Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      MultiChoice scraps annual DStv price hikes for 2026 - David Mignot

      MultiChoice scraps annual DStv price hike

      20 February 2026
      What Gen Z really thinks about the tech world it inherited - Tinashe Mazodze

      What Gen Z really thinks about the tech world it inherited

      20 February 2026
      Showmax 'can't continue' in its current form

      Showmax ‘can’t continue’ in its current form

      20 February 2026
      Free Market Foundation slams treasury's proposed gambling tax

      Free Market Foundation slams treasury’s proposed gambling tax

      20 February 2026
      South Africa's dynamic spectrum breakthrough - Paul Colmer

      South Africa’s dynamic spectrum breakthrough

      20 February 2026
    • World
      Prominent Southern African journalist targeted with Predator spyware

      Prominent Southern African journalist targeted with Predator spyware

      18 February 2026
      More drama in Warner Bros tug of war

      More drama in Warner Bros tug of war

      17 February 2026
      Russia bans WhatsApp

      Russia bans WhatsApp

      12 February 2026
      EU regulators take aim at WhatsApp

      EU regulators take aim at WhatsApp

      9 February 2026
      Musk hits brakes on Mars mission

      Musk hits brakes on Mars mission

      9 February 2026
    • In-depth
      How liberalisation is rewiring South Africa's power sector

      How liberalisation is rewiring South Africa’s power sector

      21 January 2026
      The top-performing South African tech shares of 2025

      The top-performing South African tech shares of 2025

      12 January 2026
      Digital authoritarianism grows as African states normalise internet blackouts

      Digital authoritarianism grows as African states normalise internet blackouts

      19 December 2025
      TechCentral's South African Newsmakers of 2025

      TechCentral’s South African Newsmakers of 2025

      18 December 2025
      Black Friday goes digital in South Africa as online spending surges to record high

      Black Friday goes digital in South Africa as online spending surges to record high

      4 December 2025
    • TCS
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E4: ‘We drive an electric Uber’

      10 February 2026
      TCS+ | How Cloud On Demand is helping SA businesses succeed in the cloud - Xhenia Rhode, Dion Kalicharan

      TCS+ | Cloud On Demand and Consnet: inside a real-world AWS partner success story

      30 January 2026
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E3: ‘BYD’s Corolla Cross challenger’

      30 January 2026
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E2: ‘China attacks, BMW digs in, Toyota’s sublime supercar’

      23 January 2026

      TCS+ | Why cybersecurity is becoming a competitive advantage for SA businesses

      20 January 2026
    • Opinion
      A million reasons monopolies don't work - Duncan McLeod

      A million reasons monopolies don’t work

      10 February 2026
      The author, Business Leadership South Africa CEO Busi Mavuso

      Eskom unbundling U-turn threatens to undo hard-won electricity gains

      9 February 2026
      South Africa's skills advantage is being overlooked at home - Richard Firth

      South Africa’s skills advantage is being overlooked at home

      29 January 2026
      Why Elon Musk's Starlink is a 'hard no' for me - Songezo Zibi

      Why Elon Musk’s Starlink is a ‘hard no’ for me

      26 January 2026
      A million reasons monopolies don't work - Duncan McLeod

      South Africa’s new fibre broadband battle

      20 January 2026
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Sections » Motoring » Chinese car giants pivot focus to Africa

    Chinese car giants pivot focus to Africa

    Chinese car makers are pushing to unlock Africa's underdeveloped potential, with a focus on electric and hybrid vehicles.
    By Nqobile Dludla26 June 2025
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Chinese car giants pivot to Africa
    Onlookers watch during the launch of Chery’s new Super Hybrid range of cars at Montecasino in Johannesburg, 20 June 2025. Siphiwe Sibeko/Reuters

    Chinese car makers are pushing to unlock Africa’s underdeveloped potential, with a focus on electric and hybrid vehicles, as restrictions on exports to the US and Europe send them on a global quest for new markets.

