New car sales of Chinese brands have skyrocketed and vehicle trading company AutoTrader’s latest Mid-Year Report shows that sales of Chinese brands rose by 89% in the first half of this year, led by BYD, which increased by 637%; Omoda, up by 99%; and Jaecoo, which rose 168%.

The same trends are evident in the used car market, the company says.

Further, while these percentages are striking, they reflect growth from a relatively smaller base, as these brands are still emerging players in South Africa’s automotive market.

The data from the mid-year report indicates a broader trend in South Africa’s motoring landscape.

Chinese brands are increasingly meeting consumer demand for accessible pricing, contemporary design and technological features and their growing presence suggests they will play a greater role in shaping the country’s used car market in the years to come, AutoTrader says.

Many buyers are now prioritising value and demand more from their cars, such as safety, luxury features and technology, at a decent price. Several Chinese brands have taken advantage of this and have entered the market with great success.

Further, all brands showed increases in year-on-year sales. Even more established brands such as Haval up 33%, Chery up 14%, and BAIC up by 16%.

Additionally, other indicators suggest that these brands are poised for even more growth locally.

Searches for Chinese cars on AutoTrader climbed by 67% year-on-year, reflecting growing interest from a relatively smaller starting point. Enquiries increased by 81%, and unique advert views have doubled, showing that attention for these brands is accelerating even as their overall presence in the market remains emerging, the company notes.

“This is a structural shift in the market. Chinese automakers can offer roughly 80% of what buyers expect for 60% of the price,” says AutoTrader CEO George Mienie.

“This is changing what South Africans consider possible when it comes to affordability and technology. The bigger story is how this is reshaping competition and setting new benchmarks that all automakers will have to meet,” he adds.

Further, several Chinese automakers, including Chery, BYD, Omoda and Haval are introducing well-priced electrified vehicles to the market.

Hybrids and plug-in hybrids are typically more expensive than their traditional petrol and diesel counterparts, placing them out of reach for many South Africans. However, their influence in this segment is evident, with the Haval H6, Haval Jolion, and GWM Tank 300 ranking among the top ten best-selling hybrid cars between January and June, says Mienie.

However, no Chinese vehicles breached the top ten lists in any of the sales, searches and enquiries categories.

While sales of Chinese cars have increased, local consumers still compare them to models and brands that have historically remained strong sellers, he notes.