15 000 SUBSCRIBERS www.autolive.co.za Issue No. 84 | 29 April 2016 MOTOR INDUSTRY EXPORTS EXCEL

Dr. Norman Lamprecht, Executive Manager of the South Africa National Association of Automobile Manufacturers of Automotive SA (NAAMSA) as well as Director of the Automotive Industry Export Council (AIEC) has provided AutoLive with a special preview of the information contained Export in his annual Automotive Export Manual publication, which he produces on behalf of the AIEC. Manual Th e Automotive Export Manual – 2016 – South Africa is an annual publication produced and compiled by the Automotive Industry Export Council (AIEC) – the recognised source of South African automotive trade data. Th e 2016 publication, as well as the previous nine publications since 2007, provides a comprehensive guide on the export and import performance of the South African automotive industry under the previ- 2016 ous Motor Industry Development Programme (MIDP) and current Automotive Production Development Programme (APDP). Th e aim of the manual is to identify and report on the major automotive export destinations, the major countries of origin, the main automotive export trade blocs, the most important automotive products being exported and imported, the top growth markets and products as well as the impact of the trade arrangements enjoyed by South Africa on automotive trade patterns. For 2015, total automotive industry exports in- creased by R35,8 billion or 30,9% to R151,5 billion from the R115,7 billion in 2014 and comprised a signifi cant 14,6% of South Africa’s total export earnings. Th is is the second time that the industry exceeded the R100 billion export level. A record of 333 802 right- as well as left -hand drive vehicles, along with a diverse range of automotive components, were exported to 140 coun- tries with the export value to 30 destinations more than doubling on a year-on-year basis. Th e UK with 101 704 vehicles, followed by the US, Australia and Japan were South Africa’s top destinations for light vehicle exports

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Editor and General Manager continued from previous page Russia, India and China, also feature Liana Reiners in the publication. [email protected] in 2015. Mercedes-Benz, with its new Lamprecht stated that the total 083 407 4600 C-Class model, was the pace-setter value of automotive exports in 1995 in terms of exported vehicles in amounted to meagre R4,2 billion Contributors 2015. Catalytic converters, the main compared to the R151,5 billion in purpose to reduce harmful emis- 2015, growing by a compounded Roger Houghton sions from vehicles, remained the annual rate of 19,6% between 1995 [email protected] most popular component exported to 2015. Th e automotive industry, as 082 371 9097 followed by engines and parts, tyres the largest manufacturing sector in and automotive tooling. the country’s economy, accounted for Stuart Johnston Th e domestic automotive 33,5% of manufacturing output and [email protected] industry’s top export markets in 7,5% to the country’s GDP in 2015. 083 450 9255 value terms were Germany with Although South Africa R35,0 billion followed by the USA Dr Norman Lamprecht. produced 64% of Africa’s vehicle Advertising Sales with R20,9 billion. Th e importance production in 2015, the indus- Liana Reiners of the trade arrangements that South there were 31 brands with 625 model try remains relatively small in a st [email protected] Africa enjoys with the European derivatives to choose from in 2015. global context and was ranked 21 in Union, allowing for duty free vehicle Imports of original equipment respect of global vehicle manu- 083 407 4600 and automotive component exports components, used to manufacture facturing with a market share of to the 28 countries in the region, the vehicles, amounted to R79,6 0,68%. Currency volatility, logistics Address the 15-country Southern African billion and originated mainly from costs and international economic 237 Rigel Avenue Development Community (SADC) Germany, Japan and Th ailand. developments are challenges the Waterkloof Ridge free trade area as well as the AGOA Capital intensive and complex com- industry has to confront on a daily Pretoria trade arrangement with the USA, ponents such as engines, gear boxes basis and which fall outside of the PO Box 914 005 enhanced exports to these countries. and electronic interiors components control of the automotive policy Th e import value of vehicle are mainly imported where the regime. Th e automotive indus- Wingate Park imports amounted to R61,6 billion in relatively low volumes at present try’s signifi cance is premised on 0153 2015 compared to the R101,9 billion do make the projects economi- its export earnings, investments, 012 460 4448 of vehicle exports. Although the cally viable in the domestic market. employment, contribution to the volume leader in respect of imports However, signifi cant value adding economy and multiplier eff ect. Th e Website was India with 91 588 units, the processes take place in South Africa vision under the Automotive pro- www.autolive.co.za value of Indian imports, however, where aft er the vehicles are subse- duction Development Programme was less than half of those imported quently manufactured on behalf of (APDP), implemented in January Facebook from Germany, which included the parent companies abroad and ex- 2013, is to double vehicle produc-

www.facebook.com/pages/AutoLive premium brands. Almost all of the ported to global markets. Exchange tion in the country to around one high-volume entry-level models rate weakness supported exports million units per annum by 2020 © 2015 WCM Media CC available in South Africa are manu- but placed signifi cant pressure on with an associated broadening and factured overseas, mainly in India. imported vehicles and imported deepening of the component basket Production Volkswagen’s Polo Vivo and General content during 2015. in the country as well. Th is will Marketing Support Services Motor’s Chevrolet Spark, which are ensure that South Africa’s market +27 (0)12 346 2168 manufactured in South Africa, are Signifi cant value adding share would increase to around [email protected] the two exceptions. Th e industry in processes take place 1% of global vehicle production, South Africa currently has one of the which would assist the industry in in South Africa. Disclaimer most competitive trading environ- being considered for ongoing and While reasonable precautions have ments in the world with no fewer expanding future investments in been taken to ensure the accuracy than 55 brands and 2 872 model Potential opportunities for the country. Lamprecht stated that of the advice and information given derivatives for consumers to select the domestic automotive industry close collaboration and alignment to readers, neither the editor, the from in 2015. Th is off ers car buyers relating to trade arrangements such between all industry stakeholders proprietors, nor the publishers the widest choice to market size ratio as the “Cape to Cairo” free trade are imperative to ensure that the can accept any responsibility for anywhere in the world. Similarly area, including 26 African countries, APDP’s 2020 vision realises. any damages or injury which may on the light commercial vehicle side as well as South Africa joining the Th e publication is available from arise therefrom. BRICS coalition along with Brazil, the NAAMSA offi ces. ■

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Economy and Political Upheavel Editor’s Note Hit New Vehicle Sales

BY ROGER HOUGHTON Exports of built-up units from SA in I came across an interesting March were 18.5% below the fi gure for the article on the Automobile same month last year, with much of this Association of SA’s website Th e continuing slide in the local economy, drop due to the fact that Toyota’s Hilux recently. It addresses an issue political upheaval and a weak Rand are export volumes were comparatively low I oft en wonder about, namely aff ecting business and consumer confi dence at 1 484 units. Th is is due to the fact that a breakdown of how the fuel adversely. All these factors had a nega- exports into African countries are still being price is set. tive impact on new vehicle sales in March. ramped up, while exports to Europe only At the beginning of April, Admittedly this was a month with Easter start in the second half of the year. the cost of a litre of fuel went holidays too, but few industry commenta- However, NAAMSA is confi dent that up by between 81 and 98 cents a litre, depending on the fuel tors would have expected a month-on- the exports will increase suffi ciently in you use. Th e 30 cents/litre increase to the Fuel Levy, announced month fall of 14% in the total with only the remainder of the year to reach a pro- by Finance Minister Pravin Gordhan during his budget speech 47 631 units retailed. jected new record total of 376 000 units in February, was also added. Dealer sales were strong at 84.4%, but for 2016. Th is additional 30 cents/litre moved the Fuel Levy – a tax by contrast government sales were weak Th is is what NAAMSA had to say about collected on every litre of fuel sold – from R2.55 to R2.85 a li- at only 3.3%. Sales to the rental companies the local market going forward: tre. Th e money collected through the Fuel Levy is administered held up at 8.7%, while the industry sold “Domestically – against the background by the National Treasury and is treated as a general tax, not – as 3.6% of total vehicle sales to their corporate of a diffi cult economic environment and many people assume – only for road-related expenses. fl eets. Th e latter fi gure was 1 715 units, with low GDP growth prospects, the likelihood In SA the fuel price is adjusted monthly based on a number Volkswagen responsible for the lion’s share of double digit new vehicle price increases of factors, mainly international petroleum prices, and the of this total, with 630 units sold to its own as a result of Rand weakness and possible Rand/US Dollar exchange rate. fl eet. Next highest volume was 260 units further interest rate hikes – the outlook Th e Basic Fuel Price (BFP) is calculated based on costs sold by BMW to itself. for 2016 in terms of new vehicle sales associated with shipping petroleum products to SA from the Th e Easter holidays obviously played a remained unfavourable. Mediterranean area, Arab Gulf, and Singapore. Th ese costs role in the lower sales and the comparison “Furthermore, the full impact of include insurance, storage, and wharfage, the cost to use with March 2015 is skewed because last year the drought on the economy was still to harbour facilities when off -loading petroleum products into the Easter period was in April. manifest itself. storage facilities. Car sales in March were 13.4% lower “Th e consumer demand-driven new car In April these totaled R5.26 per litre for 93 unleaded petrol than in the corresponding month last year, market was expected to remain under pres- (inland), and R5.21 for a litre of 93 unleaded at the coast. while LCV sales tumbled 14%, with the run sure declining by around 10% in volume Other costs associated with the fuel price include transport in of the new Hilux having an eff ect on this terms. New commercial vehicle sales could costs (from the harbour to other areas), customs and excise segment as the full model range is not yet perform slightly better on the back of some duties, the retail margins paid to fuel station owners and available for sale. improvement in fi xed investment in the secondary storage costs. Importantly, these other costs also Despite the run-out of Hilux and economy during 2016. include the Fuel Levy, and the Road Accident Fund (RAF) limited launch range, Toyota’s one-tonner “One source of encouragement emanat- Levy. Currently these other costs total R7.06 for inland users, was the top seller in the segment for the fi rst ed from a substantial improvement, for the and R6.73 for coastal users, per litre of 93 unleaded petrol. Of quarter of 2016, with 8 306 units sold com- second month in a row, in the Purchasing this, a revised fi gure of R2.85 is allocated to the Fuel Levy, and pared to 8 113 for arch-rival Ford Ranger. Managers’ Index which at 50.5 signalled a R1.54 to RAF Levy. Toyota is particularly proud of the fact that possible improvement in business activity While the Fuel Levy goes directly to the National Treasury, 2 000 of the 3 273 Hiluxes sold in March levels and manufacturing output over the the RAF Levy goes to the RAF and is used to care for victims were double cabs, which is the portion of the medium term. of car crashes. one-ton market where the Ranger has been “Th e Constitutional Court ruling Th is means that for every inland litre of petrol costing dominant recently. confi rming South Africa as a Constitutional R12.32, R4.39 (or 35%) is allocated to diff erent government lev- Th e biggest fall in sales in March was State and adherence to the rule of law could ies. For every litre of coastal petrol costing R11.94, close to 37% in the medium commercial vehicle market, assist in improving the economic and is allocated to the levies. where month-on-month sales declined by business climate over the longer term. Th e Hopefully you now have a better understanding of the true 31.3%, while heavy truck and bus sales were Rand had also responded positively to the costs of that litre of fuel. 14.8% lower. Constitutional Court decision.” ■

