South African Motoring News: RAF Backlog, Vehicle Recalls and Industry Updates

featured image

South African Motoring News: RAF Backlog, Vehicle Recalls and Industry Updates

South Africa's automotive industry continues to experience significant developments across vehicle safety, infrastructure, manufacturing and consumer finance. From a growing Road Accident Fund claims backlog to major vehicle recalls and encouraging investment announcements, these are the stories shaping the local motoring landscape.

RAF Claims Backlog Remains Significant

The Road Accident Fund (RAF) continues to face substantial administrative pressure, with nearly 40,000 outstanding claims dating back to 2007. Collectively, these unresolved claims are valued at approximately R21.76 billion, highlighting the scale of the backlog facing the organisation.

More Than 50,000 Vehicles Recalled

Vehicle safety remains a major focus for manufacturers operating in South Africa.

Since the beginning of the year, more than 50,000 vehicles have been recalled across multiple brands for various safety and quality-related issues. Vehicle recalls play an important role in addressing potential defects before they lead to safety incidents, reinforcing the importance of owners responding promptly to manufacturer notifications.

Affordable Hatchbacks Continue to Lead

Compact hatchbacks remain one of South Africa's most popular vehicle segments, accounting for nearly 20% of all vehicle sales during June.

The Volkswagen Polo Vivo retained its position as the country's leading hatchback, with 2,395 units sold, making it the second best-selling vehicle overall behind the Toyota Hilux.

Dealer Satisfaction Reaches Record Levels

The National Automobile Dealers' Association (NADA) has released the findings of its 2026 Dealer Satisfaction Index (DSI).

The survey recorded its highest scores to date:

·        Passenger and light commercial vehicles: 79.8%

·        Commercial vehicles: 79.1%

Conducted independently by Lightstone since 1996, the DSI remains one of South Africa's longest-running measures of dealer satisfaction within the automotive retail sector.

Infrastructure Investment Receives a Boost

South Africa has secured a $1.5 billion World Bank loan aimed at supporting infrastructure improvements and stimulating economic growth. The funding forms part of an ongoing programme designed to address infrastructure bottlenecks that affect investment and job creation.

Renault Trafic Returns

Renault South Africa has officially reintroduced the Renault Trafic Passenger, bringing one of the brand's best-known international people movers back to the local market after an absence of almost two decades.

Johannesburg Speed Cameras Remain Offline

Motorists travelling through Johannesburg should note that many of the city's automated speed cameras have remained inactive following the expiry of the municipality's contract with its previous service provider.

While this has reduced automated enforcement, motorists are still legally required to comply with posted speed limits and may be monitored through other law enforcement methods.

Toyota Hilux Leads in Value Retention

For buyers considering long-term ownership, the Toyota Hilux continues to set the benchmark for resale value.

Industry estimates indicate that the Hilux retains between 65% and 70% of its original value after three years, reflecting strong consumer demand, proven reliability and enduring brand confidence.

Ford and Geely Collaborate on EV Development

Ford and Geely have announced a new joint venture at Ford's manufacturing facility in Spain to co-develop electric vehicles for the European market. Ford will hold a two-thirds stake in the venture, while Geely will own the remaining share.

Interest Rates Hold Steady

The South African Reserve Bank's Monetary Policy Committee has left interest rates unchanged.

The repo rate remains at 7%, while the prime lending rate stays at 10.50%, providing some certainty for consumers and businesses navigating the current economic environment.