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Addresses
of convenience: Have you noticed how many "grey
import" vehicles are driving around South Africa with
Mozambique, Botswana, Namibia or Swaziland number plates?
This phenomenon is particularly evident in Gauteng and
is obviously the way the motor dealers in these countries
are getting around the clampdown on grey imports into
South Africa. They evidently register the car locally,
using an "address of convenience"; fit a pair of appropriate
number plates and off home goes the South African buyer.
Japan Motors Inc. continues to grow: Toyota
Motor Corporation, which has resisted getting involved
in buying shares in motor companies outside Japan, has
bought 8,7 per cent of Fuji Heavy Industries, the manufacturer
of Subaru motor vehicles. This will further consolidate
the Japanese motor industry as Toyota already has controlling
interests in Daihatsu and Hino as well as holding a
five per cent share in technology partner Yamaha.
General Motors is selling the 20 per cent
shares it holds in FHI, with 8,7 per cent going to Toyota
and the balance of 11,4 per cent being sold on the open
market. This will effectively dissolve the relationship
between GM and FHI. It remains to be seen where this
leaves GM's Swedish subsidiary, Saab, as GM was using
Subaru vehicles as "donors" of components and platforms
to cash-strapped Saab.
Toyota and FHI are going to explore synergies
in terms of research and development and production.
One of the benefits to Toyota is the fact that FHI has
developed a very efficient battery pack that will be
ideally suited for use in petrol-electric hybrid vehicles,
where Toyota is the world leader.
The tie-up between Toyota and FHI has been hailed as
a positive move by the top management of Subaru South
Africa.
Grand Prix racing hots up: The
news that Honda has purchased the remaining 55 per cent
in British American Tobacco's BAR racing team means
they are sure to up the ante in the fight against arch
rivals Toyota on the Formula 1 circuit in 2006. Add
in the fact that BMW will operate their own team, having
bought out Sauber, and the scene is set for a battle
of the giants as these three teams challenge current
pace-setters McLaren-Mercedes and Renault.
Black buyers declare their status with new vehicles:
Black buying power is seen by motor dealers as one of
the major factors in the current surge in new vehicle
buying in South Africa. There are estimates that emerging
black middle class buyers account for between 25-30
per cent of new car sales. At some franchises it could
be as high as 40 per cent. (The middle class in South
Africa is broadly defined as households with earnings
of between R30 000 and R144 000 a year).
A major finance house said that almost 20 per cent of
the customers on its open book for new and used cars
were black.
Fill up the tank with sugar, mielies or coconut
oil, Sir The recent surge in the price of crude
oil and resultant upward spiral of fuel prices has brought
several alternative fuel blend sources to the fore.
Among these are sugar and maize to make ethanol. Coconut
oil is another fuel source being bandied around.
Sugar is the raw material of choice in Brazil, the world's
largest producer of both sugar and ethanol. More than
half of Brazil's sugar production may soon be diverted
to fuel production. The United States favours maize,
as do a group of South African farmers who are setting
up an ethanol production plant in Bothaville. Years
ago there were protagonists in South Africa for using
sunflower seed oil and this was used experimentally
in diesel tractors.
Nethercott joins MIO advisory: National
Automobile Dealers' Association (Nada) chairman Ray
Nethercott has been appointed as a member of the independent
Motor Industry Ombudsman (MIO) of South Africa's advisory
board.
Nethercott was a prominent speaker at last year's CAR
Conference at Auto Africa and is also the CMH Group's
franchise director for Ford, Mazda, Peugeot and BMW.
Consumer journalist Isabel Jones, Moses Moeletsi of
the SA Bureau of Standards and Naamsa executive director
Nico Vermeulen also serve on the advisory board of the
MIO, the organisation said.
MIO executive chairman Theo Swart said Nethercott's
"experience and knowledge of the retail industry gained
over the past 28 years would undoubtedly have a positive
impact on the MIO and its objectives".
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