lectric and hybrid cars in trouble in South Africa

Electric and hybrid cars in trouble in South Africa as the nation sees its first drop in EV sales since the Covid-19 pandemic. According to the latest Naamsa auto data, new electric vehicle sales fell significantly in the first half of 2025, signaling growing concerns for the country’s green automotive ambitions.

H1 2025: Electric vehicle sales South Africa decline sharply

The Electric vehicle sales South Africa industry suffered a 24% drop from January to June 2025. Only 570 fully-electric cars were sold, compared to 749 in the same period in 2024. This marks the first half-year dip in EV sales since 2020.

The primary reason appears to be the lack of new electric vehicle launches and the high cost of existing models. In 2024, the Volvo EX30, launched in February, led the sales spike. Its affordability and impressive specs made it a game-changer, but its effect appears to have worn off.

One major player, BYD, does not submit its sales figures to Naamsa, potentially underreporting the total EV uptake. However, BYD only launched one new EV — the BYD Seal, priced at R1 million — since H1 2024. It’s unlikely to have dramatically altered the trend.

Even if BYD’s Dolphin, South Africa’s cheapest EV, performed well, including it in the stats may have further emphasized the downward shift, as its initial launch boost was already factored into 2024’s data.

Hybrid car market: Mild support, but no growth

While Electric and hybrid cars in trouble in South Africa, the decline wasn’t limited to EVs. Sales of traditional hybrids also dropped by 6%, from 6,130 in H1 2024 to 5,771 in H1 2025.

This decline in the hybrid car market is concerning given that hybrids have historically formed the backbone of South Africa’s NEV segment. It reflects growing consumer hesitation, potentially linked to cost-of-living concerns, infrastructure doubts, or lack of government incentives.

Despite this, South Africans are starting to turn to plug-in hybrid vehicles (PHEVs) as a viable middle ground.

PHEVs: A bright spot in a dull NEV market

Interestingly, BYD plug-in hybrids and other new PHEVs bucked the downward trend. Sales of PHEVs rose by a staggering 162%, from 298 units in H1 2024 to 788 units in H1 2025.

This is largely thanks to a broader selection of affordable plug-in options. Six new models are now priced under R600,000, compared to a single affordable option in 2024.

Notably, BYD entered the plug-in market with two new models — the Shark 6 and Sealion 6 — although their data is still absent from official Naamsa records. If these models sold well, they may have masked a more severe decline in the hybrid segment and could represent an untapped portion of the market’s potential.

How South Africa compares globally

While Electric and hybrid cars in trouble in South Africa, global trends paint a stark contrast. Worldwide EV sales grew 28%, with markets like Germany and the UK seeing increases of 40% and 32%, respectively. South Africa’s 24% decline mirrors only one developed country: Canada, which experienced a 23% dip due to subsidy cuts and geopolitical factors.

South Africa’s EV downturn reflects more systemic challenges, not merely market dynamics. Unlike global counterparts, local buyers face higher vehicle costs, insufficient public charging infrastructure, and no national EV policy.

Naamsa’s warning: South Africa risks being left behind

Naamsa has issued multiple warnings that South Africa risks falling behind the global NEV transition. Without a clear government policy on EV incentives, charging infrastructure rollout, or import tax reform, local adoption will remain stagnant or decline.

Even as more automakers introduce affordable models globally, South Africans aren’t seeing the same benefit due to regulatory and economic barriers.

Total NEV sales: A misleading plateau

The total number of new energy vehicles (NEVs) sold — including EVs, hybrids, and PHEVs — declined marginally by 0.7%, from 7,178 to 7,129. But this figure conceals the market’s structural problems.

When total new car sales in South Africa increased by 21.3% over the same period, the NEV stagnation becomes even more significant. If green vehicles aren’t keeping pace with overall market growth, South Africa is clearly lagging behind.

Year-on-Year Comparison Table

Conclusion: Urgent action needed for future NEV growth

In summary, Electric and hybrid cars in trouble in South Africa is more than a headline — it’s a warning. While plug-in hybrid growth shows that demand exists for energy-efficient vehicles, the decline in EV and hybrid sales suggests that the government and industry must act fast.

To reverse the trend and align with global EV adoption, South Africa needs immediate action:

• Incentivize EV and hybrid purchases

• Lower import tariffs

• Expand charging infrastructure

• Implement a national NEV policy

Without intervention, the Electric vehicle sales South Africa sector may continue to fall behind the global market, costing the country environmentally and economically.