Fuel prices likely to come down

The New Year appears to be starting on a happy note for motorists with the price of fuel likely to drop quite significantly next week, although this trend is not guaranteed to continue as the year moves on.

“Despite the volatile Rand and concerns around shipping routes in the Red Sea, local fuel prices are still expected to decrease when they are adjusted by the Department of Mineral Resources and Energy next Wednesday,” says the Automobile Association (AA). 

According to figures from the Central Energy Fund (CEF), ULP95 petrol is expected to be lower by around 54 c/ litre while ULP93 is set for a drop of around 39 c/litre. Diesel prices are expected to drop substantially by between 94 c/litre and R1,02 c/litre.

On Wednesday oil prices stabilised with some major shippers resuming passage following continued attacks which pushed oil prices higher. However, the downward movement in international product prices – oil prices – remains the main driver behind the expected decreases. The average Rand/US dollar exchange is playing a smaller role but is still contributing the expected decreases.

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“Although we are expecting fuel to be cheaper in January, we remain concerned about the overall high prices which impact on all consumers. If the expected decreases are realised, petrol prices will still be higher than they were in January 2023, but diesel prices will be marginally cheaper than at the same time. We must see all of this in the context of consumers who are still recovering from steep fuel price hikes in September and October,” says the AA.

The AA further says while 2024 is starting on a positive note for consumers, it’s still too early to determine if the trend to lower prices will continue, especially given current geo-political developments which impact on international oil prices.

“For this reason, a sustainable solution to mitigating rising fuel costs is still necessary and until that solution is found, citizens will be at the mercy of fuel price hikes. We again call on government to urgently initiate a transparent review of the fuel pricing structure to seek this solution,” says the Association.

The Association says changes to this data are expected before the formal announcement by the Department of Mineral Resources and Energy (DMRE) ahead of Wednesday’s adjustment. However, it says any relief at this stage is welcome.

Colin Windell

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High mileage runner from Chery

The upmarket hatchback brand from Chinese automaker Chery, the Omoda has made it into the semi-finals of the South African Car of the Year competition amid much jubilation from the local arm of the company as one of the country’s youngest car companies.

However, the parent is certainly not resting on any laurels - the Jaecoo sub-brand is destined to officially launch locally early next year and the Chery range has been expanded on home shores with the pre-launch information on the Fengyun A8.

While this luxury PHEV version of the Arrizo 8 may not actually be destined for South Africa, its importance lies in the fact the company claims an operating range of more than 1 400 kilometres from the combined system resources.

The powertrain comes from Chery’s Kunpeng Electric Hybrid C-DM system consisting of a fifth-generation ACTECO 1.5T GDI hybrid engine and a permanent magnet synchronous motor, mated to a DHT150. The engine outputs 115 kW and 220 Nm while the motor outputs 150 kW and 310 Nm.

 In addition, its 18,3 kWh lithium battery pack provides a pure electric cruising range of 106 km (WLTC) and  it takes 19 minutes to replenish the battery from 30% to 80%.

Moving local, Shannon Gahagan, National brand and marketing manager of Omoda South Africa, says: “When we decided to introduce the Omoda brand to South Africa, we specifically picked the Omoda C5 to be our first model.

“This model is both a showcase of our technological development with its 115 kW 1,5-litre turbo-petrol engine and a perfect example of our futuristic design language that sees nothing as sacred and that looks at any new technology or design element through the lens of functionality and customer benefit."

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The C5 offers a comprehensive range of features, including diamond-cut alloy wheels, a dual-screen 10,25-inch cockpit with touch-screen infotainment and vehicle information and wireless Apple CarPlay and Android Auto.

Omoda then introduced a sporty Omoda C5 GT. Aside from the styling upgrades, such as aerodynamic side skirts, a front splitter and a rear wing, the Omoda C5 GT is fitted with the brand’s Kunpeng 1,6-litre turbo-charged petrol engine. 

The SA Guild of Mobility Journalists  Car of the Year competition is one of the most highly regarded of its kind in the world. Unlike many other COTY competitions, the South African version includes rigorous testing, both at low speeds over uneven surfaces and at the highest possible speeds, with sharp course corrections and dynamic handling of obstacles.

“We are competing in one of the most hotly contested segments – the Compact Family vehicle segmen and, while there are many contenders in this segment, we are confident that the Omoda C5 will offer unmatched value, dynamic capabilities and performance to impress the judges and make it into the list of COTY finalists,” says Gahagan.

Colin Windell

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Ideal for the long-haul

That Chery is on a roll is not a matter up for debate and its growing sales figures in South Africa suggest this is likely to continue, spurred on by the new product being added to the Tiggo range – one of these being the Tiggo 7 Pro Max.

