Shrinking 'car wallet' bad news for industry
Michael Jacks expects new car sales to decline this year by 37%
The economy may be reopening but SA's motor industry is expected to take a long time to recover, with job losses and pay cuts slashing consumers' "car wallets" while the prolonged travel shutdown has severely reduced demand for rental cars.
BofA Securities warned this week that SA was seeing significant loss of capacity in the automotive industry, which accounts for 7% of GDP and 30% of manufactured output. It employs 457,000 people directly and indirectly...