Liana Reiners, The consumer demand-driven new car market was expected to Editor [email protected] remain under pressure declining by around 10% in volume terms

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Swing to Digital Platforms by U.S. Motor Dealers Accelerating

One of the many exhibitors at the Expo Chris Goeschel, General Manager at The South African NADA tour group which took place alongside the NADA Team Ford in Las Vegas, explaining how visiting Team Ford Lincoln in Las Vegas. conference in Las Vegas. to extract the most from a sales force This is the largest Ford dealer in Nevada, to the group of South Africans on the averaging 750 new units per month. The Th e swing to using a variety of digital platforms NADA tour. dealership covers 10 hectare. and social media feeds by retail motor dealers in the United States is accelerating and this trend covering every possible topic related to the retail the dealership sales, parts and service managers. will undoubtedly speed up developments in these motor industry. Paxton says it is usually only possi- It was amazing how much each one knew of the spheres in the global automotive space. Th is was ble to attend about six or seven of these workshops other operations in the dealership which obviously one of the key learnings Mike Paxton, Senior during the six days, so one has to choose carefully results from cross training of those in key posi- Consultant at Sewells Group South Africa brought to ensure maximum benefi t. tions so they all know how the dealership’s various back from the 2016 U.S. National Automobile Another worthwhile programme that Paxton operations function. Dealer Association conference in Las Vegas earlier highlighted was the manner in which salespeople Some of the other learning points which came this month. should “mine” the workshop. Th ey should contact out of the visit were: Paxton, who has been with Sewells for more all those people whose cars is going out of service ■ Salespeople do not receive a basic salary, but than 30 years, has hosted numerous visits by SA plan or warranty, those with a high mileage and only earn commission. Th ey have to sort out motor dealers and related organisations to many of those costing a lot to maintain. In the US the their own car, pension and medical aid. these amazing NADA conferences over the years. salespeople encourages technicians to team up ■ Most dealerships are open seven days a He says that every year there are many important with them in this programme and the technicians week. lessons to be learned from those people involved are then paid a spotters’ commission. It was stated ■ 80% of sales come via the telephone, in the US retail motor business who are participat- that dealers using this strategy have increased sales e-mail or internet. Th is has resulted in a ing in one of the toughest automotive markets in by up to 24%. drastic decline in showroom traffi c, while the world. Th e inspirational address is always one of the many dealers are now putting their best “Like many of their compatriots in South highlights of the NADA conference. Th is year the salespeople in the call centre. Africa, the American dealers are very innovative speaker was Peyton Manning, a former National ■ Tyres are big business and one dealer and resourceful, particularly when trading condi- Football League quarter back who played for the confi rmed that tyre sales now account for tions get particularly tough, so there is plenty we Denver Broncos. As usual with these addresses 25% of total parts sales. can learn from them,” said Paxton, who took a there was plenty of food for thought in terms of ■ Paxton said it was interesting to note that group of 22 people to this year’s NADA event. motivation and inspiration. Th e importance of the both the dealers visited opened their website Sewells has been taking South Africans to motor industry to the US economy and the NADA home pages with their service departments, this annual NADA event for the past 19 years and conference as an event is evident from the fact that underlining the importance of income from Paxton says there are always other groups of South previous speakers at these addresses have been servicing in today’s retail motor business. Africans at the conference too. Other countries George W Bush and Hilary Clinton. that give the annual NADA conference regular Th is year’s group of South African who attend- “Th e feedback from those that went on this support are Australia, China, United Kingdom, ed the conference with Sewells Group included rep- 19th Sewells Group SA tour to the annual NADA Brazil and India. resentatives of the Unitrans Group, Mark White/ conference in the United States has been extremely Overall attendance at the conference was Scorer Group, AMH Group, Hatfi eld Holdings, positive,” said Olsen. “Th e visits to the Ford and in the region of 25 000 people and besides the Regent Group and participants in Sewells 2015 Chevrolet dealerships and the interaction with the conference there was a related exhibition with Advanced Management Training programme. dealer personnel were seen as highlights by many. 700 exhibitors. Th e Sewells SA group also visited two of the Th ey praised not only the conference aspects of the Th is year all the events took place at one venue, largest Ford and Chevrolet dealerships in Las tour, but also the overall package put together by the Las Vegas Convention Centre, with big halls Vegas and these visits proved enormously educa- Sewells Group SA and the effi cient and profes- and plenty of breakaway rooms. Th ere were 157 tional too. At one of the dealers the South Africans sional manner in which the group was hosted by diff erent workshops staged during the conference, were split into various groups and had as guides Mike Paxton.” ■ Subscribe for free @ www.autolive.co.za Page 5

Those Were the Days ... Car Prices in 1960!

BY ROGER HOUGHTON

I was recently given a reprint of the fi rst edition of the Mead & McGrouther (M&M) Auto Dealers’ Digest which was published in July 1960. Th e his- toric reprints were commissioned by Transunion and I was given a copy by Derik Scorer, the subject of my Industry Insider column on page 6 of this edition of AutoLive. Th is pocket-sized booklet soon became the backbone of the South African used car busi- ness. Mead & McGrouther was taken over by Transunion in 2012 and the used vehicle prices are now readily available on the internet. Initially the booklet was only available on sub- scription of “10 guineas” (R21) a year and was sold only to the trade, where it was jealously guarded by those fortunate to have a copy. In the terms of subscription it stated that the proprietor was entitled to arrive at a dealership and ask for all the previous booklets – excluding the current edition – to be returned to him so as to ensure circulation was tightly controlled by the subscribers! Hillman, Hudson, Humber, Lloyd, Metropolitan, Manufacturers (front cover at R80 per month!); When the booklet was launched the prices Morris, Nash, NSU, Oldsmobile, Packard, Norman F. Hall, Motor Engineers; Power Electric, were still in pounds, shillings and pence, but in Panhard, Plymouth, Pontiac, Rambler, Riley, makers of Bartleite batteries; Girling bonded brake less than a year (on February 14 1961) South Africa Rover, Saab, Simca, Singer, Standard, Studebaker, shoes and Hi-Ho Vulcanizing Works, tyre tyre switch to decimal currency where £1 (one pound) Sunbeam, Triumph, Wartburg, Willys, Wolseley retreaders. equated to R2 (two rand) or 10 shillings for R1. and Zwickau. Retail prices of cars varied by about Interestingly the fi rst editor of the Digest was R40 between the coast and the Reef due to certainly not an egotist as he did not even publish R2 350 for a Mercedes- transport costs. his name. He just signed off his editorial saying Benz 180 and R3 080 for a How about these unbelievable prices: R1 280 “Until next month, Th e Editor.” Th is was despite for a Volkswagen De Luxe Beetle with sunroof, Porsche 356B convertible! an impressive run down on his qualifi cations as a R2 320 for a Valiant automatic; R3 400 for a “motorman”, not a publisher. Chevrolet Impala V8 convertible; less than R3 000 Th e fi rst edition was pretty comprehensive. In fact, that is 38 makes of car, so here is the for an Alfa Romeo Giulietta Spyder; R1 100 for Th e major focus was on used cars and here the list of brands on sale in SA in 1960 and still on a Morris Mini-Minor; R2 400 for an MGA Twin publishers depended on input from dealers as the market somewhere in the world today: Alfa Cam; R1 250 for a Ford Anglia 105E; R2 350 for well as collecting prices from the smalls adver- Romeo, Aston Martin, Bentley, BMW (Isetta only a Mercedes-Benz 180 and R3 080 for a Porsche tisements in “all the national newspapers in the at that stage), Buick, Cadillac, Chevrolet, Chrysler, 356B convertible! ■ major centres.” Citroen, Datsun, Dodge, Fiat, Th ere were also new car prices, technical speci- Ford, Holden, Jaguar, Lancia, fi cations on new models – in this case the Chrysler Land Rover, MG, Morgan, Valiant and its rival the Ford Falcon. Th ere were Opel, Peugeot, Porsche, Technical Topics, reports on vehicle sales in the Renault, Rolls-Royce, Skoda, various centres, auction prices, a reconditioning Vauxhall, Volkswagen guide with prices for engine machining, replace- and Volvo. ment batteries and the retreading of tyres. Th ere Toyota had not even ar- were also sections listing distributors and franchise rived here yet! holders as well as second hand car dealers. Advertising was slim Th e choice of car models was extensive in in this fi rst issue although those days with a total of 66 brands listed. However it was pretty expensive at many models on sale then are no longer being about R40 a page. (Compare produced. Here we have Allard, Armstrong- this to only R60 for a Morris Siddeley, Austin, Berkeley, Borgward (now on Minor engine sub-assem- the comeback trail), De Soto, DKW (including bly!). Th e only advertis- Auto Union), Goggomobil, Goliath, GSM Dart, ers were: National Spring Subscribe for free @ www.autolive.co.za Page 6

