, more fuel efficient cars.

It will be no surprise if scooter sales continue to go up in South Africa as more and more people look to alternative means to cut down on transport costs. The rate at which scooters are now visible on South Africa roads is incredible. Maybe it is time the car manufacturers and dealers start looking at selling scooters in order to make profits.

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