Expect car price hikes in 2021 despite stronger rand
Many new cars experienced double-digit inflation as rand weakness bit, and more misery looms
17 June 2021 - 05:07
Motor companies are quick to hike new-car prices in response to a weakened rand, but are less eager to pass on savings to consumers when the currency strengthens.
New-car prices saw major hikes last year after the rand weakened from R14 to R18.30 to the dollar, at a time when consumers were financially constrained due to the Covid-19 lockdown. To help recover exchange rate deterioration, many motor companies hiked prices by more than 10% in the past 12 months, against SA’s official 2020 inflation rate of 3.3%...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.