Industry Insider

Passionate About Dealer Issues

BY ROGER HOUGHTON “We also have other important role players in the success of the retail motor business in South Africa. Th is is the support from the various fi nance Derik Scorer, the Dealer Principal of Arnold Chatz houses which have been the backbone of the indus- Cars and owner of several Nissan and Chrysler/ try for many years, both in terms of the provision Jeep Dealerships, still fi nds time to be a very active of fl oor plan and consumer fi nance for dealers. and enthusiastic member of various dealer organi- We owe a huge debt of gratitude to these organi- sations. He remains a great protagonist for these sations, which have also been very innovative in groupings as a professional link with the OEMs, developing schemes to deal with the ever changing importers and other industry players. trading environment.” Support for these bodies includes chairing the Derik Scorer is certainly a person who puts his National Automobile Dealers’ Association (NADA) money where his mouth is in terms of develop- for fi ve years, from 2009 – 2014. He is currently the ing dealerships and operating them to a very high NADA National Senior Vice Chairman. standard. He has had almost 40 years in the motor Scorer also takes a strong interest in similar business and remains as enthusiastic and goal- bodies globally, including NADA in the United driven as ever. When I called to interview him at States and the National Franchise Dealers’ Arnold Chatz Cars in Johannesburg he had just Derik Scorer, Dealer Principal of Arnold Association (NFDA) in the United Kingdom. returned from the Fiat Chrysler Automobiles top Chatz Cars and NADA National Senior In fact, he says he fi nds many similarities in performer trip to Zanzibar and had brought with Vice Chairman. the challenges faced by the NFDA in the UK him not only the Overall Dealer of the Year trophy, and NADA in SA and fi nds the motor retailing but also the Managing Director’s award. Arnold Chatz at his Renault, Alfa Romeo and business environment in the two countries to Fiat dealerships in Craighall. At that time Arnold be similar. “Relationships and integrity Chatz Cars was the premier Alfa dealer in South Scorer says he was fortunate to have been are the most important keys Africa consistently delivering as many as 120 Alfa involved in a period of major industry trans- Romeos a month. formation during his spell as NADA chairman. for success in business.” During this period Chatz expanded his dealer- Th ese changes included the introduction of the ships to include the Nissan franchise and Scorer Consumer Protection Act, which required educat- Scorer says he owes his success to the personal was involved in rejuvenating North West Nissan in ing dealers and helping establish an expanded relationships he and his team have built over many Krugersdorp, which went on to be Nissan Dealer of industry ombudsman organisation. years. “Relationships and integrity are the most the Year in 1992, 1993 and 1994. “However, I believe that small retail business important keys for success in business,” he adds. Th e businesses were then sold to Super Group in South Africa is heavily overregulated,” said Aft er completing his schooling in Durban in 1995 and Scorer worked for the new company, Scorer. “Many of these regulations are very much his fi rst job was with the Durban Municipality. holding the position of Chief Executive Offi cer of fi rst world suited while South Africa is still largely However, aft er six months he realised this was the automotive division from 1999 to 2006. He an emerging economy. Compliance and the corpo- not for him and joined the sales and marketing then decided to exit the corporate life and was rate structure required has come at a price, dealers department of Clover Dairies, working in the ice- fortunate to acquire Arnold Chatz Cars again as an having to employ additional people to handle these cream division. He rose to the position of regional independent operator. aspects of the business.” manager and was very bucked when he got a new Th is dealership has remained his major Chrysler Valiant as a company car. focus since then, although he has added a Nissan “I believe that small retail Scorer says a red letter day for him was when dealership in Fourways (Mark White Nissan) and business in South Africa is he was transferred to the old Transvaal in 1972. a Chrysler Jeep operation in Constantia Kloof. Fortuitously his fi rst day at work in his new post- He and his business partner Mark White are cur- heavily overregulated.” ing was March 1 and this was spent working at rently establishing a mega used car operation in the South African Grand Prix at Kyalami. It also Fourways and building a Nissan/Jeep dealership Despite a host of challenges over the years served to develop an interest in motor racing which in Hoedspruit. Scorer says the resilience and innovation shown by continues to this day. His son, Bradley, has followed his father into motor dealers in South Africa has been amazing. Th e next step in the story of Derik’s life saw the motor business and runs the Constantia Kloof “Th e country has produced hosts of people him take a three-year sabbatical in Europe and the operation while doubling up as a driver of the who have risen to the top, not only locally but also Middle East from 1975, working in many jobs from Mopar Alfa Romeo GT in local endurance racing. internationally,” explained Scorer. “I am in awe at tractor driver to tour guide. Th is period, he claims, Th ere is certainly no end to Derik Scorer’s what many of these people have achieved in a very taught him the value of travel and people . enthusiasm for his brands and the retail motor complex business. Many OEMs view working in On his return to South Africa in 1978 Scorer industry in general. He continues at the helm South Africa as excellent experience for promising joined Fiat SA as a regional manager. He stayed of his business supported by quality partners executives on the rise. there until 1981 when he went into retail by joining and staff . ■ Subscribe for free @ www.autolive.co.za Page 7

Vintage and Classic car show 31 JULY 2016 at

Book commercial and fleĂ market stands on www.pomccitp.co.za

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Snippets

VW Tops Sales Chart Th e winner was decided by a jury of 73 auto- Despite Emissionsgate motive journalists from 23 countries worldwide. Contenders were awarded points based on tailpipe Th e Volkswagen Group has topped the global vehi- emissions, fuel consumption, and use of a major cles sales chart for the fi rst quarter of 2016 despite advanced power plant technology (beyond engine the ongoing and costly negative eff ects resulting componentry), aimed specifi cally at increasing the from the “Emissionsgate” scandal. vehicle’s environmental responsibility. ■ Th e battle with the law enforcement agencies over falsifi ed emissions fi gures certainly does not seem to have aff ected the world’s appetite for the Naspers Gets Involved VW Group’s wide range of vehicles. But it has had with Electric Cars a devastating eff ect on the company’s fi nancial situation. SA’s Naspers media group, one of the richest was broken with a speed of 304.96 km/hr and Th e Volkswagen Group sold 2.5 million vehi- companies in Africa, is to get involved in a start-up 30 degrees angle using a specially-tuned MY16 cles in the fi rst quarter of 2016, which was 0.8% up electric vehicle company in China. Th e reason is Nissan GT-R. Masato Kawabata, the Japanese drift on the same period a year previously. Toyota’s sales that Naspers is a major shareholder in Chinese champion and title holder for the Japanese drift ing were down 2.3% to 2.46m while GM sales were internet company Tencent Holdings, which is one series, clinched the top spot from former record 2.5% lower at 2.36m. of the major backers, together with the Foxconn holder Jakub Przygoński of Poland. Toyota had its own problems in the fi rst quar- Technology Group, in a project to build electric Th e record was set during a special event that ter. First it lost a week’s production in February vehicles which benefi t from healthy government took place at Fujairah International Airport, UAE. aft er a huge fi re at a major component supplier, subsidies in China. Th e record-breaking Nissan GT-R was devel- which saw production for the month down 17%. Tencent is now Asia’s biggest internet company oped with the support and coordination of Nismo Th en came the recent earthquakes in Japan which while Foxconn makes iPhones, iPads and other specialists. It was tuned to 1380 HP in order to again impacted on suppliers and Toyota says it lost Apple products. set the record, and adapted so all the power went about 80 000 units from production during the Th e new company, Future Mobility Corp, has to the rear wheels. Th e GT-R was prepared by period the assembly plants idled. just hired three key managers from BMW’s i (elec- GReddy Trust and tested extensively at Japan’s Fuji Fortunately for Toyota, which has been the tric) sub-brand, that now join Carsten Breitfeld, Speedway facility with Kawabata at the wheel. global market leader for the past four years, the the former project manager for BMW’s i8 plug in Fujairah International Airport was strategi- damaging eff ects of the earthquakes and tsunamis sports car, who is Future Mobility’s CEO. ■ cally chosen for its 3km long airstrip which was in 2011 had forced them to set up multiple sup- deemed to be suffi ciently long enough for the chal- pliers of components to minimise downtime in lenge. From the outset, Nissan wanted to perform the case of another natural disaster. Th is proved a MBSA Celebrates 1 the drift at a speed of more than 300km/h and saviour now. Million Facebook Fans Kawabata, who leads in the Japanese drift ing series Meanwhile Volkswagen has just declared the for Team Tokyo, was chosen from a group of highly biggest annual loss in its history at €1.36bn net Mercedes-Benz South Africa became the fi rst au- specialised competition drivers. ■ and an operating loss of €4.1bn. Th e main reason tomotive brand in the country to reach one million was an increase to €16.2bn in the provisions to Facebook fans. pay for the diesel emissions scandal. Th is was the “We started our Facebook page in late 2011, New EC Auto Plant Volkswagen Group’s fi rst loss since 1993. ■ and soon realised that it was a crucial component Under Consideration in getting our message across to both existing and prospective customers,” said Selvin Govender, South Africa’s Industrial Development Toyota Mirai is Green Marketing Director: Mercedes-Benz Cars. “It was Corporation (IDC) recently signed a Joint Car of the Year therefore imperative that we continuously assessed Development Agreement with the Beijing and changed our approach to ensure that we pro- Automotive International Group (BAIC) in China, Toyota’s hydrogen fuel cell vehicle, the Mirai, was vided the most engaging and interesting content earmarking the Eastern Cape as the proposed loca- named 2016 World Green Car at the New York that our followers would appreciate and with which tion for a new automobile plant. International Auto Show earlier this month. they would want to engage. Th e agreement was fi rst mooted in 2015, when “Instead of using the traditional marketing BAIC indicated that it would consider establishing tactics and approach of pushing generic marketing an automobile plant in South Africa, should the tools, we undertook extensive market research on location meet its feasibility study criteria. Should new trends and product updates to fi nd the most the investment proceed, it will be the fi rst new original topics and formats that would appeal to light passenger-vehicle assembly plant to be built in our audiences,” added Govender. ■ SA in more than 40 years, with an initial capacity to produce about 50 000 cars, trucks and sports utility vehicles. ■ Nissan GT-R is fastest drifter Nissan has set the GUINNESS WORLD RECORDS title for the fastest ever drift . Th e record continued on next page Subscribe for free @ www.autolive.co.za Page 9

Snippets

continued from previous page to transformation in South African. Th e award level and the top three are subsequently entered aims to inspire and encourage other corporate into the international competition which is judged Land Sought for companies to support transformation. in Japan with Akio Toyoda, President and CEO Automotive City VWSA was honoured together with 14 other of Toyota Motor Corporation as the head of the leading South African companies for its work in judging jury. According to City of Tshwane mayor, Kgosientso business innovation and best practice. VWSA was Over the past four years, four South African Ramokgopa, the city will spend R188-million the only automotive company to receive this award children have been fi nalists in the international on land on which to build an Automotive City in 2016. ■ competition held in Japan. in Rosslyn. Th is year, over 6500 entries were received, all “Th e City is currently engaged in the process well designed, intricate and imaginative. Th e team of establishing the Tshwane Automotive City in Toyota Inspires of judges for the national competition included Rosslyn, which includes the purchasing of land par- Young Dreamers Toyota South Africa Motors creative team and the cels to the value of R188m,” said Ramokgopa. “Th is fi nal decision was made by Matthys Esterhuysen, development will take the form of a long-term part- Th e winners from the advertising agency Draft FCB. nership between the AIDC, the City’s economic de- of the Toyota Th e three winners are equally talented but all velopment agency, TEDA and the City of Tshwane Dream Car Art have very diff erent vehicles. Kirsten Nel won the and is aimed at establishing a second Automotive Contest were under 8 category with his “Super-duper-Safari- City within the African continent,” he said. announced trooper”, a car that acts as a home away from home Ramokgopa was speaking during his State recently. no matter where you are. It has a built-in swim- of the City Address at Freedom Park earlier this “Th is year ming pool especially for the hot summer days with month, where he told guests that the automotive we celebrate the superb off -road capability making it perfect for the industry was very important for the city as it ac- 10th year of this outdoors. counted for 12% of Tshwane’s economy. “Tshwane competition. Aashi Phatak won the 8–11 year old category accounted for approximately 41% of the automotive It has grown with her car named “Toyota’s Chariot Space car”. industry’s exports in 2010 and this has increased to from strength to Her car allows human kind to explore the un- 50% in 2014,” he said. ■ Nobuntu Lange, strength, proven known galaxies and learn more about the planets. Corporate & Government by both the num- Th e winner for the 12–15 year old category is Affairs–VW Group ber as well as the Kailey Erasmus. She designed a “Mobile Nanny” VWSA Awarded for SA with the Oliver quality of entries. which would transport children to and from Contribution to Empowerment Empowerment Award. Th is competition school and extra-mural activities when parents are and Transformation is popular with at work. Th e car would be self-driving with various the children of South Africa and is very dear to our capabilities to ensure the safety of the children. Volkswagen Group South Africa (VWSA) was hearts as it inspires the minds of children and al- For a full list of winners and to view their recently awarded the Legends of Empowerment & lows adults to see the world from a diff erent angle. artwork, visit www.Toyota.co.za. ■ Transformation award by Oliver Empowerment. Th e amount of talent we have seen through this Th is honorary award, which is given at the discre- competition is remarkable,” says Nicole Ruiters, tion of the Oliver Empowerment Awards Editorial Senior Manager Sponsorships and Promotions at Board, was presented to VWSA at the Oliver Toyota South Africa Motors. Empowerment Award gala dinner event held at the Th e contest is held annually, with Toyota Emperors Place in Kempton Park. affi liates around the world conducting a national Th e Legends of Empowerment and competition in three age categories namely: under Transformation Award honours companies and in- 8 years old, 8 to 11 years old and 12 to 15 years old. dividuals who have made a signifi cant contribution Th e top fi ve contestants win prizes on a national Kailey Erasmus 12–15 winner. Subscribe for free @ www.autolive.co.za Page 10