Launched as an addition to the existing Tiggo 7 range, the three-variant Pro Max options – including the all-wheel drive flagship on test – came with their own identity fronted by a new grille, boasting an accentuated diamond pattern.

Crafted from a dark gloss black polycarbonate weave, it is embellished with chrome, diamond-shaped highlights, while the lower sill and side intakes are tweaked and the new ‘Angel Wings’ LED headlamps give it some hefty street cred.

The LED light-up sequence, both front and rear, is quite a show and, as the sensors detect the key in hand, its LED lights perform a welcoming symphony of light, evoking a sense of occasion every time the driver approaches the vehicle. 

And that is not all. . . opening the driver’s door unleashes a mild welcoming symphony concert as the various systems gather themselves together.

According to Chery, the Tiggo 7 Pro Max had more than 20 optimisations, spanning interior and exterior design, body and chassis structure, as well as materials.

Seat Comfort

The driver’s seat has a comfort access option and moves backwards when the power is turned off to allow easy access. Touching the ‘Start’ button initiates its move back to the last memory position and brings with it the interior light show in the form of ambient light courtesy of a stepless LED light ring, which stretches from end-to-end, offering a spectrum of 64 hues to create an immersive ambiance.

The star of the dashboard is the 24,6-inch curved hyperboloid immersive screen that provides an ultra-high-definition display. This screen is the hub for information including climate controls and a wealth of entertainment options, including wired and wireless Apple CarPlay2, Offline Navigation as well as Android Auto.

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The one-piece, perforated leather sport front seats have electric adjustment and improved comfort with the heated and ventilated option.

These seats are extremely comfortable and undertaking a lengthy journey would not be a problem. They are not only comfy but provide the right levels of support over the bumps on our less-than-cared-for roads or when venturing a little off the beaten track.

Air Purification

The air-conditioning system is also upgraded and is equipped with N95-level (pm 2.5) air purification capabilities. For the Tiggo 7 Pro Max in Executive trim, the automatic quality control system (AQS) goes above and beyond by offering negative ion air purification.

Standard fare includes an automated rear luggage door that opens when the driver approaches, dual-zone ‘‘automatic climate control, ‘Hello Chery’ Intelligent Voice Commands, a panoramic sunroof and a state-of-the-art camera array that employs AI technology to provide a comprehensive view around the vehicle when needed. The wireless phone charging feature has been upgraded from 15 W to 50 W, ensuring rapid charging times for devices.

For car buyers, it is important to note Chery works on the what-you-see-is-what-you-get principle and there is not a long list of complex option packages made even worse when you are told “if you want that, you have to buy this as well” – something quite prevalent with the European automakers.

It comes with a long list of safety equipment and the driver safety/assistance is typical of Chinese brands with plenty of warning beeps and notices popping up on the screen. I was told quite often ‘you have been distracted for some time’ and, behind another car at an intersection ‘the front car has drived off’.

Some of these cannot be turned off but the initial annoyance factor diminishes over time and you quickly get used to the car communicating with you.

Safety Systems

Certainly, on the safety side, the systems work a treat and a gent laden with Christmas spirit who lurched out of the bushes into the road, lived to try again another day because the emergency braking initiated by the camera system operated faster than I could hit the brakes.

The Tiggo 7 Pro Max Executive has a level 2.5 Advanced Driver Assistance System (ADAS) with 17 intelligent safety features, that include Adaptive Cruise Control (ACC), Forward Collision Warning (FCW), Autonomous Emergency Braking (AEB), Blind Spot Monitoring (BSM), Rear Cross Traffic Alert (RCTA), Rear Collision Warning (RCW), Driver Monitoring System (DMS) and, on the Executive 4WD model, Multi-Collision Brake (MCB) and Lane Change Assist (LCA).

It comes with eight crash bags, compared to the six in the standard Tiggo 7 Range.

The Max naming is not limited to fixtures and fittings and both power and torque are increased with the 1,6-litre TGDI turbo-petrol ATECO engine producing 145 kW and 290 Nm of torque, compared to the 108 kW and 210 Nm of the standard models.

It pairs this engine with a dual clutch seven-speed transmission.

Priced at R609 900, the Tiggo 7 Pro Max plays in the same arena as the Hyundai Grand Creta 2.0 Elite and Audi Q2 35TFSI and offers significantly more in terms of standard equipment as well as having more power and torque on tap.

My initial assessment of the standard Tiggo 7 Pro was it needed a bit more power and ran quite heavy on fuel consumption. The power issue is well and truly sorted with the Pro Max and, although it is now slightly heavier on consumption than the standard version – 7,8 l/100 km versus 6,8 l/100 km (from a 1,5-litre engine), it is acceptable for the performance.

With up to 1 672 litres of luggage space it swallows more than just a set of golf clubs and, with the various configurations is an ideal family traveller as well as easy commuter – despite the quite large dimensions but here too things are taken of with the hi-res reverse and 360 camera allow for easy parking and manoeuvring in tight spaces.

