Heels & Horsepower Magazine

100 000th Polo Vivo rolls off production line at VWSA plant in Kariega 

Starting 2022 off on a strong note, Volkswagen Group South Africa (VWSA) celebrated a production milestone this week, with the 100 000th unit of the current Polo Vivo rolling off the production line at the plant in Kariega (formerly Uitenhage).

The Vivo is built exclusively in Kariega for the South African market and this milestone comes just over four years after the plant began manufacturing the current Vivo model in 2018.

Prior to this, VWSA built the first generation Vivo from 2010 to 2017, with a total of 254 683 units built in this generation. This means the plant has built just over 354 000 Vivos to date.

In turn, South African consumers have shown their appreciation consistently for this uniquely South African vehicle: the Vivo has been the best-selling vehicle in the passenger car market every year since its introduction in 2010.

A total of 350 289 Vivos have been sold between 2010 and 2021, of which 251 726 were during the first generation and 98 563 of the current model (up until December 2021).

The best annual sales performance for the current Vivo model was recorded in 2019 when VWSA sold a total of 29 618 Vivos in one year. In terms of monthly performance, the Vivo proved most popular in October 2018, when 3 009 Vivos were sold in a single month.

The Vivo is one of two vehicles currently being built at the Kariega plant, the other being the Volkswagen Polo. The Polos built in Kariega are exported to all right-hand-drive markets worldwide, while VWSA also supplements production for left-hand-drive markets.

“This milestone means a lot to our team, both in Production and in the rest of the company,” said Ulrich Schwabe, Production Director at VWSA. “Given the challenges of our industry and of the Covid-19 pandemic, this achievement is a proud moment that sets the tone for a successful year ahead. I am grateful to every VWSA employee for their dedication, and the part they played in making this milestone a reality.”

Here are the sales figures for October 2021

Press Release: WesBank

Stock shortages continued to thwart South Africa’s new vehicle market during October. However, the market continued to show a robust performance, despite the volumes being lower than September.

According to naamsa | the Automotive Business Council, 41,035 new vehicles were sold during October, an increase of 6.1% over the same month last year. Although September sales were the second-best volume month this year, October sales were 4.9% slower than last month. It is also important to note the context of October sales within the four months this year that have sold more than 40,000 units.

“The new vehicle market appears to be recovering strongly, demand out-stripping current supply constraints,” says Lebogang Gaoaketse, Head of Marketing and Communication at WesBank. “The second half of the year has performed strongly since the mid-year lockdown restrictions, with the market trading above 40,000 units a month for the past three months.”

WesBank’s own data indicates a resurgence in the South African motor industry. “While we have seen high demand for pre-owned vehicles over the last two years, a slow shift back towards new vehicles may be currently underway,” says Gaoaketse. “Compared to a year ago, applications for to WesBank for new car deals rose 1.8% during October, while applications for pre-owned deals declined 5.9%. In addition, the bank’s used-to-new ratio has shifted over the 12-month period from 2.25 used vehicles financed for every new vehicle a year ago, to 2.08.”

However, the issue of supply is a global factor that skews the overall market picture. “Until global manufacturing stabilises off the back of the pandemic and resolves its micro-chip shortages, consumer and business purchase decisions will be swayed by availability and necessity,” says Gaoaketse. “The good news is that South African car dealers are in a much more sustainable position than a year ago.”

South Africa’s new passenger car market was up 3.1% to 27,496 units, displaying a robust consistency throughout the year. The Light Commercial Vehicle (LCV) market remains far more volatile. While it was down 10.9% in September, the segment bounced back to increase 15.9% during October to 11,188 sales.

A similar trend played out in the dealer space with passenger car and LCV volumes up 2.7% and 16.5% respectively. The market once again benefited from a sizeable volume of rental sales, with 5,002 passenger cars and 730 LCVs selling into fleets.

“Although the market looks in better shape, affordability continues to be a major consideration,” says Gaoaketse. “Significant fuel price hikes this month and the prospect of interest rates potentially increasing with the return of inflation are factors for consumers to consider when purchasing their next vehicle.” 

WATCH: Ignition GT promo – Vuyi Mpofu chats about the VW Mswenko and Peugeot 2008

Thank you so much for being part of the panel Vuyi. We appreciate it and hope to see more of you throughout the year. 

– Zimkhita Kweza, Junior Producer, Ignition gt

The next episode of Ignition GT featuring our Editor Vuyi Mpofu debuts on Saturday 20th Feb at 10:30am on DSTV channel 189.

In it, she has a hilariously animated discussion with the panel about the decals on the VW Mswenko and gets taught how to pronounce ‘Peugeot’ when talking about the Peugeot 2008.

Read about the VW Mswenko here: https://heelsandhorsepowermag.com/polo-vivo-range-gets-a-stylish-special-edition-derivative/

Other broadcast dates of this episode are as follows:

SAT 20 Feb 10:30 IGNITION GT
SUN 21 Feb 16:30 IGNITION GT
MON 22 Feb 00:30 IGNITION GT
MON 22 Feb 10:30 IGNITION GT
TUE 23 Feb 04:30 IGNITION GT
WED 24 Feb 05:30 IGNITION GT
WED 24 Feb 20:30 IGNITION GT
THUR  25Feb 08:30 IGNITION GT
THUR 25 Feb 17:30 IGNITION GT
FRI 26 Feb 14:30 IGNITION GT