KPMG’S Detailed Research Indicates Tough Times Ahead Comprehensive Tables BY ROGER HOUGHTON It was interesting to see in the KPMG survey the forecasts from various sources for vehicle sales KPMG put together very comprehensive in SA in 2016. Th e general consensus is that the tables showing the factors affecting KPMG South Africa’s comprehensive media brief- fi gures will be lower than 2015, but the amount of the SA economy with special reference ing held in the company’s offi ces in Johannesburg decline varies. to the motor industry. The tables also recently provided in-depth information not only showed the challenges being faced by the on the international automotive scene. It also had KPMG predicts a fall of 10% various sectors of the industry. They are a strong South African focus, delivered by Gavin detailed below. Maile, the local Automotive Sector Leader. Th e in the total vehicle market SA Economy: ■ Appears as though the global facts and fi gures certainly provided plenty of food economy is over the worst, except for for thought as the local industry faces another WesBank is the most pessimistic with a some mature European economies, strong downturn in sales. forecast of a 12% decline in the total vehicle but this is a rollercoaster. market, while KPMG predicts a fall of 10% and ■ Sudden movements in value of SA The high tension political the Innovation Group a drop in the total market of rand have major ramifi cations environment and the volatility between 8%-10%. Th e Imperial Group sees a drop ■ Many commitments to create of between 5%-10%, while Econometrix forecasts employment or provide decent jobs of the rand are making things the same range for the drop in car sales only. but little action diffi cult for planners in the NAAMSA’s current forecast is for a total mar- ■ SA’s dependency on export markets overall business world. ket of 564 500 vehicles in 2016 compared to 617 749 and the challenge to grow them further ■ units in 2015, a drop of 8.5%. NAAMSA’s forecasts Infl ation risks increasing ■ Fuel price benefi t due to low cost of oil Th e vagaries of the economy of SA together for the various sectors are: 375 000 cars, 161 000 not being enjoyed by SA consumers with the high tension political environment and LCVs and 28 500 MCVs and heavy trucks and as compared to other parts of the the volatility of the rand are making things dif- buses. NAAMSA says it will review its forecasts world fi cult for planners in the overall business world. within the next two weeks. Th ose in the motor industry are also having to deal Hino SA is even more pessimistic about the Manufacturers (both OEM & Components): ■ with huge cost pressures which are resulting in outlook for trucks and buses and has decreased Potential strikes (labour, transport). Need timely communication to avoid ongoing retail price rises and thereby putting an its predicted total segment market for 2016 from repeat of previous strike damage to added dampener on new vehicle sales. 28 000 units to 25 000 units. ■ production and overall business. ■ Above-infl ation wage settlements have large impact on cost of production vs. productivity, promoting the use of automation and mechanisation. ■ Impact of insuffi cient capacity utilisation and low economies of scale ■ Supply Chain – risk management, fl exibility, relationships with vehicle manufacturers. ■ Increase in electricity tariffs and other costs (transport, ports) ■ Local content low and impacted by weak rand ■ Increase in vehicle prices

Infrastructure: ■ Reliability of rail and harbour infrastructure is essential to ensure effi cient just-in-time parts delivery ■ Road infrastructure – maintenance maintenance and tolling ■ Water quality and reuse ■ Electricity availability and cost Subscribe for free @ www.autolive.co.za Page 11

New Press Arrives at VWSA Plant

Volkswagen Group South Africa’s (VWSA) has invested R120 million in a new 21 000 kN (kilo Newton) Try-out Press to improve the manufacturing capability of its Uitenhage Plant and aft er travelling 13 140 km by ship from Spain, it arrived in the Uitenhage factory recently. Th e new press will be used to ensure that the tools are pressing the vehicle sheet metal parts according to the required quality standards prior to going into production. Th is ensures that the currently installed presses are used solely for production thus improving the productivity of the press plant. It will also be used in tool maintenance and implementing engineer- ing changes on the current series production press tools. “Th e press design and kinematics of this new press are compara- ble to that of the equivalent production draw press. It will therefore be able to accurately reproduce the line conditions and deliver the same quality of parts off -line,” said Th omas Schaefer VWSA Chairman and Managing Director. Once fully assembled, the new press will weigh approximately 600 tons and will deliver a maximum force of 2 100 tons, equivalent in weight to 306 male African elephants. “Our Uitenhage plant has one of the newest press plants in South Africa and in the Volkswagen Group. Th e Press Plant was commissioned in 2013 and is capable of producing close to 10 000 parts per day for the Polo, Cross Polo and local Polo Vivo models,” concluded Schaefer. Th e Try-Out Press is expected to be fully operational by mid-2016. ■ The 220 ton crown (top) of the new press. Peugeot Shifts Focus Online

Peugeot Citroën South Africa (PCSA) aims to Th e E-Sales centre will be staff ed by highly and then retailing these cars, besides continuing revolutionise the way people can buy cars in South trained personnel who will respond quickly to to benefi t from providing parts and servicing a Africa, by making the experience easier and more digital enquiries by telephoning the potential car parc of over 70 000 Peugeots and Citroëns in aff ordable to customers. Th e fi rst step in this pro- buyer. Th eir sole objective is to make life easier for South Africa. gramme was the introduction of the We Come To all existing and potential buyers and they will be “We believe that we have made huge strides You campaign in March and now the opening of able to provide a full service, including arranging to change the perception of Peugeot in the eyes of the E-Sales Centre has been announced. for test drives, fi nance and insurance. South African motorists by being competitive with “Taking this step forward, we have to look “While our dealer network remains an impor- pricing while staying in line with competitors. Our at new ways of doing business,” said Francis tant part of our future business in South Africa, greatest intention is to ensure that each and every Harnie, managing director of Peugeot Citroën the role that they play will change. While they will customer is placed exclusively in the middle of South Africa. “More and more people shop online, still make their own sales, we believe they will all interactions that he or she experiences with our and we need to realign our business operation benefi t from the additional leads and qualifi ed brand, thereby, creating an exclusive and delight- to be able to meet this demand. Our website gets customers obtained through our E-Sales Centre. ful customer experience,” concluded Harnie. ■ a substantial amount of traffi c, showing public Th ey will also be involved in taking trade-ins interest in our products. Survey statistics recently revealed that in this day and age, a customer physically visits only two deal- ers before making their buying decision, whereas in the past many more dealers were visited. “As a brand,” Harnie explained, “it is important for us to connect with our customers, and to get to know their needs, wants, aspirations and desires. Th e new E-Sales Centre will have a major focus on delighting our customer with a unique Customer Experience.” Subscribe for free @ www.autolive.co.za Page 12

Catastrophic Collapse of Exports into Africa

BY ROGER HOUGHTON its major export model, played a signifi cant role compared to 2 070 Nissans, 1 203 Fords and 455 in the low total, but what is worrying is the steady GM/Isuzu products. A year previously Toyota downward spiral in the number of vehicles being exported 6 887 units, Nissan 4 240 and Ford 1 931. Th e number of South African-built vehicles being exported into Africa over the past two years. Nigeria was the biggest importer of SA-built exported into Africa is collapsing at a catastrophic vehicles in the fi rst quarter despite having its own rate, which must impact on SA being seen as This underlines the current fl edgling manufacturing programme. It took 1 911 a regional manufacturing source to serve the parlous state of the economies units compared to 1 912 units a year previously. African continent. Other countries in the top 10 markets for the fi rst of many African countries Exports into Africa in the fi rst three months of quarter of 2016 were: Ghana, 989; Zimbabwe, 493; 2016 totalled only 7 157 units, which was just over Madagascar, 489 (including 440 Nissan vehicles); half the 14 272 units shipped in the fi rst quarter Algeria is the country showing the biggest Angola, 452; Algeria, 373; Mauritius, 318; Ethiopia, of 2015. Th is underlines the current parlous state drop, going from taking 4 777 SA-built vehicles in 277; Zambia, 267 and Tanzania, 263. of the economies of many African countries, the fi rst quarter of 2015 to importing only 372 in Total exports into Africa in March totalled especially those that were dependant on oil in the the fi rst three months of this year. 1 744 units, compared to 6 338 units in March good times. Notwithstanding the Hilux full model change 2015. Nissan was top of the pile with 641 exports, Admittedly the fact that Toyota is in the pro- Toyota was still the market leader aft er the fi rst compared to 435 for Toyota, 234 for Ford and 151 cess of accelerating the build of its all-new Hilux, quarter with shipments totalling 2 797 units for GM/Isuzu. ■

Continental Grows into Africa

Continental Tire is embarking on a growth strategy in Sub-Saharan Africa with the offi cial launch of a new legal entity today in Ghana. Th e new division, Continental Tire West Africa, focuses the company’s eff orts on developing the local market and maximising its exposure across the region. “Th e launch of the new West Africa legal entity is driven by our African Dawn initiative, which recognises the growing economic importance of African on a global scale,” said Shaun Uys, Managing Director of Continental Tire Sub- Saharan Africa. “As one of the world’s top three tyre manufac- turers, Continental has an important role to play in developing the industry across the continent by expanding our footprint, increasing the range well as a network of independent dealers across “Additionally, we will be working with new of products and delivering improved customer the country. partners to develop our ContiPartner Express service and support. “Following the successful model that is used in stores in fuel stations and other environments. Th is “Th e new division will enable us to achieve this the South African market, the new legal entity will includes supporting resellers and street market by expanding our distribution channels and the enable us to involve existing and new partners to dealers who have the potential to grow into formal number of retail outlets, targeting new business further expand our reach across the region, thus ac- retail outlets.” opportunities in the fl eet, rental, government, cessing a far broader market with top-quality prod- Th e German tyre company will also sup- ports and mining sectors, and having a dedi- ucts and fi tment services,” said Johann Liebenberg, port independent branded dealers with their cated team based in Ghana to drive this process,” Continental’s General Sales Manager for Passenger Continental Associate Program (CAP) stores, Uys explained. & Light Truck Tyres Replacement SSA. which are supplied with certain signage elements Continental Tire has an existing presence “Th e footprint growth relies on expanding and preferential pricing in exchange for tyre in Ghana, through a long-term partnership the ContiPartner network and investing in the purchases from its offi cial distribution channel – a with Rainbow Motors. Th e local company has a growth of this retail channel across the region,” process that ensures optimal product quality and warehouse and ContiPartner dealer in Accra, as Liebenberg stated. effi ciency of all related services. ■ Subscribe for free @ www.autolive.co.za Page 13

