Heels & Horsepower Magazine

Toyota Celebrates Sales Leadership in South Africa

By H&H Admin

Toyota South Africa Motors (TSAM) marked 42 years as the best-selling automotive brand in South Africa.

Toyota South Africa Motors (TSAM) marked 42 years as the best-selling automotive brand in South Africa with a remarkable market share of 25.4%.This means that one in every four vehicles sold locally in 2021 was a Toyota product. Out of the industry total of 464 122, an aggregate of 117 659 units were delivered by TSAM.

The last time TSAM registered a market share higher than 25% was in 2003, and it was not necessarily a good year for the industry as total automotive sales were just slightly above 380 000. 

This was followed by a few years where Toyota garnered a market share just above 19%. Worthy of mention however is that for the past five years, Toyota has been punching above a 20% share – an unprecedented run of success by any local automotive brand in recent history.

Hilux retains its title as the country’s best-selling vehicle with a total of 36 085 units sold – most of which were double cabs. Hiace also continued its supremacy as the ‘people mover’ of choice with a total of 15 699 models sold. The two heroes, assisted by other light commercial vehicle (LCV) models such as Land Cruiser pick-up and Dyna, propelled TSAM to its highest LCV market share of 42.2%. 

Toyota’s market share of 19.2% in the passenger segment is the highest in the last 12 years – matching a similar figure in 2018 – and comes in the wake of two stellar performances by the Corolla Cross in November and December. 

Other notable figures were posted by Starlet and Urban Cruiser last year – 12 103 and 8 899 respectively for 2021. Toyota’s truck division Hino posted an impressive market share of 25.1% in the Medium Commercial Vehicle (MCV) segment and registered a 5.5% share in Heavy Commercial Vehicles.

TSAM is also proud that its Parts’ Supply business distributed no less than 16 million items to domestic dealers, while close to 4 million pieces were shipped outside of the country in 2021.

Toyota Sales Breakdown

In December, TSAM continued to power ahead with sales of 9 580 – leading in both Passenger (5 603) and LCV (3 699) segments for the second month in a row.  The December retail represents 26.6% of the total sales of 35 948 units reported by NAAMSA. 

Stand-out performances were recorded by SA’s favourite bakkie Hilux (2 426); the new Corolla Cross (1 752); the affordable Starlet (1 180) as well as the evergreen Hiace (1 024). 

Lexus recorded a total of 51 sales, including 20 ES and 10 RX models. Hino recorded a total of 249 sales. The 300-Series posted 150 units while the 500-Series sold 72 models. 

Toyota Parts Sales

From a parts perspective, 1.2 million pieces were supplied to domestic dealers while a further 305 000 units were shipped across the borders in December.

According Leon Theron, Senior Vice President of Sales and Marketing at TSAM: “The last month of the year is not traditionally successful when it comes vehicles sales. This is mainly due to the limited days of doing business as well as many customers and dealers withholding vehicle registrations in order to record new models in the New Year. However, we are truly grateful for the 26.6% market share recorded last month.”

Theron also paid tribute to Toyota’s employees, dealers and other business partners for their support: “When we established the brand in South Africa in 1961, we focused on establishing a wide dealer network that directly serves customers. We genuinely appreciate all those who have been part of the Toyota journey to date, including dealers, staff as well as all the various brand ambassadors and customers.”

President Cyril Ramaphosa joins Toyota South Africa in celebrating Toyota Corolla Cross

Press Release: Toyota South Africa Motors

Toyota South Africa Motors (TSAM) hosted the President of the Republic of South Africa Cyril Ramaphosa at its manufacturing plant in Durban on Tuesday. The President – accompanied by a delegation of public officials, including the Minister of Trade, Industry and Competition Ebrahim Patel had joined Toyota in celebrating the opening of the Corolla Cross production line in Prospecton, KwaZulu-Natal.

TSAM’s newest production line further reaffirms the company’s investment commitment to the South African economy and the local automotive sector. Established some 60 years ago, Toyota in South Africa has grown significantly over the years and now manufactures Hilux, Fortuner, Corolla Quest and Hi-ace at its Prospecton Plant, while selected Hino and Dyna models are produced as SKD or semi-knocked-down assemblies.

In his remarks, President and CEO of TSAM Andrew Kirby noted: “If you tally up the investments we’ve made in this plant spanning the last five years – of which Corolla Cross accounts for R2.6 billion, we arrive at a cumulative figure of over R6.5 billion. So, we are therefore committed to further developing and strengthening our business in South Africa and making a difference in the country, our communities, our suppliers, dealers, customers and of course in own employee’s lives.”

