The SA Vehicle Industry Thread

Sounds about right, but that cannot last - surely either tariffs will need to be 500% on imports or the manufactures will just stop upgrading their plants and therefore SA will not have anything to export. There is no future where cars manufactured in SA will be better/cost effective vs larger countries.

This sounds like the whole industry is on life support because the ANC can't survive the closure politically.
well this particular scam has been running since 1995, in a sense it's performed "well" against larger countries

China is messing with the equation though, it can produce so much more efficiently than anyone else they don't care about some tariffs ... plus China & India both being BRICS heavyweights means they're not just going to bend over for the ANC

Cherry did buy that Nissan plant though so who knows, they won't have to pay any tariffs here anymore anyway
If GWM does something similar pretty much all Chinese car brands here would enjoy tariff protection rather than pay it
 
The South African government will have no choice but to impose antidumping duties on imported vehicles, says Trade, Industry and Competition Deputy Minister Zuko Godlimpi.

Godlimpi on Tuesday attended a briefing by his department and other auto industry roleplayers to the parliamentary Portfolio Committee of Trade, Industry and Competition on the implementation of the South African Automotive Masterplan.

 
Budget cars could soon cost more: SA eyes 50 percent tariff on Indian and Chinese imports

South Africa may soon impose higher tariffs on imported cars from India and China as local manufacturers struggle to compete and protect jobs in the domestic automotive industry.

The Department of Trade, Industry and Competition is reviewing measures, including higher import duties and excise taxes, to support the domestic automotive industry.

One other option under discussion is updating the country’s tariff schedule to align import levies with World Trade Organisation rules for most-favoured nations.

IOL previously reported that South Africans are buying fewer locally produced vehicles than ever before, sparking fears of deindustrialisation as the market’s appetite for affordably priced imports grows.

According to data from Lightstone, 36% of all vehicles sold in South Africa are imported from India, while 37% were locally manufactured. Chinese imports accounted for 11% of sales. The majority of Japanese- and Korean-branded cars sold locally are also now sourced from India, highlighting the growing reliance on imported vehicles.

“The growth in vehicle sales originating in India can be attributed to the large number of vehicle manufacturers now producing vehicles in the country, leveraging the relatively cheap cost of labour and overall manufacturing costs,” said Andrew Hibbert, Auto Data Analyst at Lightstone.

Commissioner of the International Trade Administration Commission Ayabonga Cawe said the review is aimed at protecting local producers, particularly in the entry-level market, from the surge in affordable imports.

“For completely built-up passenger vehicles, the bound rates there are at 50%, our duties at the moment are at around 25%,” Cawe said.“On components, there is some room to manoeuvre – depending on what the origin market is – of between 10% and 12%,” Cawe said, as reported by Bloomberg.

 
SA mulls steep tariffs on vehicles from China and India

In a move to protect its domestic automotive industry, the SA Department of Trade, Industry and Competition (DTIC) is proposing tariffs of up to 50% on vehicles imported from China and India.

Forming part of the BRICS (Brazil, Russia, India, China, South Africa) group of developing economies, India and China are now the world’s top two manufacturing hubs and accounted for 53% and 22% of South Africa’s vehicle imports, respectively. This equates to respective import increases of 368% and 135% over the last four years.

Particular emphasis has been placed on the lucrative entry-level passenger-vehicle segment, where competitively priced Chinese and Indian imports have compressed margins for domestic producers.

Ayabonga Cawe, the commissioner of International Trade Administration Commission (ITAC), recently told lawmakers in Cape Town that an amendment to South Africa’s present tariff schedule to bring import levies in line with World Trade Organisation (WTO) is among the plans under consideration.

“For completely built-up passenger vehicles, the bound rates (the maximum legally binding tariff levels to which a WTO member country agrees) are at 50%, our duties are at around 25%,” said Cawe. “On components, there is some room for manoeuvre – depending on the origin market – of between 10 and 12%”, he continued. For context, the current import tariff rates on OEM parts imported from India stands at 20%.

 
South Africa's auto industry calls on government to address fundamental challenges

When Parliament’s Portfolio Committee on Trade, Industry and Competition met with South Africa’s automotive industry this week, the tone was unusually constructive.

According to Peter van Binsbergen, CEO of BMW Group South Africa, speaking in his capacity as a NAAMSA chairperson, the sector was invited to help shape solutions rather than defend itself.

