It is all about the numbers as sales results pour in from January and everyone alters their predictions for 2026. While new vehicle sales increased by 7,5% in January in South Africa, it’s a mixed picture for the rest of the world. European sales rose 1,8% and the UK experienced growth of 3,4%, but volumes shrank by 16% in the important Chinese market.
However, the China Association of Automobile Manufacturers reported new vehicle exports from China increased 45% to 681 000 vehicles in January, making up a big portion of the 2,45-million vehicles the country produced during the first month of the year.
Starting or running a small business and in need of a bakkie – click here
Electric vehicle (EV) sales had a great month in December 2025 to end a year that saw global sales of battery-electric models rise by 23% year-on-year. That figure was lower than the increase in 2024 and many analysts are expecting it to be cut significantly in 2026, with BloombergNEF predicting BEV sales to rise by just 12%.
Ongoing uncertainty around the BEV market in the US will contribute to that lower number, especially as President Trump removed the Environmental Protection Agency’s ability to manage greenhouse gas emissions regulations this month. It’s all part of Trump’s plan to reduce the climate requirements, a plan that his administration says will save the auto industry up to $1,5-trillion and bring prices for consumers down by as much as $2 400 per vehicle.
You are just one click away from finding the very best finance deal for your new car
While the policy rollback could be seen as creating more uncertainty in a global context for the industry, automakers generally welcomed the move. That’s not surprising when the push towards electrification has forced Ford, General Motors, Honda, Porsche, Stellantis and Volkswagen to write-down a massive $55-billion after their move towards electric failed to meet expectations. Stellantis’ charges of $26,5-billion and a potential second-half 2025 loss of up to €21-billion are numbers that caused its share price to drop 30%, which meant the write-down figure exceeded the actual value of the company.
At the same time, job losses continue to mount up across the auto industry. Volkswagen will reduce its workforce in Germany by 35 000 over the next four years, Ford has cut another 1 000 jobs at its EV plant in Cologne, Nissan is shutting seven factories with the loss of 11 000 jobs and suppliers Bosch and ZF are cutting 27 000 jobs between them.
If it is something more Exotic you are after – click here
With all this going on you have to wonder why Ferrari has not simply shelved plans to make its first EV, but the reveal of the interior of what will be called the Luce shows the Italian sports car maker is very much on track to show the final car around mid-year. Designed by Jony Ive who created the first Apple iPhone, the interior has created much debate and while it features digital screens, it shows a continued move back to more physical controls.
Technology moves forward at an accelerated pace, but from physical controls to a surprising return to diesel vehicles, the auto industry appears to be hoping that it can return to profit by going retro.
Mark Smyth
proudly CHANGECARS
