CHAMWE KAIRA
September vehicle sales were worth about N$1 billion based on listed prices, with 96% of the sales volume having available pricing data. However, the market remains about 25% below the 2015 level of 21 195 units.
The average listed price of a passenger car was N$601 000, while a light commercial vehicle cost an average of N$742 000. Half of all passenger cars sold were priced below N$450 000.
Chinese passenger vehicles averaged N$511 000, compared with N$615 000 for established brands, a price difference of about 17%. The gap widened to 30% in the light commercial vehicle segment.
Simonis Storm identified vehicles priced between N$300 000 and N$800 000 as the main area of competition.
Almandro Jansen, an analyst at Simonis said vehicle demand faces pressure from rising fuel prices and the possibility of higher interest rates.
The South African Reserve Bank raised its policy rate by 25 basis points to 7.25% on 23 September, while the Bank of Namibia’s repo rate remained at 6.75% ahead of its next monetary policy announcement scheduled for 28 October. The report forecasts a 25-basis-point increase by the Bank of Namibia.
It estimates that a 25-basis-point increase on a N$600 000 vehicle financed over 72 months would add about N$76 to a monthly instalment of approximately N$11 300.
The report said higher fuel costs were likely to exert greater pressure on motorists than the anticipated interest rate increase.
Namibia’s new vehicle sales rose 14.9% year on year to 1 498 units in September, driven by stronger passenger car and light commercial vehicle sales, while rental fleet purchases declined sharply after the tourism season intake.
Registrations increased from 1 304 units in September 2025 and were 8.7% above August’s 1 378 units, according to the September 2026 vehicle sales report.
Third-quarter sales totalled 4 409 units, the strongest quarterly performance since the second quarter of 2016 and the third consecutive quarter of growth.
Cumulative sales for the first nine months reached 12 254 units, up 12.4% from the same period last year.
Passenger car registrations increased 18.9% to 655 units from 551 a year earlier. The growth was the strongest recorded in the segment this year, although year-to-date passenger car sales were up 9.7%.
Light commercial vehicle sales rose 13.5% to 746 units, the highest monthly total in three months.
Toyota Hilux sales reached 359 units, accounting for 24% of the overall market and 48% of light commercial vehicle sales, down from 56% of the segment in August.
Ford Ranger registrations increased to 86 units, its highest monthly total this year, while Isuzu D-Max sales reached 60 units, its second-best monthly performance.
The report said the performance of the Ranger and D-Max over the past two months pointed to increased competition in the light commercial vehicle segment, which has traditionally been dominated by the Hilux.
Medium and heavy commercial vehicle and bus registrations increased by 1% to 97 units.
The report attributed the slower growth partly to fluctuations in fleet contract deliveries, with Shacman registrations falling to two units in September from 31 in August.
Despite the monthly slowdown, the truck segment was up 29% year to date.
The report expects rental fleet purchases to contribute little to fourth-quarter sales, based on the pattern recorded last year, when only five rental vehicles were registered across October and November.
This leaves the dealer channel as the main driver of vehicle sales during the final quarter of the year. Dealer sales were up 10.3% year to date.
On a rolling 12-month basis, vehicle sales reached 15 901 units, the highest level since February 2017 and more than double the December 2020 low of 7 479 units.