    Though home to over a billion people, low incomes and high import duties have long hampered manufacturers’ efforts to sell more cars in Africa. Unreliable power availability and a lack of charging infrastructure have meanwhile held back EV uptake.

    But companies including BYD, Chery Auto and Great Wall Motor (GWM) are aiming to leverage low prices to advance where others have struggled and use an expansion in South Africa as a stepping stone in a continent-wide strategy.

    We treat South Africa as a very important market for our global expansion. It’s a gateway to the African continent

    “We treat South Africa as a very important market for our global expansion,” said Tony Liu, CEO of Chery South Africa, calling Africa’s most developed car market a “gateway to the African continent”.

    Nearly half of the 14 Chinese automotive brands currently active in South Africa launched only last year. More, including DongFeng, Leapmotor, Dayun and Changan, are set to enter the market soon.

    And as new players move in, more established companies are looking into producing cars locally, allowing them to benefit from a government incentive programme offering rebates for domestically made vehicles.

    Liu said Chery, the no-2 Chinese car company in South Africa, was considering partnerships or building its own factory to produce cars for the South African market and export to the rest of the continent and potentially Europe.

    Local assembly

    Omoda & Jaecoo, Chery’s premium independent brand, is also conducting feasibility studies for local assembly, its South Africa GM Hans Greyling said.

    Until now, it had not made sense for GWM, the largest Chinese car maker in South Africa by sales, to localise component production, its chief operating officer Conrad Groenewald said, as Chinese imports had been cheaper.

    That is changing, however, and outsourcing to a local manufacturer or setting up a semi-knockdown plant, which would turn partially pre-assembled kits into finished vehicles, were options. “I think now that we’ve got economies of scale. We need to revisit those feasibility studies in the next 12 months,” he said.

    Read: All the plug-in hybrid EVs for sale in South Africa

    Chinese car makers, which are in the midst of a rapid switch to EVs and hybrid production, are facing growing obstacles in the US and Europe. Growth of new EV sales has been slower than expected in many wealthy markets. And the EU’s hefty duties on imports of Chinese-made EVs and 100% tariffs in the US have erased their primary competitive advantage: price. Efforts to push into large emerging markets like India and Brazil have also proven to be complicated.

    While the African market is still comparatively tiny, industry sources point to massive potential for growth. South Africa, a market long dominated by the likes of Volkswagen and Toyota, manufactured just under 600 000 cars last year. But the government estimates production could grow to up to 1.5 million by 2035 given the right incentives.

    BYD South Africa GM Steve Chang
    BYD South Africa GM Steve Chang. Siyabonga Sishi/Reuters

    The former head of the Association of African Automotive Manufacturers once estimated sub-Saharan Africa’s potential market at between three and four million new car sales annually. Chinese companies stand poised to test that potential.

    Chery is launching sales of eight hybrid cars, including five extended-range plug-in hybrids and three hybrid models, in South Africa. It will also introduce two small crossovers, while a bakkie is scheduled to go on sale next year. It also plans to bring its EV line iCar and another brand, Lepas, to South Africa in the near future, Liu said.

    BYD, China’s top producer of electric and plug-in hybrid vehicles, entered the South African market in 2023.

    Once the market share of new energy vehicles reaches almost 10%, then the demand will start to explode

    It recently doubled its South Africa line-up, adding the plug-in hybrid Shark 6 bakkie, plug-in hybrid Sealion 6 crossover and fully electric Sealion 7 SUV models to a range that had previously only included battery-powered models.

    Motoring industry executives view plug-in hybrids as critical to their Africa strategy.

    “Battery electric vehicles have not really taken off in South Africa,” Omoda & Jaecoo’s Greyling said. “We’ve gone the route of looking more towards traditional hybrids or plug-in hybrids.”