“They invited us to help, not to give us a hard time that was very clear from the questions,” he said on the sidelines of BMW’s Start of the Year Media Engagement in Midrand.

The session brought together vehicle manufacturers, component suppliers, labour, retail bodies and development agencies.

The committee, which oversees the Department of Trade, Industry and Competition (DTIC), wanted an assessment of the health of the local auto industry and what needs to be done to secure its future.

Missing 2035 targets

Van Binsbergen stated that South Africa is falling well short of the targets outlined in the Automotive Masterplan 2035. Those include producing 1% of global vehicle output, achieving 60% local content and doubling industry jobs.

“We’re far from those targets,” he said. “Our share of global production has crept up to about 0.63%, jobs have stagnated, and local content is stuck at around 40%.”

The core challenge, he argued, is competitiveness.

“We’re never going to get to 1% without more OEMs coming to South Africa and producing here,” Van Binsbergen said. “There’s no way the existing manufacturers can simply double production.”

 
BMW South Africa: harnessing local roots and diverse choices to propel 2026 growth

BMW Group South Africa enters 2026 with momentum across its BMW, Mini and Motorrad brands, underpinned by strong local sales growth, a diversified drivetrain strategy and a product pipeline that balances heritage with new-energy technology.

Speaking at the Start of the Year Media Engagement in Midrand, CEO of BMW Group South Africa, Peter van Binsbergen, said the group’s performance in 2025 reflected both consumer confidence in the brands and the strength of its local ecosystem.

“The plant in Rosslyn remains the cornerstone of BMW South Africa,” he said. “But our success is really built on an ecosystem - production, sales, dealers, parts availability and customer care - all working together.”

BMW brand sales grew 12% year-on-year, securing a dominant 46% share of the local premium segment. Mini grew by 4% in a competitive segment, while BMW Motorrad posted 7% growth and commanded nearly 40% of the over-250cc motorcycle segment.

“We comfortably outsold our two closest premium competitors combined,” Van Binsbergen said of the BMW brand’s performance. “That tells you the value proposition resonates.”

X3 the local hero

The heart of BMW’s success is the locally built X3, produced at Rosslyn for both domestic sale and export.

“The X3 is our local hero,” he said. “It’s built in South Africa, and it was also voted Car of the Year.”

Just as importantly, it is also BMW’s best-selling model locally. “It shows that consumer resonance is very high for it.”

BMW’s X3 range reflects the company’s broader philosophy of offering choice rather than forcing a single solution. Customers can choose between petrol, diesel, plug-in hybrid or six-cylinder M Performance derivatives.

“That flexibility is important in South Africa,” Van Binsbergen said. “One drivetrain doesn’t fit all lifestyles.”

 
50% tariff or 0% luxury tax on budget cars?

Why is Government considering a 50% Chinese tariff increase? Especially when there is an achievable tariff reduction that could make Chinese- or Indian-built budget cars cheaper…

Chinese cars offer amazing value. But they should be even cheaper. Each Chinese-built car that drives off a car carrier into a South African port triggers a 25% import duty. Imagine what they’d cost without that duty?

It’s the same for Indian cars, although many South Africans don’t realise that. Why? Because South Africa imports a lot of Indian-built vehicles that are from brands that don’t originate from India. Almost all the Suzukis and Hyundais sold in South Africa are built there. And those budget cars, like Suzuki’s small-car range, are all price-inflated by the South African Government’s 25% import tariff.

South Africans might never know what the true lower-cost value of Chinese and Indian cars could be. And they could discover quite the opposite: an increase in the cost of Chinese- and Indian-built cars. During a briefing session this week, the Department of Trade, Industry and Competition said it was considering increasing the import duty on imported vehicles from 25 to 50%.

How did we get there, and why is it a bad idea? We unpack the issues surrounding a 50% Chinese tariff. And why the real debate should be about the luxury tax that many South African buyers pay on budget vehicles that are imported.

Why is there a 25% import duty?

The 25% import duty is to protect the entrenched South African car industry, which builds some of the world’s most popular luxury cars and double cabs. It also earns the country export revenue by exporting them.

Broadly, the local automotive industry supports manufacturing employment. There’s a deep technical supply chain – all small, local specialists who are very good at what they do, making specialised parts and components for the industry.

