Auto sector adapts to downturn

ON SPECIAL: Opel Corsa is going for a song.
ON SPECIAL: Opel Corsa is going for a song.

Phuti Mpyane

Phuti Mpyane

The automotive industry's doldrums continue, but so do its positives. The industry has approached government for a US-style bailout. Some say the government shouldn't help, while others say it's needed. I think they should. Though steps should be taken to cut the high prices that Mzansi people pay for cars, the automotive industry has been toeing the line set by government, particularly in view of the Motor Industry Development Plan. However, the dwindling demand for cars overseas begs for sympathy, to at least help save jobs .

My attention has zoomed in on the feud between the planned rapid bus system for Jozi and the taxi industry.

Understandably, this will not only have financial implications on the drivers and owners, but the demand for mini-buses will be affected. However, on the flip side, the rapid bus system has positives for commuters.

More dealers are reportedly closing shop. We are at a point where creativity, bold decisions, and existing business models are put to the test. Self-employment generally leads to a demand in vehicles, be it trucks, sedans, or buses. Ultimately, the global financial crisis will lead to lay-offs that encourage entrepreneurship, which increases demand for transportation.

If you are planning on entering the lucrative but feuding taxi industry, and you are in the Alexandra, Sandton area, pop into McCarthy Toyota in Woodmead.

The dealership has warned of an impending price increase on April 1, and invites potential Quantum "Ses'fikile" buyers to buy before this increment. The vehicles are priced at R243300, plus a bull-bar, licence and registration included .

Chrysler Jeep Dodge in Menlyn and Centurion, Pretoria, have 2009 diesel engine and six-speed gearbox Dodge Nitro and Calibre units going for a song, with savings of up to R80000.

McCarthy Villieria, also in Pretoria, has specials on Opels and Chevrolets .