Corporates are holding onto older vehicles for longer: WesBank
Figures released by the Department of Trade and Industry show that in the first four months of 2015, truck sales were down significantly on the same period in 2014. Mahoney said corporate customers were generally nervous of taking on new asset finance.
"The impact of electricity load-shedding is really beginning to come through," he said. "The usual replacement cycle could be extended by nine months or more. Companies are hesitant about replacing assets."
The Department of Trade and Industry figures, compiled in association with the National Association of Automobile Manufacturers of SA (Naamsa), show that total new-vehicle sales in the first four months were down 0.8%, with the biggest losses in commercial vehicles.
For April alone, the market was down 3.3% on April 2014 - from 46,010 to 44,503. Naamsa director Nico Vermeulen said sales were affected by the "multiplicity and configuration" of public holidays in April, including two consecutive long weekends at the end of the month.
Vehicle exports continued to gain ground. April's 23,615 were 40.5% higher than last year's 16,802. For the year to date, shipments have improved 34.8%, from 77,247 to 104,117.
Source: BDpro