When does a car become a classic?

'Classic car' is a definition dilemma and a burning question among car enthusiasts – when does a car become a classic? Whatever... how about owning an 'as new' 1969 VW Beetle?

Senna portrait made from old jeans

The Autosport International show in the UK in January will be packed with racing stuff but pride of place will go to a portrait of Ayrton Centre created with old pairs of jeans.

Good times over for SA auto market?

2012-11-14 07:14

SA VEHICLE GROWTH TO SLOW: Experts believe the SA vehicle industry to grow much less in 2013 compared to 2011 and 2012.

CAPE TOWN - The relatively good times of 2012 for the local automotive industry are unlikely to continue in 2013, according to TransUnion Auto Information Solutions.

Major dealer groups have seen financial results improve, with new vehicle sales up by 10% compared to 2011, continuing cost control and a decline in debt.

'ALL IS NOT ROSY'

Carel Martin, spokesman for TransUnion, said: "But all is not rosy as dealer confidence levels are decreasing when compared to those seen over the past 18 months.

"There is good reason for this, as consumer debt continues to grow and reports indicate that households are experiencing further strain."

Other factors which could pressure the industry included rising fuel prices, toll fees for Gauteng drivers, and stabilising vehicle sales volumes.

Continued support programmes from manufacturers, coupled with low interest rates, could potentially boost consumer credit demand.

Low price increases for 2012, which contributed to growth, were unlikely to be sustained in 2013 as the Rand weakens and input costs increase.

UNDER PRESSURE

Martin predicted continuing pressure for used car dealers, who were selling used vehicles below the recommended retail price in an attempt to counter price discounts and incentives offered by the new vehicle market.

Gross margins in the used vehicle market appeared to have stabilised after the average percentage gap between trade and retail values reached its lowest level in the past four years.

Martin said: "Given the current market conditions, based on positive trends, constant supply and relative price stability seen in 2012, we can expect 2013 to deliver some growth, although it should be less than what we’ve seen in the past two years."

NEXT ON WHEELS24X
Read more on:    fuel  |  market  |  vehicle  |  transunion  |  prices  |  south africa  |  e-toll  |  gauteng  |  car  |  industry

Read Wheels24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
2 comments
Add your comment
Comment 0 characters remaining

Inside Wheels24

Bakkie crash: Another TEN killed

Ten more people have died in yet another bakkie crash, this time in North West. When will the ANC start to enforce laws that prohibit the carriage of humans like animals?

There are new stories on the homepage. Click here to see them.