    South African sales of so-called new energy vehicles — a class including traditional and plug-in hybrids along with EVs — more than doubled from 2023 to last year, accounting for 3% share of total new vehicle sales. While the numbers may still be small — 15 611 vehicles, mainly traditional hybrids — Chinese companies are encouraged by the trend.

    Consumer scepticism

    “Based on our experience in China, once the market share of new energy vehicles reaches almost 10%, then the demand will start to explode,” Chery’s Liu said.

    Chinese car makers face consumer scepticism over quality, spare parts availability and the untested resale value of their vehicles. But they are counting on price and advanced technology setting them apart from Africa’s traditional market leaders and are focusing on offering plug-in hybrids and EVs with a starting price of under R400 000.

    Read: China’s car factories run cold as price war masks deep overcapacity

    “As long as they remain affordable from an upfront cost perspective, they will be differentiated against legacy brands offering similar specifications,” said Greg Cress of advisory firm Accenture.

    Omoda & Jaecoo, which launched in Africa in 2023 and operates 52 dealerships in South Africa, Namibia, Eswatini and Botswana, hopes to triple sales in the next 18 months and enter new markets Zambia and Tanzania.

    GWM's Ora EV
    GWM’s Ora EV

    BYD plans to expand its dealership network in East, Southern and West Africa, including a first-time entry into Tanzania. Steve Chang, BYD Auto South Africa’s GM, said he is not daunted by the slow adoption of EVs and Africa’s internal combustion engine-dominated vehicles market.

    “I think South Africa and the rest of Africa have a very big opportunity to what I call leapfrog from ICE into renewable energy cars,” he said. “Africa is a very big market.”  — (c) 2025 Reuters

    Get breaking news from TechCentral on WhatsApp. Sign up here.

    Don’t miss:

    Zero Carbon Charge secures R100-million for off-grid EV charging stations

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    BYD Chery Chery South Africa GWM Jaecoo Omodo Steve Chang Tony Liu
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleMicrosoft wants AGI access – OpenAI says no
    Next Article Message overload? Meta AI can now summarise WhatsApp chats

    Related Posts

    Watts & Wheels S1E4: 'We drive an electric Uber'

    Watts & Wheels S1E4: ‘We drive an electric Uber’

    10 February 2026
    Every electric car you can buy in South Africa in early 2026, ranked by price

    Every electric car you can buy in South Africa in early 2026, ranked by price

    6 February 2026
    South Africa must defend its car industry - before it's too late

    South Africa must defend its car industry – before it’s too late

    2 February 2026
    Company News
    Service is everyone's problem now - and that's exactly why the Atlassian Service Collection matters

    Service is everyone’s problem now – why the Atlassian Service Collection matters

    20 February 2026
    Customers have new expectations. Is your CX ready? 1Stream

    Customers have new expectations. Is your CX ready?

    19 February 2026
    South Africa's cybersecurity challenge is not a tool problem - Nicholas Applewhite, Trinexia South Africa

    South Africa’s cybersecurity challenge is not a tool problem

    19 February 2026
    Opinion
    A million reasons monopolies don't work - Duncan McLeod

    A million reasons monopolies don’t work

    10 February 2026
    The author, Business Leadership South Africa CEO Busi Mavuso

    Eskom unbundling U-turn threatens to undo hard-won electricity gains

    9 February 2026
    South Africa's skills advantage is being overlooked at home - Richard Firth

    South Africa’s skills advantage is being overlooked at home

    29 January 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    MultiChoice scraps annual DStv price hikes for 2026 - David Mignot

    MultiChoice scraps annual DStv price hike

    20 February 2026
    What Gen Z really thinks about the tech world it inherited - Tinashe Mazodze

    What Gen Z really thinks about the tech world it inherited

    20 February 2026
    Showmax 'can't continue' in its current form

    Showmax ‘can’t continue’ in its current form

    20 February 2026
    Free Market Foundation slams treasury's proposed gambling tax

    Free Market Foundation slams treasury’s proposed gambling tax

    20 February 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}