All-Wheel Drive

With ground clearance of 192 mm the Tiggo can take the scenic routes and the all-wheel drive is capable of negotiating some quite tricky muddy or sandy sections (but is NOT a full-blown 4x4) so I would not hesitate to take this on a lengthy road trip.

In every respect Chery has upped the game in the SUV market and is doing so at very competitive prices along with a 5-year / 60 000 km service plan and 1-million-kilometre / 10-year engine warranty. 

Colin Windell

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Hino targets environmental concerns

The move towards carbon neutrality in the transport industry came through strongly with the vehicles on the Hino stand at the recent Tokyo Mobility Show where the company emphasised powertrain options including diesel-electric hybrids, battery electric and hydrogen fuel cells, to meet emissions targets.

The theme at the Hino display was “We make a better world and future by helping people and goods get where they need to go.” The theme was carried through by showing visitors vehicles, videos, and information panels.

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The dominant truck on the Hino display was the heavy-duty Profia (700-Series in South Africa) freight carrier, which uses Toyota and Hino-developed hydrogen fuel cells and a lithium-ion battery to power an AC synchronous electric motor. The hydrogen gas is stored in tanks at a pressure of 70 MPa and can provide a driving range of about 600 km before it needs to be refilled.

Two applications of the battery electric Hino Dutro Z EV were on show. One was a walkthrough van and the other an aluminium van with a side door. The ultra-low floor platform, which is exclusive to Hino’s Battery Electric Vehicles (BEVs), makes it easier to handle cargo and for the driver to get in and out of the vehicle and to move between the driver’s seat and the cargo area.

These vehicles target ‘last mile’ suppliers who need zero emission transport. Each of these vans can carry a load of 1 000 kg and up to two occupants. A 40-kWh lithium-ion battery provides power to a 50-kW AC synchronous electric motor. The vans have a range of about 150 km between charges and they have a fast-charging mode when required.

Hino also displayed two methods in which the company is already involved to cut emissions and increase productivity.

The first is CUBE-LINX which provides a financial modelling consultancy service to customers about adopting electric vehicles and ancillary equipment such as battery chargers and then offers a management system to ensure the best productivity from the EV vehicles.

The other project is Hino’s partnership with NEXT LOGISTICS Japan which is developing solutions to solve the challenges that the logistics industry is facing, such as a shortage of drivers and lower loading rates. Solutions include using mixed loads from various customers and double-connected trucks. About 40 cargo transport companies are already involved in the project.

Colin Windell

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Car buyers wooed by new deals

The automotive landscape in South Africa is undergoing a fundamental shift as cash-strapped consumers try to negotiate their way through high interest rates, fuel price increases and a poorly performing Rand – and auto dealers are responding.

Following the release by TransUnion of its Q3 Vehicle Price Index, Brandon Cohen, Chairperson of NADA, emphasises the industry's strategic initiatives to boost sales amidst evolving market dynamics.

TransUnion's Q3 market analysis reveals financially distressed consumers gravitating toward more affordable mobility options, reshaping the industry's landscape. According to the report, lower-income individuals now constitute a smaller portion of total vehicles financed, indicating economic constraints.

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"The automotive industry is experiencing a notable shift, with dealers taking strategic steps to boost sales through innovative trade support initiatives. The collaboration with OEMs and Importers, coupled with flexible financing options, is creating a dynamic environment for dealers and consumers alike," says Cohen.

The support is predominantly facilitated by Original Equipment Manufacturers (OEMs) or Importers, aiming to stimulate sales amidst evolving market dynamics. Financial institutions are playing a key role by offering financing up to 84 months, subject to internal criteria, with no balloon payment option at the end. Leasing and step-payment options are also being introduced by financiers to further support sales in the dealer environment.

Data from TransUnion indicates new vehicle prices increased from 5,8% in Q3 2022 to 6,5% in Q3 2023.

Despite the higher recommended retail pricing, dealers are adopting pragmatic strategies, responding to market forces that dictate the final sale price, often significantly divergent from the list price.

Delving into pricing dynamics, Q3 2023 witnessed an array of discounted vehicles, cash-backs and buying support across various vehicle brands.

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"This underscores the depth of the pricing strategies adopted by dealers and their OEM’s to stimulate new vehicle sales. The market is evolving, and consumers are benefiting from these unprecedented opportunities," comments Cohen.

Furthermore, the impact of these pricing strategies is evident in the used-to-new vehicle financing ratio, reflecting a shift in consumer preferences. The ratio decreased from 2,05 in Q3 2022 to 1,41 in Q3 2023, indicating a preference for financing new vehicles over used ones.