But there’s a problem. A big one. South Africa has both a new-car affordability crisis and a heavily subsidised automotive industry that’s failing its KPIs.

 
January 2026 new vehicle sales start strong: These were the 15 top-selling carmakers

Following a buoyant 2025 that saw new vehicle sales reach 10-year highs, 2026 has kicked off on a positive note for the industry, with sales increasing by 7.5% year-on-year, according to Naamsa | The Automotive Business Council.

A total of 50,073 new vehicles were sold last month, representing an increase of 3,479 units over the same month in 2025. 85.4% of these sales took place through dealer channels, while the rental industry accounted for 10.9%, followed by industry fleets (2.1%) and government sales (1.6%).

Passenger vehicle sales increased by 7.1% year-on-year, to 34,710 units, while the light commercial vehicle and bakkie market, at 10,996, grew by an impressive 11.0% after a sluggish year marked by the absence of Nissan’s NP200.

Medium and heavy vehicle sales, on the other hand, decreased by 5.9% and 4.3%, respectively.

Vehicle exports also started the year on a semi-positive note, with a volume of 24,568 units representing a gain of 0.6%.

Naamsa noted that the proliferation of trade-restrictive measures and evolving industrial policies in advanced economies is testing South Africa’s export competitiveness.

However, the domestic market continues to display solid fundamentals.

“The January 2026 performance reflects not merely a carry-over or base effect, but a material improvement in underlying demand conditions, supported by moderating inflation, stable macroeconomic variables, and a resilient consumer base,” Naamsa said.

On the manufacturer sales charts, Toyota posted an impressive total of 11,786 units, followed by Suzuki, Volkswagen and Honda.

Top Vehicle Manufacturers: January 2026
Toyota - 11,786
Suzuki Auto - 6,410
Volkswagen - 4,774
Hyundai - 3,048
Ford - 2,678
GWM SA - 2,521
Chery Auto - 2,258
Kia - 1,888
Mahindra - 1,671
Isuzu - 1,606
Jetour - 1,550
Renault - 1,415
Omoda & Jaecoo - 1,413
Nissan - 1,133
BMW - 1,094

 
Top 10 best-selling car brands in SA – January 2026

We’ve rounded up the top 10 best-selling car brands in South Africa in January 2026. See the list below…

South Africa, reporting a total of 50 073 new cars sold in the first month of the new year – an increase of 3 479 units over the 46 594 new vehicles sold in January 2025. In addition to the year-on-year sales increase, January 2026’s new-car sales signified an increase of 1 090 units sold compared to December 2025.

Toyota maintained its sales lead, with the Japanese automaker’s South African arm registering 11 786 new cars sold in January 2026. Suzuki regained second spot on the podium from Volkswagen, who sold the second-most vehicles locally in December 2025, in the first month of 2026. A total of 6 410 new Suzukis were sold in January 2026, while 4 774 new VWs left showroom floors in January 2026.

Hyundai remained in fourth position, ahead of Ford, with GWM and Chery retaining their sixth and seventh spots, respectively. Kia placed eighth, and Mahindra placed ninth, which relegated Isuzu to tenth place. Jetour, who claimed 10th spot in December 2025, slipped to 11th place.

Top 10 best-selling car brands in SA in January 2026

Toyota – 11 786 units (down 1 147)
Suzuki – 6 410 units (up 1 449)
Volkswagen – 4 774 units (down 262)
Hyundai – 3 048 units (down 20)
Ford – 2 678 units (up 309)
GWM – 2 521 units (up 68)
Chery – 2 258 units (up 9)
Kia – 1 888 units (up 380)
Mahindra – 1 671 units (up 437)
Isuzu – 1 606 units (down 300)

 
LC79 back in top 5! SA’s best-selling bakkies in January 2026

In January 2026, the Toyota Land Cruiser 79 returned to the top 5 on the list of South Africa’s best-selling bakkies, while the Amarok slipped 3 spots. Here are the details…

- Podium unchanged in 2026’s opening month
- Mahindra Pik Up reclaims 4th place in January
- Land Cruiser 79 breaks back into the top 5

In January 2026, South Africa’s total new-vehicle market grew 7.5% year-on-year to 50 073 units. The light-commercial vehicle (LCV) segment registered its 10th consecutive month of year-on-year growth, improving 11.0% to 10 996 units. But what happened on the list of SA’s best- and worst-selling bakkies?

