TSAM president and CEO Andrew Kirby
Amid a global emphasis on green energy and the subsequent global energy transition, total sales of new energy vehicles (NEVs) in South Africa increased by 65% year-on-year in 2023, with hybrid vehicles making up most of these sales.
Toyota South Africa Motors (TSAM) witnessed a 22% year-on-year increase in the sale of NEVs.
“If we keep going in this trajectory, it’s going to be interesting to see what the next five years will look like,” TSAM president and CEO Andrew Kirby said at this year’s State of the Motor Industry event held in Kyalami, Gauteng, on January 25.
TSAM senior sales and marketing VP Leon Theron pointed out that 42% of the Lexus range consists of NEVs.
“We've done a lot in the last three years to really increase our footprint within the NEV space,” expressed Theron.
He noted that TSAM had sold about 142 000 vehicles in 2023, making this the second-highest volume since 2007 despite the market dip experienced in the second quarter of 2023.
Theron described last year as a “phenomenally successful year” for TSAM, noting that the company also achieved its highest market share of 26.8%.
Kirby said that a soft market was expected for the first half of this year, but that it was expected to normalise in the second half of the year. Hence, he forecasts that South Africa’s overall vehicle sales will reach about 540 000 units for the full year.
“Until we have that level of stability and momentum, we will always be in a flat environment, but growth is growth. Every year, January, we expect that things will bring prosperity and we are looking forward to that prosperity in 2024,” expressed TSAM financial services CEO Thabo Manaka.
Meanwhile, Kirby said an increasing shift towards technological innovations was driving significant changes for Toyota, including the integration of customised software into vehicle operating systems.
“Gone are the days where we think just about the electrical and mechanical aspects of our products and the value they bring. Software is going to become a very big [part] of how you experience mobility, not just getting from A to B.
“We also know that we need to play a strong role in helping customers in their carbon neutral journey, not just about the emissions from the vehicle itself. And we have aspirations to be very much part of that.”
Hence, Toyota is adopting a fourfold approach with regard to “shifting into the future”. This includes electrification, intelligence, diversification and ‘Monozukuri’ or the transforming of vehicle plant environments.
NEW MODELS
Toyota unveiled new and upcoming vehicle models to be released across its range of vehicles in 2024, which includes the Toyota and Hino brands.
The Land Cruiser 70 Series will be launched in February and includes an automatic transmission combined with a 2.8 GD-6 diesel engine, which Theron described as a “fantastic refined drive train”.
Toyota will also, in April, launch its Land Cruiser Prado, which includes an eight-speed automatic transmission. The Prado will have two models – the TX and VX-R – with only a limited number to be released into the market as it makes its first edition debut.
Meanwhile, the Toyota Hilux 48V will be released in March. This model includes a 48V mild hybrid electric package. This vehicle represents Toyota’s “first dip” in the new energy space on light commercial vehicles.
Additionally, the Hino 300 hybrid electric vehicle (HEV) will be launched in November to select key customers as a start. The Hino 300 HEV includes a four-litre Euro 6 common-rail turbo diesel engine.
Toyota plans to introduce its first fully electric vehicle, the Toyota bZ4X, in 2025.