Discussion document on South Africa's motor trade industry

"The motor trade industry in South Africa has seen a transition over the past few years, driven by various factors that have contributed to changes in the South African economy." The Discussion document on South Africa's motor trade industry "examines structural changes in the South African motor trade industry between 2006 and 2015. In addition, employment dynamics in the motor trade industry in 2015 are also discussed.

In 2015, the motor trade industry’s contribution to gross domestic product (GDP) stood at 2,2%, up from 1,9% in 2006. The motor trade industry is also an employer of note, accounting for about 3,4% of total formal employment in 2015, which is equivalent to 345 716 jobs1 . Profit margins in the motor trade industry are generally low when compared with other industries within the trade sector. For instance, in 2015 the profit margin was 2%, compared with 10% in tourist accommodation and 3% in retail trade."