Daihatsu is set to cease distribution in South Africa. The range on sale domestically comprises the Sirion hatchback, the Terios small sports utility vehicle and the Gran Max bakkie.

Imperial Daihatsu, the importer of the Japanese brand, will cease selling new vehicles in the local market by the end of March, but not of its own volition, says Imperial Daihatsu GM Pedro Pereira.

“The decision to stop selling Daihatsus in South Africa was taken by the original-equipment manufacturer.

“We, as the importers, have done really well with the brand and would have loved to con-tinue distributing Daihatsus in South Africa.”

Pereira says the Japanese manufacturer’s decision to halt distribution in South Africa has been influenced by a decision to move away from Western markets in favour of Asian markets.

“Daihatsu pulled out of Europe, Australia and New Zealand a few years ago, and now it is our turn.”

According to a statement by Daihatsu, the move to pull out of Europe in 2013 was the result of “increasing development costs to comply with regulations in Europe, such as those related to carbon dioxide emissions, and the appreciation of the yen against the euro, which have had a negative impact on business results and made selling vehicles manufactured in Japan by Daihatsu no longer viable”. Pereira says the decision was taken to streamline operations and focus on specific areas of business.

Pereira says Imperial Daihatsu has signed a service and after-sales contract with Daihatsu in Japan, which will allow it to honour warranty, service and parts supply obligations in South Africa.

“Customers will be able to continue servic-ing at the same dealers where they serviced in the past.”

According to the Imperial Daihatsu website, the brand was on sale at around 50 dealers in South Africa.

Pereira does not want to divulge the number of Daihatsus on South African roads.

He says the staff at Daihatsu’s head office will move to other brands within Imperial, which is a multibrand importer.

“The staff at the dealerships will be absorbed into our multifranchise dealerships.”