Dealer Training Kicks into High Gear

Managing a retail motor dealership nowadays is the skills of a host of talented young people a very tough challenge for any businessman as it in local and international retail motor involves a combination of distinct lines of business dealerships as well its many benefi ts in such as vehicle sales, parts sales, service, fi nance speeding up staff transformation in South and human resources. It is growing in complexity Africa. in terms of the product technology involved as well Th e Sewells Group’s ADM is proving as the need for transformation in the staff comple- particularly eff ective in developing retail ment, while customers have ever higher expecta- motor industry executives from previously tions of their vehicles and dealership service. disadvantaged groups. Several of the OEMs Fortunately for South African dealer networks and dealer groups are having special ADM there is a tried and tested Advanced Dealer programmes tailored to their transfor- Management (ADM) training program developed mation needs. One of these companies by the Sewells Group which continues to produce is Volkswagen which held a graduation Happy smiles from the Sewells’ 2015 well qualifi ed senior management and is proving ceremony for its Optima Group of dealer- Advanced Dealer Management group at their very successful as a transformation tool. ships recently. graduation ceremony. Sewells, which has been operating in the retail At this event Sibabalwe Mlungwana, of motor business space in South Africa since the Lindsay Saker, received a special award for compil- professional operators, academics and consultants. early 1980’s, has built up an enviable track record ing the most outstanding business plan out of a It is a window into international Best Practices.” over the years. Sewells has also built strong rela- group of 15 delegates from the VW Optima Group, Mike Paxton, a senior consultant with Sewells tionships with virtually all the vehicle manufactur- while Martin Taverner, of the Tavcor Group, came Group SA oversees the programme to ensure that ers, importers and major dealer groups and works out top for his business plan in the Open Group. each delegate gets individual attention and the closely with these companies in tailoring training “Although the ADM programme dates back to necessary coaching to ensure success programmes to meet their varied needs. 2007, we continue to adapt it to cater for the latest Th e programme is aimed at those people Th e ADM programme is one of these success- trends and developments in the local retail motor identifi ed as future General Managers/Dealer ful developments. It was added to the wide range industry,” explained Warren Olsen, the CEO of Principals as well as current Dealer Principal’s of training programmes off ered by Sewells Group Sewells Group SA. “We now have a much broader wishing to further develop their skills and knowl- SA in 2007. view with the ADM. A focal point nowadays is edge. Each ADM intake consists of approximately Initially the year-long programme was aimed assisting in the transformation process. 12 delegates. Sometimes there is more than one mainly at second or third generations of motor “Th is is a high-level, intensive ‘Dealer intake in a year, depending on demand. dealer families who chose to make a career in the Principal Apprenticeship’ Program where del- Th e ADM programme consists of 150 contact family business. Th e course continues to attract egates can learn from the successes and lessons hours of focused management instruction made members of dealer families. It is also proving a from some of the world’s most experienced and up of approximately fi ve modules of four days. Th e boon to accelerating the progress and improving various modules take place every two months over a 12 month period. Th e lecture room sessions are interspersed with business visits, case studies and assignments. At the end of the programme each delegate has to present a proposed, sustainable business plan for his or her dealership and is judged on this pres- entation in addition to the assignments completed during the course of the year. Special coaching is provided to those who fi nd diffi culty reaching the required high standards. “Almost 50 diff erent companies or organisa- tions have participated in our ADM programmes over the years, including a signifi cant number from sub-Saharan African countries, which serves to underline the ongoing high standing of our off er- ing,” said Olsen. “We are also very proud of the achievements of our delegates once they return to their dealerships and many have risen to be top-ranking general Sibabalwe Mlungwana, of Lindsay Saker, Martin Taverner, of the Tavcor Group, managers and dealer principals in some of the won a special award for his outstanding came out top for his business most successful dealerships in Southern Africa.” business plan in the Volkswagen plan in the Open Group section Th e next intake is scheduled for August 2016 Optima Group’s Advanced Dealer of the 2015 Advanced Dealer and Sewells’ management is expecting a full com- Management programme. Management programme. plement to register again. ■ Subscribe for free @ www.autolive.co.za Page 14

Standalone M Showroom for Pretoria

BMW Group South Africa recently unveiled the second biggest standalone BMW M showroom in the world in Pretoria, the capital city of South Africa. Th e opening of BMW M at Zambesi follows the BMW Group’s announcement of Strategy NUMBER ONE > NEXT, which sets out the framework for the world’s leading provider of premium products and services for individual mobility to shape the automobile sector in the next 100 years. In 2015, full-year sales of BMW M vehicles worldwide were up nearly 65 per cent, totalling around 35 000 units. And sales of the ever-growing range of BMW M Performance vehicles grew over 16 per cent to total around 28 000 units. “South Africa is one of the top performers in the world in terms of BMW M market share and sales. For example, in 2015 BMW South Africa was ranked fi ft h in the world in terms of overall BMW M market share. A total of 916 BMW M units were From left: Mr Tim Abbott, Managing Director of BMW Group South Africa, Mr Rob delivered to local customers while 1 049 BMW M Sexton, Managing Director of Legacy Auto Group, Dr Ian Robertson, Member of the Performance units were also delivered to custom- Management Board of BMW AG, Sales and Marketing BWM and Sales Channels BMW ers. Th is is an increase of more than 40% compared Group and Mr Christo Lindeque, Dealer Principal of Zambesi Auto M. to 2014. It is therefore very clear that South Africans are big fans of our BMW M vehicles,” proved by the sales volumes generated. Irrespective “We want to be the ultimate destination said Mr Tim Abbott, Managing Director of BMW of the diffi cult economic times we are facing, we for the M brand. Our passion and belief in the Group South Africa. believe that this particular segment will con- BMW brand is expressed through this unique ‘M’ “Zambesi Auto has always been a pioneering tinue to grow,” said Christo Lindeque, the Dealer showroom and going forward we want to ensure dealership in terms of the ‘M’ brand within the Principal of the new showroom and two other that we maintain and develop the excitement southern hemisphere. Our initial independent ‘M’ dealerships, Zambesi Auto (BMW) as well as in what we believe is a very unique experience,” outlet has been hugely successful. Th is has been Legends at Zambesi (MINI). he concluded. ■

AIDC Hosts Deputy Minister of Higher Education at Winterveld Enterprise Hub

Th e Automotive Industry Development Centre on fi nding ways to unblock skills shortages. “In the Province and relevant SETAs to expand (AIDC) , in partnership with the South African order for us to recover as a country, we need to our capacity to produce artisans with relevant Council for Graduate Cooperative (SACGC), change systems. To strengthen industrialisation we productive skills, responsive to requirements of recently hosted the Deputy Minister of Higher must learn from countries like Germany and Korea a future inclusive economy. We must encour- Education & Training (DHET), Honourable and focus on quality of training and develop pro- age and improve the quality of basic education Mduduzi Manana at the Winterveld Enterprise grammes especially in the artisanal space. Creating and stay focussed on improvement of maths and Hub in Gauteng. a proper pipeline of talent management systems is science, encouraging industry to turn every work Th e event endorsed the partnership between vitally important,” he said. place into a training space,” the Deputy Minister AIDC, SACGC, TETA and UIF to develop and commented. establish automotive hubs through a co-operative “We must encourage and improve Th e AIDC has confi rmed that it intends to model that will allow graduates to apply their the quality of basic education and host an open week of the Gauteng Automotive knowledge through the Township hubs. Th is Learning Centre in 2016 with the aim of creating stay focussed on improvement is in line with the Township Revitalisation, awareness among the public, stakeholders and Modernisation and Industrialisation Programme. of maths and science.” matriculants who anticipate to further their Th e Deputy Minister’s visit coincided with the studies in the automotive sector. No date has yet second Human Resource Development Council “We therefore urge the AIDC to build been confi rmed. ■ Summit held at Gallagher Estate, which focussed partnerships with Public TVET Colleges in Subscribe for free @ www.autolive.co.za Page 15

We Drive

HHotot LapsLaps inin a RealReal BBMWMW BoyBoy Racer-MobileRacer-Mobile

BMW M2 is a serious track weapon.

BY STUART JOHNSTON Th e car is fast too, and it was really impressive Brakes are 380 mm cast iron vented items at to learn that it was using precious few brake pads the front using four-pot callipers, and 370 mm while subject to many days of lappery while driven discs at the rear with two-pot callipers. Th e launch of the BMW M2 at the Franschhoek to the limit and beyond. It weighs around 1 500 kg, Spengler was also employing the special Motor Museum race track was unusual, in that so it is not by any means a lightweight. electronic Limited Slip Diff to great eff ect during BMW only had one example of the car on off er to Spengler was driving as if he was on a hot his power slides, and I believe it was largely this cater for a couple of dozen of journalists. qualifying lap, straight lining many of the diff that imparted such serious levels of grip on the Th us the plan was to let us wannabee racers S-bend corners and showering the track with exits of corners. ride shotgun with Bruno Spengler, BMW’s DTM gravel, and throwing the M2 into impossible an- I drove the car myself and was impressed with champion, who was shipped out especially for gles of drift with the traction control completely turn-in, and the accuracy with which the car could the launch. switched off . Ultimately on our second lap he be set up for the corners. Power is impressive with- Th is is actually a great way to discover a car’s lost the rear end, and the way he gathered up the out being earth shaking at 272 kW and 465 Nm of ultimate handling limits. Driving on a race track spinning car was almost as impressive as any of torque, with 500 Nm on demand using a special you are usually so focussed on trying to fi nd the his other antics. “over-boost” function. right lines, braking and acceleration points and Th e gearbox as standard is a six-speed cutting your lap time – yeah, okay, ego is at play It makes a glorious sound from its manual driving the rear wheels, while a seven- – that you oft en cannot remember all that much straight-six multivalve turbo motor, speed Dual Clutch Transmission unit is available about the car you are supposed to be testing. at extra cost. far better than any turbo four. In the case of a few laps with Bruno on a raw For me this car is the real deal in this track with minimal run-off – the venue is one of entry level league. It makes a glorious sound the few real private race tracks in the country – it Th e M2 is BMW’s new “entry” M car. It uses from its straight-six multivalve turbo motor, was possible to focus entirely on all the forces at a pumped up version of BMW’s 3,0-litre straight far better than any turbo four. In other words, play in this remarkable motorcar, because having six, employing a bigger twin-scroll turbo rather in real-world charisma it outguns its most faith in Mr Spengler’s driving prowess was a cinch than two separate turbos as used on the M4. likely rival in this league, the Mercedes-AMG as soon as he had left the pit are with his foot bur- Other special bits such as the pistons and the A45, feeling and sounding much more alive, ied in the loud pedal! crankshaft are M-developed for this car, which more communicative. Th e most abiding impression I have of the M2 looks great with its puff ed out wheel arches, Pricing is R800 006 for the manual and is the amazing grip it enjoys. It turns in like a race deep-throat nose section with gaping ducts, and R848 410 for the seven-speed DCT. Th e reason for car, but more than anything else it puts its power ultra-cool smoked grey wheels, wider ones on the the odd numbers is the CO2 tax, which is included down like few other road cars I have experienced back than on the front. Sizings for these are 9J by in these fi gures. Oh, for the record, it will acceler- at these sorts of limits. And as we were early in the 19 at the front, 10J by 19 at the rear and the rubber ate to 100 km/h in 4,5 seconds, so in the numbers journalistic “queue”, the tyres were still fresh. As is Michelin Pilot Super Sport, specially developed game it is right there with the AMG A 45! Top were the amazing brakes. for this car. speed is limited to 250 km/h. ■ Subscribe for free @ www.autolive.co.za Page 16