The introduction of the Corolla Cross model has generated a total of 575 new jobs at the TSAM plant while over 1200 direct jobs were created in the component supply base. Another significant focus during the project was to maximise the local content for this model.

This resulted in the localisation of 621 parts with 56 local suppliers – 16 of which are Black-owned. TSAM has also onboarded five new Tier-1 suppliers (all Black-owned) and 12 new Tier-2/3 suppliers. The economic contribution with TSAM’s local suppliers for this project is over R1.4 billion per annum.

To mark the official opening of this significant event for TSAM, President Ramaphosa had initially officiated a ribbon-cutting ceremony – flanked by Andrew Kirby; Imai-san; Nigel Ward; Minister Patel and other regional public officials – before addressing a number of dignitaries and other stakeholders in the automotive industry in the company’s auditorium.

According to Ramaphosa: “I had called upon Japanese carmakers to strengthen their investment in South Africa. A few months later at the second South Africa Investment Conference, Mr Andrew Kirby came up to stage to announce Toyota’s new investment (R2,6 billion)… I am particularly pleased to see that the announcement that was made has led to the creation of so many jobs – a total of 1 775 jobs made through the announcement of the investment [of the Corolla Cross production].”  

The new Corolla Cross is based on the acclaimed Toyota New Global Architecture platform, or simply the TNGA platform. As of August 2021, 32 Toyota and Lexus models are using this platform and now account for approximately 70% of global Toyota sales. From a regional marketing perspective, the Corolla Cross is produced in both right- and left-hand drive variants and is also the first model to be produced en masse on the continent. It will be exported to more than 40 countries in Africa.

TOYOTA REVEALS THE NEW PASSENGER MODEL TO BE BUILT IN DURBAN

This car, the all-new Corolla Cross, is tangible proof of our commitment to the local motor industry, as well as the South African economy.

– Andrew Kirby, TSAM President and CEO. 

Toyota South Africa Motors (TSAM) has announced that it will be manufacturing and selling the brand-new Corolla Cross in South Africa in the fourth quarter of the year. The model reveal, made by TSAM President and CEO Andrew Kirby, follows the company’s announcement in 2019 that it was investing R2.43 billion in the production of a new passenger vehicle in South Africa.

 

“We will be manufacturing this very model [Corolla Cross] in both right- and left-hand drive for South Africa and the rest of Africa right here at Prospecton. The Corolla Cross is based on the acclaimed Toyota New Global Architecture (TNGA) platform and will be built on our passenger car production line alongside the Corolla Quest,” says Andrew Kirby, TSAM President and CEO. 

It is the very first time that we will be manufacturing a Hybrid model which I believe will fast become a very popular choice.

– Nigel Ward, TSAM’s Executive Vice President of Manufacturing and Manufacturing Support Group

The local production of the Corolla Cross also ushers in a couple of “firsts” for TSAM’s manufacturing team at the Prospecton Plant.

“This is a significant milestone for Toyota South Africa. It’s not often that we get to produce a brand-new body shape in our factory; plus, it is the very first time that we will be manufacturing a Hybrid model which I believe will fast become a very popular choice. And it’s the first time for us to manufacture using the Toyota New Global Architecture (TNGA) – which allows us to keep up with global technology and trends,” says Nigel Ward, TSAM’s Executive Vice President of Manufacturing and Manufacturing Support Group. 

WATCH: Andrew Kirby introduces the proudly and locally manufactured Toyota Corolla Cross

The Corolla Cross will be exported to 43 countries in Africa and is expected to push Toyota export volumes to about 15-20% per annum. Toyota is projecting growth of 7% per annum in the SUV market in Africa – offering significant growth opportunities to expand production of this new model. 

This is an ideal vehicle for our market as it provides an exceptional balance between drivability, roominess, comfort and high-tech features

– ANDREW KIRBY, TSAM PRESIDENT AND CEO

While the Corolla Cross shares the same TNGA C platform with its namesake Corolla, it boasts a higher ground clearance and other attributes normally associated with an SUV.  

 

According to Kirby: “This is an ideal vehicle for our market. It provides an exceptional balance between drivability, roominess, comfort and high-tech features – truly a game-changing SUV. It combines everything you love about Corolla with the utilitarian and rugged aesthetics of a segment-leading SUV. Overall, expectation is that the Corolla Cross will not only contribute significant sales towards the Toyota brand, but also accelerate growth mini-SUV segment, increase overall size of the passenger market in South Africa and give momentum to electrification technologies.”

“This car, the all-new Corolla Cross, is tangible proof of our commitment to the local motor industry, as well as the South African economy,” says Kirby.

A comprehensive specification, including pricing, of the local models will shared upon product launch in the fourth quarter of 2021.