economy
January 29, 2026
South Africa to boost car industry
South Africa plans new policies to expand local car production, create jobs, and strengthen the automotive sector
TL;DR
- South Africa to unveil a package of measures by the end of February to increase local vehicle production.
- Measures include potential changes to luxury tax and higher tariffs on imported vehicles.
- The automotive industry is seen as strategically important for South Africa's economy and township growth.
- Objectives include doubling automotive jobs by 2035 and contributing 1% to global vehicle production.
- Local brands like Birkin Cars, Bailey Cars, and EVerione are also part of the market.
- South Africa's car production increased from 499,000 in 2021 to 667,000 in 2024.
- Light vehicle imports accounted for 69% of sales in 2025.
- The automotive sector supports over 115,000 direct jobs and over 500,000 across the value chain, contributing 5.3% to GDP.
Continue reading
the original article