We Drive

Merc’s New C-Class Coupé Cuts a Suave Line

BY STUART JOHNSTON Th e model line up here consist of two petrol room is usable even for long journeys and lug- variants and a diesel. Th e C200 comes with a gage capacity for a sporty-orientated device s manual transmission or a 7G-TRONIC automatic, reasonable at 400 litres. Th is is one seriously Th e Mercedes-Benz C-Class is one of the most the C220 d comes with a six-speed manual or a good-looking car and it is nice to know that it well-rounded cars in its category, mixing an overall 9G-TRONIC automatic, and the C300, the top of is in fact a useable device for every day motor- aura of maturity with a degree of sportiness in the the range model comes only in automatic form, ing, even in a family context. Inside there is an best modern Mercedes tradition. Now the accent using a 7G-TRONIC PLUS gearbox. equipment level befi tting of a modern top-line has moved more towards the sportier end of the Mercedes product. spectrum with the launch last week of the C-Class In South Africa, our cars As for driving the car, it has excellent road Coupé, or “coop” as some pundits like to call it, have been given the lowered manners in terms of good grip and accuracy of given that they’ve watched a serious amount of steering, but I do feel that the ride has suff ered suspension treatment. American-orientated motoring TV shows. by the decision to fi t the lower suspension here. Th e shape of the C-Class Coupé is undoubted- We tried the car in the Eastern Cape which has ly C-Class, but with an elegance that is very remi- Th e four-cylinder petrol engines displace two generally good road surfaces and there was a jiggly niscent of the recently-launched S-Class Coupé. litres, with the 200 rated at 135 kW while the 300 quality to the ride that is defi nitely not present on Th is means that it has a longer nose, a snug-looking has 180 kW. It’s the fastest of the bunch, with a the C-Class sedan. Th ere also seemed to be more cabin section emphasised by a high waste line, and 6,0-second 0-100 km/h time. A reason for opting road noise on the Coupe than I remember on a sleek, restyled rear end. Hmmmm…. Tasty! for the diesel is that it is the only model in the the sedan. Overall the car is some 37 mm lower than range to get the excellent 9G-TRONIC automatic But in this league of car, style takes priority the sedan model, and in South Africa this fi gure gearbox, which is smoothness personifi ed and has and , yes, the car does look sportier with the wheels may even be more, as our cars have been given seamless up-and-down shift s, and excellent throt- closer to the wheel arches! the lowered suspension treatment, the ride-height tle response as it “intuitively” selects the right ratio Prices are (excluding CO2 tax) R551 000 for the thus dropping by 15 mm. Standard wheels are in for the occasion. C200, R592 700 for the C220 d (which is exempt

17-inch diameter but optional are larger 18-inch Access to the rear seats is reasonable given from CO2 tax) and R660 300 for the top-of-the- variants for an even sportier look. the cabin’s two-door entry, rear passenger range C300. ■

The new Mercedes-Benz C-Class Coupe. One tasty-looking motorcar. Subscribe for free @ www.autolive.co.za Page 17

We Drive

Honda Aims H-RV Newcomer at Booming Segment

BY ROGER HOUGHTON generation HR-V was old in certain Asia Pacifi c driving along some twisty gravel roads through markets between 1996 and 2006. Now comes the the forests where it was tragic to see the ravages of second generation, based on the platform of the recent veld fi res. Honda, the innovative, high quality vehicle manu- popular Jazz. It was launched locally last year. facturer from Japan, is aiming to lift its profi le I had my fi rst encounter with this versatile Roadholding was confi dence further in the booming passenger car segment for new Honda in Cape Town recently. Th e road test inspiring and the paddle SUVs and urban cross-overs with its latest HR-V. car was the 1.5 Comfort model which is fi tted downshifts of the CVT Honda already enjoys amazing global success with a 1.5-litre petrol engine mated to a CVT with its CR-V compact SUV which is not only the transmission. Th e latter has a novel control logic proved a boon when going top-selling SUV in the world, but was eighth on the feature which makes if feel like a manual gearbox down mountain passes. list of top-selling vehicles in the world in 2016 with with paddleshift . sales of 696 594 units. One of the main reasons for the visit to Cape Roadholding was confi dence inspiring and the However, the company was not currently Town was to attend a wedding held at a venue near paddle downshift s of the CVT proved a boon when represented in the sub-compact SUV/cross-over Grabouw. We stayed at a B&B nearby so had plenty going down mountain passes. Ride comfort was market, so the HR-V name was resurrected to do of opportunities to enjoy some lovely driving roads commendable too. this job and it proved an instant success. Th e fi rst as well as the spectacular scenery. Th is included However, versatility is the name of the game in these cross-overs and here the HR-V proved a spacious people mover with adequate luggage space too. We did not make use of the HR-V’s Magic Seats versatility, but this is an attractive feature for potential buyers as it makes it possible to accommodate a variety of diff erent-shaped loads. Th e latest HR-V is a big step forward from its fi rst generation predecessor in that it is very stylish, with a coupé-like appearance instead of the previous box-like looks of the 1996 model. Unfortunately quality like this does not come cheaply and with the cur- rent weak rand the price of the HR-V Comfort 1.5 has risen to R320 900. However, Hondas are known for their durabil- ity and longevity which has built them a huge number of fans and loyal owners, so that makes this new model a good investment. Already, more than 1 200 of these HR-Vs have been sold in SA, indicting The Honda HR-V traversing forest roads near Grabouw where the burned trees attest to the effects of the veld its appeal in a tough sector fi res which ravaged the area earlier this year. of the market. ■ Subscribe for free @ www.autolive.co.za Page 18

Corporate Social Responsibility

Land Rover Continues Fight Against Malaria

Malaria is one of the leading causes of death in sub-Saharan Africa, but this is something that Land Rover and the Kingsley Holgate Foundation are set on changing. With intrepid explorer and humanitarian hero Kingsley Holgate heading the charge, and with Land Rover powering his progress, more than 100 000 lives have been saved over the past two years. More than 3.3 billion people in 106 countries across the world are at risk of contracting malaria, spread through the bite of female Anopheles mosquitos. In 2015, an estimated 438 000 lives were claimed by the disease. Of these, nine out of each ten deaths were in Africa, with children under fi ve years being the highest at risk. However, since 2000 the incidence of malaria fell 37%, globally, according to the World Health Organisation. In Africa alone incidence rates have fallen 42% over the last 15 years, while malaria mortality has plummeted 66% in the region. Simple tools like treated mosquito nets; eff ective medicines and safe indoor spraying have been eff ective at saving lives. Land Rover South Africa and sub-Sahara Africa together with the Kingsley Holgate Foundation play a role in this battle against the disease. Th e Foundation uses Land Rover vehicles in their humanitarian expeditions into Africa, stopping in remote villages to spread education about malaria and hand out treated anti-malaria nets to protect families from mosquitoes.

In Africa alone incidence rates have fallen 42% over the last 15 years

“We’re extremely proud to have played a role in this story. It’s an honour to be able to say we have helped protect more than 100 000 people from malaria,” said Richard Gouverneur, Managing Director of Jaguar Land Rover South Africa and sub-Sahara Africa. “Kingsley has done an excellent job of using our Land Rover vehicles to access the remotest parts of Africa, allowing him to educate people on combating malaria. And by supplying the treated nets, he’s also given them hope and means to help improve their quality of life.” Over the past two years Holgate’s convoy of Land Rovers have distributed mosquito nets to 11 countries in Africa, learning as well as spreading informa- tion about malaria prevention practices. Data gathered during the expeditions include community details, GPS coordinates, names of community leaders, the number of nets distributed, and details of malaria risk. Also recorded are locations of the closest clinics or hospitals, to ensure sustainability and assist with follow-ups. Since 2014, Holgate has distributed 33 955 nets, manufactured by Vestergaard, in communities across 11 countries in sub-Sahara Africa. On average, three people can use one net at night, which means more than 100 000 individuals have benefi ted from malaria protection. Th ese long-lasting insecticide-treated nets (LLITN) are designed to cover beds, physically protecting people from mosquito bites. Th e treatment applied to the nets repel, disable or kill the malaria-carrying Anopheles mosquito. LLITNs are designed to be eff ective without re-treatment for the life of the net – obviously of greater benefi t in rural communities. Th is contrasts with conven- tional insecticide-treated mosquito nets, which need to be re-treated regularly. “It is a tragedy that communities are robbed of their young children because of something as simple as a mosquito bite,” said Holgate. “Th anks to Land Rover, we’ve been able to provide a basic, eff ective preventative measure to 100 000 people in just two years. And we won’t stop here – our work will continue into the future.” ■ Subscribe for free @ www.autolive.co.za Page 19

Corporate Social Responsibility

Young Shark Gets His Wheels

Mzamo Majola, one of the newest a professional sports career. “We are members of Th e Sharks rugby team incredibly proud of Mzamo’s rugby drove off in a Chevrolet Cruze courtesy achievements, especially his contract of G.U.D. Holdings on 7 April 2016. Th e with Th e Sharks. We believe in his talent rugby loose head prop made his debut and wanted to support him even further last year at the Shark Tank in a Currie with a vehicle sponsorship.” Cup match against the Blue Bulls and Th e young Sharks player was thrilled is a former Sharks Academy student about his new set of wheels and expressed who received a G.U.D. Holdings sports his gratitude to his sponsor, “It is a bursary in 2013. privilege to be recognized by a renowned Th e local automotive components company like G.U.D. Holdings that be- manufacturer is the largest player lieves in me and my sporting aspirations. sponsor of the sports institute and has Getting to Th e Sharks training sessions invested millions in the development and matches will be breeze now thanks to Mzamo Majola of The Sharks rugby team receives a of talented students who are pursuing my vehicle sponsorship.” ■ Chevrolet Cruze courtesy of G.U.D. Holdings.