This shift is attributed to the attractive opportunities presented by new vehicles, including support and discounts, as well as the introduction of new entry-level models from existing players and Chinese brands.

"The automotive landscape is evolving rapidly, with dealers adapting to changing consumer demands and market conditions. As pricing strategies continue to reshape the industry, both consumers and dealers stand to benefit from the dynamic and flexible nature of the current market," concludes Cohen.

Colin Windell

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Africa Automotive: Stellantis plant opens in Algeria

The manufacturing facility in Tafraoui, Algeria promised by Stellantis in 2022 is now a reality with the start of production of Fiat 500 and Doblò models in a plant that saw an initial investment of €200-million and will assemble 90 000 cars annually for the Algerian market with a 35% localisation rate.

A Letter of Intent was signed between Stellantis and the Algerian Authorities to accelerate Stellantis contribution to the development of the Automotive Industry; a step 2 ambition, in terms of production capacity, local integration rate and the creation of a Stellantis Academy in partnership with the Algerian Education Ministries. This new phase is associated with conditions of success that are being discussed between the two parties.

"Today, a letter of intent regarding the expansion of Stellantis' industrial project in Algeria will be signed to increase the production capacity of this plant, which will be oriented towards the local and export markets," declared Ali Aoun, Minister of Industry and Pharmaceutical Production, during his speech. "We, as public authorities, commit to ensuring the support of all investment projects aimed at creating wealth and employment."

"Our Dare Forward 2030 plan envisioned Algeria being cemented into Stellantis’ regional future, and today we’re proud to have followed through on this plan by bringing Fiat brand to the country and providing great models to our Algerian customers through the manufacturing of the cars in Algeria,” said Stellantis CEO Carlos Tavares. “This is the beginning of a journey of growth and development for the benefit of the citizens of Tafraoui and Algerian customers. With today’s further announcement, we are poised to increase our commitment towards the country.”

The Tafraoui plant, covering an area of 80 acres, will initially have an annual assembly capacity of 90 000 cars, featuring a range of four models, beginning with the Fiat 500 and the Fiat Doblò. In 2024, it aims to produce 40 000 units in SKD. The plant will reach 90 000 units in CKD including painting welding and stamping by 2026.

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The industrial project has already created 500 direct jobs in Algeria in 2023, with the aim of reaching 1 200 jobs by end of 2024 and 2 000 jobs by 2026. In addition, the local supplier ecosystem will create more than 1 600 indirect jobs by 2026.

Stellantis launched its commercial operations in Algeria in March this year and has had a very strong ramp-up, closing the year with more than 50 points of sales covering 65% of the Algerian territory while offering nine models and two brands: Fiat and Opel; with a team with close to 900 people and a robust logistics setting to deliver daily cars to our esteemed Algerian customers.

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Consider the trucks - be safe

Have you ever considered that sneaky little gap you took to get ahead of a truck in the traffic is the space it needs to slow down safely and if the traffic does come to a sudden halt you are likely to become that truck’s hood ornament.

Think about it!!!

“Truck drivers tend to have a bad reputation, and unfairly so. Many are some of the most experienced drivers on the road if you consider the number of kilometres travelled in their career, to the number of accidents,” points out Ryan Gaines, CEO of City Logistics, a privately-owned logistics company in South Africa. 

Here truck drivers share some guidelines they implore road users to consider when travelling this festive season.

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Keep a safe travelling distance

According to drivers at City Logistics, it’s vitally important to keep a safe distance from trucks – because they carry extremely heavy loads and they’re unable to come to a complete halt immediately. Due to the size and weight of these trucks, it takes at least 200 metres to 300 metres – or approximately 60 seconds – for trucks to come to a complete stop. 

Stay in sight

Motorists should always remember to stay in sight. There’s a simple rule: if a motorist is travelling behind a truck and cannot see the truck’s mirrors or cameras (which replace mirrors on many modern trucks), the truck driver cannot see that motorist. It's most important not to follow directly behind the truck, as the motorist becomes invisible – because he/she is effectively in a blind spot.

Avoid overtaking with sudden stopping

Motorists should also never pull in front of a truck and then slam on the brakes, especially when travelling downhill. There is a possibility that the load being drawn cannot be stopped by the brakes, as the momentum of the weight presses the trailer – and its load – forward. This is especially dangerous for trucks that are carrying liquid. Sharp braking will propel that liquid forward.

Many trucking and logistics companies ensure their drivers are highly trained, and that their trucks are well maintained, modern and safe. Drivers, for example, undergo intense training programmes and the rigorous training necessary to obtain an EC (Code 14) licence. According to Daimler’s Fleetboard telematics system, the drivers at City Logistics for example are rated 9/10 (the industry average is 7/10).

“If motorists are able to consider this advice from truck drivers, we can all contribute to safer travelling conditions this festive season,” he concludes.

Colin Windell

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