Automechanika Johannesburg concluded its final CEO Breakfast for 2025 at the Kyalami Grand Prix Circuit, coinciding with the Festival of Motoring. The event brought together automotive industry leaders for discussions on economic, regulatory and technological developments.
Sandile Ntseoane, General Manager of SAVRALA, outlined how the rental and leasing sector is recovering after the pandemic, with fleet sizes increasing and demand boosted by tourism. He highlighted the gradual introduction of electric vehicles, shorter leasing models and the growing use of telematics and artificial intelligence in fleet management.
Trade policy implications were addressed by EY South Africa Partner, Duane Newman. He warned that US tariffs on automotive products and metal content could result in annual revenue losses of up to $1.6 billion and up to 100,000 job cuts in the economy. Newman advised companies to strengthen regulatory monitoring, optimise supply chains and build technology partnerships.
Brandon Cohen, National Chairperson of NADA, discussed South Africa's aftermarket service guidelines, which now allow competition between independent workshops and dealerships without voiding warranties. He praised the initiative as 'a government initiative that really works'.
Nedbank Chief Economist, Nicky Weimar, noted that GDP growth is approaching 1%, with vehicle sales up 13.8% year-to-date. Lower interest rates and declining inflation have supported consumer affordability, though structural issues such as costly power and poor logistics remain obstacles.
Closing the session, Messe Frankfurt South Africa Managing Director, Michael Dehn, pointed out demographic shifts in automotive interest, with younger audiences and a near-equal gender split at the Festival of Motoring.