Ranger Support for World Vision SA

Ford Motor Company of Southern Africa Additionally, the mobile clinics focus on nutri- screen to support a wide range of education and (FMCSA) is collaborating with World Vision South tion for children under the age of two, provide vac- awareness campaigns for child healthcare and Africa to improve access to quality healthcare in cinations, administer Vitamin A and deworming protection, as well as gender-based violence. Th is the Eastern Cape by donating two Ford Rangers to supplements, and monitor the children’s overall helps stimulate community conversations and the its Better World initiative. growth and development. In partnership with the formulation of action plans around these impor- Th e two vehicles, which have been specially Department of Health, community information tant social issues. modifi ed as mobile clinics, will support two area is tracked in order to monitor medical and child “All of these initiatives are designed to achieve development programmes (ADPs) in the province protection services. our vision of a better, healthier and more prosper- in order to provide health education, access to RMAA South Africa also equipped the ous world for our communities and, specifi cally, medication and support child nutrition for ap- vehicles with presentation equipment a including our children,” concluded Barnard. ■ proximately 20 000 children and 10 000 adults battery powered projector, computer and portable within its fi rst year. “Th ere is a desperate need for basic healthcare and education in the Eastern Cape, particularly in the impoverished and remote rural areas,” said Paula Barnard, National Director of World Vision South Africa. “Th ese two Ford Rangers will enable us to better serve the health needs of communities within the province as part of Better World South Africa, a project run by World Vision SA. One of the Rangers will be deployed for the Mbashe ADP, based in Idutywa within the Amathole District near East London. Th e second vehicle will serve the Umzimvubu ADP based in Matatiele, which covers the Alfred Nzo District. Having been converted into mobile clinics by RMAA South Africa (a certifi ed QVM operating on FMCSA site) through the installation of a bat- tery powered refrigerator, the Rangers will be used to access hard-to-reach areas in order to provide essential health services and dispense chronic medication for conditions such as hypertension, Ensly Dooms from Ford South Africa and Paula Barnard from World Vision SA at the diabetes and asthma. offi cial handover of the Ford Rangers in Soweto, Johannesburg. Subscribe for free @ www.autolive.co.za Page 20

Corporate Social Responsibility

Mitsubishi Supports Wheel Well

Mitsubishi Motors South Africa (MMSA) has reaf- unnatural deaths in children in our country,” MMSA has announced that it will incorpo- fi rmed its commitment to road safety by adding its explained Peggie Mars, the driving force behind rate a child-safety curriculum into the training of support to Wheel Well, an organisation committed Wheel Well. “Th is is exacerbated by the fact that their staff to ensure that this important message is to in-vehicle safety for children of all ages. South Africa’s road death rate is double that of the shared with customers. “Safety is one of the biggest considerations world average.” In addition it has donated R25,000 to Wheel when families shop for a vehicle,” said Braam Faul, “Any child under 1.5 metres tall should be Well to promote child safety and has announced National Marketing Manager of MMSA. “And al- strapped into an appropriate child- or booster seat. that their dealerships will assist Wheel Well’s ac- though we emphasise the importance and benefi ts As long as children cannot sit with their backs tive drive to collect, clean and refurbish child seats of our vehicles’ safety features, more emphasis will against the seatback and their legs comfortably that are then donated to needy families. be placed on child safety in the future.” over the seat cushion, a normal seatbelt will not Any donations of used car seats in any condi- Research shows that less than 10% of all function as designed and could actually hamper tion are welcomed. children in South Africa are properly restrained in the child’s safety,” Mars said. More information on donations and collection child seats. “Th at is why we are campaigning for the leg- points are available at www.wheelwell.co.za. ■ “Th is is a shocking statistic if you consider islation of compulsory child restraints in vehicles that vehicle crashes are the leading cause of until a child has grown to a height of 1.5 metres.”

VW’s Aid to DICT Continues

In 2016, the Dyer Island Conservation Trust Chairman and Managing Director at Volkswagen Volkswagen who shares similar philosophy of the (DICT) is celebrating ten years of dedicated ef- Group South Africa. importance of conserving our environment for fort in conserving the marine ecosystem of Dyer “Our partnership with DICT is part of our the future generations. Th e lack of funding is one Island in Gansbaai. Th e 20ha island, which is Th ink Blue initiative which focuses on environ- of the many challenges that impede non-profi t managed by CapeNature and the surrounding mental sustainability. Th rough Th ink Blue, we organisations. Th e support from Volkswagen with ocean, is home to the Marine Big 5 – African endeavour to implement small changes which will vehicles and fuel for Lwazi research boat has made Penguins, Great White Sharks, seals, dolphins and make big diff erences in the future of our environ- an immense diff erence to the running of DICT. whales – and seabirds. ment,” added Schaefer. We hope this partnership will continue for many Volkswagen Group South Africa’s partnership DICT was founded by Wilfred Chivell in more years to come as our work has just begun,” with DICT started in 2011 with the sponsorship of 2006. “DICT is very grateful to have a partner like Chivell commented. ■ two vehicles to assist with activities such as beach rescues and general running of the organisa- tion. Later on, Volkswagen became the primary supporter of the Lwazi (Xhosa for knowledge) Research Boat which is used by marine biologists to study the behaviours of the Great White Shark. In 2015, Volkswagen again partnered with the DICT for the construction of the African Penguin and Seabird Sanctuary which conserves, rehabili- tates and conducts research into the endangered African Penguins and other seabirds found on Dyer Island. Furthermore, Volkswagen covers the operational costs of the sanctuary. “Volkswagen’s vision is to become a com- pany with meaning and impact in the various projects that we support. We believe our support of the Dyer Island Conservation Trust in the past fi ve years has played a critical role in assisting the organisation to conserve, rehabilitate and research the marine ecosystem of Dyer Island and surrounding waters,” said Th omas Schaefer, The Lwazi Research Boat. Subscribe for free @ www.autolive.co.za Page 21

Working Wheels A Constellation of Workhorses from VW

Manufactured in Brazil and forming part of Th e VW Constellation 19.320 has a gross MAN AG’s multi-brand truck and bus portfolio, combination mass of 44 tons, which puts it Volkswagen (VW) heavy and extra heavy commer- ahead of most rival 4×2 truck-tractors as far as cial vehicles are gaining market share in emerging payload and drawing capacity are concerned. economies in Africa. Th e VW Constellation range Th e Constellation 24.250 freight carrier has a of workhorses in particular have been specially longer wheelbase at 5.819 metres which provides engineered to meet the demands of niche trucking a better platform for various truck bodies applications in southern Africa. making it the ideal solo freight carrier unit. “Th e VW Constellation range is extremely Equipped with mechanical suspension and a lift - versatile, coming in both truck-tractor and rigid able tag axle, the VW Constellation 24.250 also derivatives, with both 6×2 and 4×2 axle con- Citing both reliability and fuel economy as key sports a dual-speed diff erential which delivers fi gurations, making it the ideal choice for the attractions of the range, Van Graan adds that the ‘fast’ and ‘slow’ gear ratios for better traction medium and on-highway distribution segments,” Constellation range has been optimised through under load. says Dave van Graan, Head of Truck Sales, MAN prudent engineering of various driveline com- Specifi ed for regions around the world that Truck & Bus South Africa. “Predominantly, ponents to broaden its appeal in the road freight are not equipped with the latest hi-tech workshop our VW customers to date are using the VW industry in South Africa. equipment, the VW Constellation range is fi nding Constellation for volume van, dropside, tautliner, Th e VW Constellation range includes the favour in sub-equatorial African operations, pri- refrigerated and car-carrier applications just 19.320 4×2 truck-tractor and rigid-chassis freight marily due to its reliability, built on a robust chassis to name a few, this clearly demonstrates both carrier derivatives: the 13.180 4×2 freight carrier, and ‘easy to fi x’ driveline, based on the Cummins the volume and weight-carrying capabilities of the 15.180 4×2 freight carrier, the 17.250 4×2 ISBe Turbo Intercooled power-plant and Eaton FS the range.” freight carrier and the 24.250 6×2 freight carrier. 6306 B Manual Transmission. ■

Mercedes-Benz Trucks Delivers on Large Fleet Deal

In one of its largest fl eet deals concluded to “It is no coincidence that as Daimler Trucks & pace,” said Kobus van Zyl, Executive Director: date, Mercedes-Benz Trucks handed over Buses (DT&B), our aim is very much in line with Daimler Trucks & Buses Southern Africa. 101 Mercedes-Benz Actros trucks to Bakers Bakers’ mission. We want to be the benchmark “Th is landmark transaction has been the result SA Limited, an independently owned trans- commercial vehicle solutions provider that makes a of a rock-solid relationship between Bakers SA port and logistics services company, based in real diff erence in the lives of our stakeholders. Th is Limited and DT&B. By continuing to focus on our Pietermaritzburg, KwaZulu-Natal. In an unprec- includes everyone from our shareholders to cus- two core strategic business pillars -Best people and edented move, all 101 trucks were presented to tomers and the various charities we support. Th is Operational Excellence – we continue to be the Bakers SA Limited at the Shongweni Equestrian alignment is one of the major reasons this relation- supplier of choice for ever-growing businesses such Club, earlier this month. ship will continue to move forward at such a rapid as Bakers,” added Van Zyl. ■ “Th is is the single biggest order that Bakers SA Limited has concluded with Mercedes-Benz Trucks, and as in the past, we are sure that we will reap the benefi ts,” said Abdul Tayob, Chairman of Bakers SA Limited. “Th ere are a number of advantages that make us so loyal to the brand. From a technical side, the trucks’ reliability, improved safety and low fuel consumption mean we could not have made a better choice. I have to add that the relationship we have with both MBSA and our local dealer Mercedes-Benz Garden City Commercials means that we received the best deal possible. Th at is why we decided on an all-inclusive package with all the value chain partners: FleetBoard, CharterWay and Mercedes-Benz Financial Services. We look forward to even more success from this relation- ship,” added Tayob. Subscribe for free @ www.autolive.co.za Page 22

