A Turning Point and Hope for 2025

A new year offers a clean slate—an opportunity to build on lessons learned and forge new paths forward. For the South African transport industry, the past four years have been a whirlwind of challenges, growth and crucial takeaways. However, the GOOD NEWS is here: the market has turned, with a clear upswing in the used commercial vehicle industry over the past four months. Numbers don’t lie—sales are climbing, signaling a recovery on the horizon.

Between 2020 and 2023, the transport industry saw a surge in demand for coal, chrome and manganese exports. Ports bustled with trucks offloading these resources as South Africa capitalised on global demand. The sector thrived, with new and used commercial vehicle sales skyrocketing as transport operators expanded their fleets to meet the growing needs.

Then came 2024—hitting the industry faster than Max Verstappen in a Red Bull, facing a steep decline. Production slowed to around 30% capacity, largely due to an unfavorable rand-to-dollar exchange rate and a shift in focus from active exports to stockpiling resources. Mpumalanga, South Africa’s coal hub, became a stark visual of this slowdown, with parked trucks lining the landscape like silent witnesses to the crisis.

The financial strain forced transport operators to make tough choices—postponing vehicle replacements, scaling back operations and offloading high-mileage trucks to generate cash flow. This influx of used vehicles created opportunities for buyers but underscored the pressures on sellers trying to navigate through turbulent times.

Yet, despite these challenges, the industry’s resilience has shone through. Over the past four months, the used commercial vehicle market has demonstrated remarkable growth, with rising sales and increasing activity. This trend marks not only recovery but renewed confidence in the sector. Transport operators are adapting and the market is responding positively.

As we enter 2025, the horizon looks brighter. The lessons of the past—agility, strategic planning and sound fleet management—remain cornerstones for success. Together, we can build a stronger, more robust industry that thrives on innovation and perseverance.

Here’s to a year of recovery, growth and renewed strength in the transport industry. May we embrace the grace from above and work toward a greater 2025, writing a chapter that celebrates resilience and progress.

My 5c.

This article is written by Paul Kempenaar, Director of Truck World (Pty) Ltd, Pro Bulk Services (Pty) Ltd, and Trailmax (Pty) Ltd. With over 28 years of experience in the market and a deep understanding of customer needs.