• Mon, March 3, 2025

New vehicle inflation plunges to lowest level in three years

New vehicle inflation is at its lowest level in three years, while used vehicle price inflation is now in negative territory after a year-long slide.
The article from Moneyweb discusses the significant drop in new vehicle inflation in South Africa, which has reached its lowest level in three years. According to the data from Stats SA, the price of new vehicles increased by only 4.7% year-on-year in May, down from a 12.3% increase in the same month of the previous year. This decline in inflation rates for new vehicles is attributed to several factors including improved supply chain dynamics, with fewer disruptions compared to previous years, and a stronger rand which has made imported vehicles and parts cheaper. Additionally, the article notes that while new vehicle prices are cooling, the used car market continues to experience high inflation, with prices still rising at a significant rate due to ongoing demand for affordable transport options amidst economic recovery efforts.

Read the Full Moneyweb Article at:
https://www.moneyweb.co.za/news/south-africa/new-vehicle-inflation-plunges-to-lowest-level-in-three-years/

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