Working Wheels

Hino SA Reaffi rms Commitment to Vision 2020

Hino South Africa has reaffi rmed its commit- programme will include putting more automatic ment to Vision 2020 which aims to make Hino models into the demonstration fl eet. the top selling truck brand in South Africa by “We couldn’t have hoped for a more positive 2020. Recently the Hino staff and dealers signed a start to 2016, particularly as we have not intro- pledge under the slogan “One Team, One Pledge” duced any new products during this period,” said to support this vision. Th e strategy has the full and Ernie Trautmann, the Vice President of Hino SA, energetic support of Hino Motors in Japan in terms at a recent media briefi ng. of new products and back-up on all fronts. “However, we are very aware that we are cur- Hino’s ambitious Vision 2020 is not only rently operating in a very tough market and have to about becoming South Africa’s most popular truck ensure we continue to build on relationships with brand, but also involves ensuring sustainable busi- all our customers, both old and new as we face a ness for all parties involved, increasing volumes year of falling sales and rising costs.” and meeting the challenge for selling and servicing A recent “One Team, One Pledge” strategy more trucks. Th e ultimate objective is very custom- session with the dealer network has come up with er focussed in that the aim is to provide “Th e Best a strong indication of the direction the company Products and Total Support for our Customers.” needs to follow in 2016 and into the future. Th e most important aspect of this strategy is Part of the pledge involves improving the building on the already proven success of Hino’s standards of dealers in all aspects of selling and global Total Support programme which is rooted servicing a growing number of 700-Series trucks in strong relationships with absolute mutual trust, in the future. between Hino Japan, Hino SA and the dealer net- Ernie Trautmann, the Vice President of work to ensure they all become partners with their Hino SA. “We couldn’t have hoped for customers. Eff ective and ongoing communication a more positive start to 2016, with dealers and customers is a major key to the with a total sales target of just over 4 000 units for particularly as we have not success of this programme. the 2016 calendar year. Hino SA has already started building strong Hino has also moved right to the top of the introduced any new products foundations for Vision 2020. A good example was tree in the Competitive Customer Experience during this period.” the record Hino vehicle sales achieved in 2015. survey aft er the fi rst quarter of 2016. It is not only Total sales, including the Toyota Dyna, rose 6.5% No. 1 in terms of the combined total, but also No. Other actions will be to develop a Hino- from 3 844 units in 2014 to 4 094 units in 2015 with 1 in all three categories researched, being sales, backed used truck strategy for the dealers, which a record 3 601 of these latter units being Hinos. service and parts. goes hand-in-hand with a policy on buy-backs and Although no all-new Hino models will be trade-ins. Additional focus areas will be developing Although no all-new Hino models introduced in 2016 there will be changes to most attractive service and maintenance plans as well as models. All three model ranges – 300, 500 and 700 extended warranties, all aimed at lowering the total will be introduced in 2016 there – will be fi tted with government-legislated speed cost of ownership for Hino customers. will be changes to most models. limiters in the course of the year, starting in the Top rate aft er sales service will be a cardinal third quarter. At the same time the 300-Series will part of the 2016 Challenge strategy. With the parts Importantly Hino was the top brand in the get an elevated air intake, while the 500-Series will sales target lift ed by 7% for 2016 the programme to 2015 Competitive Customer Experience research, get ABS brakes with a change from air/hydraulic improve the competitiveness of Hino parts pricing second in the National Automobile Dealers to full air for the 1326 model. Euro 3 engines will will continue. Association (NADA) survey in terms of dealers rat- replace Euro 2 power units in the 500-Series heavy A new strategy in aft er-sales will be real- ing their OEMs and, more importantly, showed the truck range at this time. time monitoring of Vehicle off Road (VOR) cases best improvement in rating from their dealers. Th e comprehensive Dyna range will remain at the dealers so as to be able to develop quick Hino SA was also rated top in parts and service unchanged this year, but in January 2017 it will action countermeasures to minimise downtime in Japan’s regional evaluation of its distributors. get ABS brakes and be fi tted with the larger Hino for customers. Meanwhile parts sales in South Africa increased by 300-Series cab. A new initiative for the dealers will be the 4% over the 2014 fi gure. Th e 700-Series extra-heavy range also remains introduction of a learnership programme to Th is year has also started very well for Hino unchanged this year except for the fi tment of a encourage younger people to enter the truck retail- SA. Sales of 883 units in the fi rst quarter of 2016 speed limiter in the fourth quarter. However from ing business. It will be a one year development resulted in market share moving up from 14.0% to the beginning of next year the 700-Series will be programme with the focus on selling and is a joint 14.3%, compared to the fi rst quarter of 2015, while fi tted with Euro 2 engines although Euro 4 power venture between Hino SA and the dealers. it was well ahead of its Japanese rivals in the South units will be available on customer order. “Taken overall we believe that Hino is in an African market. Th ere will be a concerted eff ort to push the excellent position to enable us to take the next steps Hino’s objective going forward will be to fur- benefi ts of Hino’s fully automatic transmis- on the road to achieving Vision 2020 within the ther increase market share in a declining market sion in the medium truck market in 2016. Th is next fi ve years,” concluded Trautmann. ■ Subscribe for free @ www.autolive.co.za Page 23

All Systems Go for Festival of Motoring

South Africa’s largest automotive fi nance house, NAAMSA is one of the endorsers of the WesBank, has been confi rmed as the headline Festival and according to Mike Whitfi eld, the sponsor of the fi rst SA Festival of Motoring, which organisation’s president, the South African motor takes place at the revamped Kyalami Grand Prix industry is a very important factor in the overall circuit from August 31st to September 4th. In economy of the country and as such deserves a addition, Toyota, Volkswagen, BMW, Mercedes- showcase such as the SA Festival of Motoring. Benz, Nissan and Porsche have confi rmed “Th e motor industry in South Africa contrib- their participation. utes more than 7% to the country’s GDP, employs “We know that the South African economy is hundreds of thousands of people either directly in a downturn, but we believe that the companies or indirectly, and its export-driven production that market aggressively in these negative cycles programme resulted in 376 00 built-up vehicles top quality cuisine in surroundings with a strong benefi t when the economic climate improves,” said being shipped from SA last year. Projections for in- motoring ambience. Konstantin von Vieregge, the recently-appointed vestments by the seven major motor manufacturers “Entertainment will range from a fashion CEO of SA Shows Messe Frankfurt, the organiser in 2016 stands currently at a record R7.63-billion show to German touring cars roaring around the of this re-imagined motor show. “We are pleased which is very good news for a country that needs race circuit, with plenty in between, including a with the initial response from the industry to the employment and a big increase in local manufac- special children’s play area with entertainment,” way in which we are repositioning what was the turing,” he explained. she said. Johannesburg International Motor Show and are According to show director Pula Dippenaar “We have all the pegs in the ground now and confi dent we will have many more local motor the objective is to put on a show that dovetails with the next step is to develop our plans to reality so companies signed up as participants by the time the requirements of the exhibitors while provid- that the 2016 SA Festival of Motoring is the big the show opens.” ing visitors with an enjoyable and memorable success we are confi dent of delivering,” concluded Based on the Goodwood Festival of Speed special occasion by off ering a variety of entertain- SA Show Messe Frankfurt CEO Konstantin staged annually in the United Kingdom, the SA ment backed up with the opportunity to enjoy von Vieregge. ■ Festival of Motoring is aimed at petrol heads and motorsport enthusiasts, as well as at motorists in general. It will involve both static displays and activations linked to automotive products and services as well as being a source of a wide range of ongoing entertainment both on and off the race track.

The organisers will shortly announce details of an upcoming countrywide search to fi nd the 25 most interesting cars in South Africa which will be displayed at the Festival.

“We believe we have the ideal venue for the Festival of Motoring in the Kyalami Grand Prix circuit, fi rstly as it is a global motor sport icon and secondly being a spacious venue with facilities tailor-made for hosting this multi-faceted event in a congenial atmosphere. We are going to ensure the best logistical arrangements for visitors which will include shuttle services to and from the Gautrain. We are currently conducting a detailed parking study of the venue to make sure this aspect of a show visit is hassle-free,” added Von Vieregge. Th e organisers will shortly announce details of an upcoming countrywide search to fi nd the 25 most interesting cars in South Africa which will be displayed at the Festival. Th is will be another very interesting highlight for visitors to this high profi le, automotive-themed event. SA Show Messe Frankfurt CEO Konstantin von Vieregge. Subscribe for free @ www.autolive.co.za Page 24 Back Page

seems, have developed a sense of humour since they last tried their hand at an S-Class Cabriolet, BBecauseecause WeWe Can!Can! which, reading the media pack carefully later that night, seemed to be way back in the 1960s. Old Ms Piaff would have been appeased, though, when you hit “comfort” and evoked the wonderful waft ing sensibility that underlies this superb machine, in terms of a muted whisper from that unstressed V8 and the ride quality which is so perfectly enhanced by Air Suspension, standard on this car. Ditto the 9G-TRONIC automatic gearbox. We tried the 500 SL fi rst, a car that is indeed The 2016 Mercedes-Benz making its appearance here in October, at a price Cabriolet and 1964 220S. still to be revealed. At a greater price, to be revealed, will be the Mercedes-AMG S 63, a car that we sampled for our return journey into the city of Nice, and then on and up a mountainous coast road to a BY STUART JOHNSTON journalist, but with a fi ne cultural background vliia located in some place known as St Jean du Cap. backing him up, wanted to do. He was scrolling My co-driver drove this one aft er lunch, and through the music options pre-loaded on the hi-fi whether it was the residue of the Dire Straights So there we were, cruising topless, okay, top-down system that would have paid for my entire classic fuzzy guitar-logic, or perhaps that extra cup of at any rate, in one of the most beautiful cars on car collection back in South Africa, let alone my espresso that he gulped, he was nevertheless soon the planet. Naah, not one of those Maranello dusty old racks of CDs. exploiting all heck out of the S 63’s propensity Screamers, or British Bulldozers masquerading “Aah, Edith Piaff . Let’s have some of that!” he for both front and rear-wheel grip. All this with as slot machines on wheels, but a Mercedes-Benz exclaimed (guys like him exclaim, genteelly, they a total of 430 kW now under his right foot! Ms S-Class Cabriolet, a car that is perfectly suited to don’t bellow like me). Piaff would have pursed her lips at this point, I old money, of which there is plenty about on the “What? Are you (expletive deleted) crazy!?” thought ungenerously. promenades of Antibes or Cannes I bellowed. “We are in the South of France on a When I took over the 63, we were stuck in Nice Th e new Merc Cabriolet is huge, over fi ve sunny day, lookit that lady who’s just taken her peak-hour traffi c heading out to wherever impossi- metres in length, and it reminds me of one of those entire bikini off , let alone her top, and you want to bly fortunate people head aft er a day in a city where Figoni et Felaschi Delahayes of the 1930s in terms go all gooey and romantic on me? Who do I look there are more sunny days than anywhere else in of its space utilisation. It’s all swoops and curves like, Charles Aznevour? Harry Belafonte? Gimme the world. How do they even contemplate working with a cabin stuck in the middle of vast expanses that control knob!” in a place like this? Perhaps it is the lure of owning of metal. So focussed were Merc’s styling team on Aay, this was more like it. Soon the strains of something like a Mercedes-Benz S-Class Cabriolet. making this car look perfectly proportioned, that “Money for Nothing” were booming out of those 25 For that you need to be rather productive at some they ended up sticking the folded-up roof where surround sound speakers. “Th at opening riff is right stage of your life, and aft er that you can play with the rear passengers may have sat in a coupé or a se- up there with Keith’s best,” I confi ded at around 100 the automatic roof mechanism on a car like this dan, so for all intents and purposes, the rear pews decibels. My co-driver blinked non-commitally at while contemplating your next investment. are ideal for compact fl uff y dogs, of which there me, but I noticed that aft er a few more pavement “Hmmm. Microsoft . Maybe that’s something seem to be so many in the south of France. café-passes he was starting to tap out the beat with we should look into…..” Th e weather had played ball with us, as we only his hand on his rumpled, Chino-clad knee. No doubt that’s what the customers for these had an all-too-brief stopover in this playground for Th ing is, as I refl ected once the last of the yacht sorts of cars thought back in the late 1970s, as they the rich and famous, and also interlopers like us, masts had receded into the distance and we were tooled around sunny climes in their well-preserved too scared to park the Merc in an underground lot threading our way through snaking mountain tar 1964 Mercedes 220S cabriolets, cars that could last in case we couldn’t aff ord the price of extraction. strips in chateau-ville, we were both right. Th is a lifetime if well looked aft er. So we headed out along the Cote d’Azur, which Merc is a car that brings out the best no matter Now, the 2016 S-Class Cabriolet will appeal really is the Blue Coast, the lovely water lapping whether you won the Lotto the previous evening, to people who are super-rich but want to travel in gently against pebbled beaches as we tried to at- or your grandparents could trace their lineage semi-subtle fashion. Buy an S-Class and you are tract everyone’s attention by blipping the throttle right back to the landed gentry before the French buying what many still consider to be the best car on the wonderfully balanced and subtle 4,3-litre Rvolution. Brash and genteel, that’s what it is. in the world. Th en buy the cabriolet version for dual-turbocharged V8 engine. Th e brash side is taken care off via a rude those days when the sun is beckoning, and the only You can play it subtle of course, which is what bellow of an exhaust note once you fl ip the Sport luggage you will need will be a pair of designer my co-driver, another impoverished South African switch on the console. Mercedes engineers, it jeans and some Gucci shoes. ■