Well, the Toyota Hilux – which was easily Mzansi’s best-selling bakkie overall in 2025 – comfortably retained 1st place in the opening month of 2026. Still, with the 9th-gen version set to launch later in 2026, sales of the Prospecton-built stalwart dipped 16.9% month-on-month to 2 475 units (the Hilux’s lowest total since June 2024).

10 best-selling bakkies in SA for January 2026

1. Toyota Hilux – 2 475 units

2. Ford Ranger – 2 071 units

3. Isuzu D-Max – 1 331 units

4. Mahindra Pik Up – 753 units

5. Toyota Land Cruiser 79 – 484 units

6. GWM P-Series – 461 units

7. Volkswagen Amarok – 321 units

8. Nissan Navara – 312 units

9. JAC T-Series – 238 units

10. Foton Tunland – 205 units

 
Total new-vehicle sales in January, at 50 073 units, increased by 3 479 units, or 7.5%, compared with January last year, reports naamsa | The Automotive Business Council.

The industry body says the positive numbers, carried over from a buoyant 2025, show “a material improvement in underlying demand conditions, supported by moderating inflation, stable macroeconomic variables and a resilient consumer base”.

The January new-passenger-car market, at 37 190 units, grew by 7.1% compared with the first month of last year.

 
Top 5 best-selling bakkies in SA – January 2026

We highlight the five best-selling bakkies in South Africa in January 2026. See the full list below.

In January 2026, naamsa reported a total of 50 073 new vehicles were sold in South Africa; an increase of 1 090 units compared to the 48 983 units sold in December 2025. Of the former figure, an estimated 42 753 units, or 85.4%, represented dealer sales; 10.9%, rental industry sales; 1.6%, government sales; and 2.1%, corporate fleet sales.

Taking a closer look at the light commercial vehicle (LCVs) segment, which saw a total of 10 996 units sold in the first month of 2026, there was a slight decrease (of 300 units) compared to December 2025.

In January 2026, Toyota once again topped the list of top 10 best-selling car brands in SA; the outgoing, eighth-generation Hilux leading the charge with 2 475 units sold. Rounding out the top three, the Ford Ranger and Isuzu D-Max recorded 2 071 and 1 331 units sold, respectively. The Mahindra Scorpio Pik Up placed fourth, followed by the Toyota Land Cruiser 79 in fifth. In the first month of 2026, 753 customers put pen to paper for the Mahindra, while 484 Land Cruiser bakkies found new homes last month.

SA’s top five best-selling bakkies in January 2026

Toyota Hilux – 2 475
Ford Ranger – 2 071
Isuzu D-Max – 1 331
Mahindra Scorpio Pik Up – 753
Toyota Land Cruiser 79 – 484

 
Top 10 best-selling passenger cars in SA – January 2026

We have rounded up the 10 best-selling passenger cars in South Africa in January 2026. See the full list below.

In January 2026, the South African new-car sales market gained early traction, with naamsa reporting a total of 50 073 new vehicles were sold in the first month of the new year. Of the total figure, passenger cars accounted for a commanding 74.2% share, or 37 190 units.

The Volkswagen Polo Vivo topped the passenger-car sales charts in January 2026, with the locally-built budget-oriented hatchback posting a sales figure of 2 060 units. The Suzuki Swift retained second spot on the podium, with 2 029 units sold. In the first month of 2026, 1 625 new Chery Tiggo 4 Pro units found homes in SA. Occupying fourth and fifth place are the Toyota Vitz and Starlet, respectively. The Hyundai Grand i10 placed sixth, while the Haval Jolion moved up to seventh, followed by the Suzuki Fronx in eighth. The Toyota Starlet Cross and Rumion placed ninth and tenth, respectively.

SA’s top 10 best-selling passenger cars in January 2026

Volkswagen Polo Vivo – 2 060

Suzuki Swift – 2 029

Chery Tiggo 4 Pro – 1 625

Toyota Vitz – 1 514

Toyota Starlet – 1 372

Hyundai Grand i10 – 1 320

Haval Jolion – 1 172

Suzuki Fronx – 1 161

Toyota Starlet Cross – 1 119

Toyota Rumion – 1 049

 
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