South Africa's domestic new-vehicle market achieved a significant milestone in September, recording 61,645 sales, the highest monthly total of 2026. This represents a 6.5% increase from August's originally reported total and a 12.7% rise compared to September 2025. The growth in sales can be attributed to various factors, including new model arrivals, promotions, and quarter-end campaigns.
The third quarter of 2026 saw a substantial growth in new-vehicle sales, with a total of 177,251 units sold. This represents a 15.4% increase from the second quarter and a 12.0% rise compared to the same quarter last year. The growth in the third quarter was driven by a 15.3% increase in passenger vehicle sales and an 18.1% rise in light commercial vehicle sales.
Passenger vehicles accounted for the majority of September's monthly gain, with sales increasing by 3,075 units to 44,291. Light commercial vehicle sales also rose, with a 634-unit increase to 14,361. The remaining commercial vehicle and bus categories together saw a 38-unit increase to 2,993. The dealer channel recorded an estimated 81.4% of September's sales, while rental purchases accounted for 13.8% of total sales.
Despite the growth in sales, buyers are facing challenges due to rising financing and running costs. The Reserve Bank raised its policy rate by 25 basis points to 7.25%, effective from September 25. August's consumer inflation was 4.4%, with transport inflation at 8.8%. Brandon Cohen, Chairperson of the National Automobile Dealers' Association (NADA), emphasized the importance of affordability, stating that it is measured in rands available at the end of each month.
The demand for new-energy vehicles continues to grow, with sales reaching 18,945 units in the first eight months of 2026. This represents a 13.4% increase compared to the 16,703 units sold throughout 2025. Cohen advised buyers considering hybrids and plug-in hybrids to carefully evaluate purchase price, finance repayments, and running costs, as well as charging access and driving patterns for plug-in models.
The growth in new-vehicle sales is expected to continue, driven by factors such as new model arrivals and promotions. However, sustaining progress will depend on helping customers make affordable choices that work for them throughout ownership. The industry will need to navigate challenges such as rising interest rates and inflation to maintain the momentum.
The September sales figures demonstrate a positive trend for the South African automotive industry. The industry will continue to monitor factors such as interest rates, inflation, and consumer demand to predict future sales trends.
Key points
- 61,645 new-vehicle sales recorded in September, the highest monthly total of 2026.
- Third-quarter new-vehicle sales growth reached 177,251 units, up 15.4% from the second quarter.
- New-energy vehicle sales reached 18,945 units in the first eight months of 2026, up 13.4% from 2025.
