Namibia’s passenger vehicle sales increased by 12% in May 2024 compared to the prior month, with a total of 460 units sold, latest data shows.
According to Cirrus Capital, the overall vehicle sales reached 966 units, reflecting an 8% rise month-on-month from April’s tally of 899 units.
Toyota led this sales surge, commanding a substantial 44% share of the passenger vehicle market.
Cirrus Capital’s Head of Data & Analytics, Tannan Groenewald, said Toyota’s sales saw a notable uptick, rising by 16% from April to May as the top four remain the same from last month.
“Following Toyota, Volkswagen maintained its position as the second most popular make, with sales increasing by 52% to 88 units in May from 58 units in April. Kia and Suzuki secured the third and fourth spots, despite minor declines in their respective sales figures compared to the previous month,” he said.
Within the Toyota lineup, the Fortuner emerged as the top-selling model with 68 units sold, while the Corolla Cross followed closely with 54 units across all makes.
The Volkswagen Polo Vivo and Toyota Starlet rounded out the top three models in the passenger market, each contributing to their brands’ overall performance.
Meanwhile, he noted that overall, 2024 has seen the highest year-to-date sales figures since 2016, with a total of 5,368 units sold from January to May.
He said this surge in sales reflects a resurgence in consumer confidence amidst economic fluctuations reminiscent of Namibia’s fiscal landscape from 2016 to 2019.
Light commercial vehicle sales also saw a rise, reaching 442 units in May, slightly up from 433 units in April. Year-to-date, light commercial vehicle sales totalled 2,642 units, marking the highest since 2016.
Medium commercial vehicles and heavy commercial vehicles also saw increased sales, with notable figures reaching levels not seen since mid-2017.
The affordability of vehicle purchases is a growing concern in the northern regions, with inflation continuing to spiral far ahead of Khomas (Zone 2) inflation and Zone 3 (Erongo, //Kharas, Hardap and Omaheke), Groenewald highlighted.
Since January 2024, the price of vehicles has increased by 39% in Zone 1 and is well above its headline zonal inflation of 21% over the period.
“In Khomas and the Zone 3 regions, inflation trends have followed each other closely. In Khomas, the price of vehicles has risen by 23% since Jan ’20, slightly below its headline zonal inflation over the period. In Zone 3, vehicle prices have risen by 22% over the period and are in line with its headline zonal inflation since this point,” he said.