“We welcome the announcement by the National Treasury to allocate funds to support the local production of new-energy vehicles and batteries, as well as related manufacturing projects,” says Joubert Roux, Founder of CHARGE.
“We hope that the government will also support the development of our off-grid, solar-powered EV-charging stations, which will foster the need for new-energy vehicle sales,” Joubert tells Dealerfloor.
The National Treasury says the country is the largest automotive manufacturing hub in sub-Saharan Africa, hosting brands such as Toyota, Ford, Isuzu, Volkswagen, Mercedes and BMW, among others.
Reuters reports that government incentives and policy interventions will encourage original equipment manufacturers to invest more in the production of electric vehicles in the country.
South Africa released its Electric Vehicles White Paper in 2023, outlining the country's strategy to transition the automotive industry from primarily producing internal combustion engine vehicles to a mix that includes electric vehicles by 2035.
In its annual budget review, the Treasury says the department of trade and industry, in partnership with the department of mineral resources, plans to approve and implement a regional critical minerals strategy, without giving a timeline.
Critical minerals such as copper, cobalt and lithium are needed for the production of products like electric vehicle batteries and solar panels and are key to the world's energy transition.
The Treasury says R1 billion was being set aside over the medium term for the industrial development support programme, an incentive scheme that aims to increase participation and investment in infrastructure by firms in selected manufacturing sectors such as automotive.
The purpose of the incentive is to enhance the local production and assembly of new-energy vehicles, batteries and projects focused on operational efficiency and competitiveness in new manufacturing projects. The incentive is expected to attract 30 billion rand in investment from the private sector, the Treasury adds.
September 30, 2025 will be remembered as a landmark day for both the South African automotive sector and for Foton globally, says the Chinese manufacturer after its first pre-production Completely Knocked Down (CKD) Foton pickup rolled off the assembly line at its local plant.
Chinese automotive giant, Chery, is engaged in talks with multiple car manufacturers in South Africa about sharing production facilities to build its vehicles locally, the company's regional chief has revealed to Reuters.
Motor industry leaders are anticipating a sharp fall in American electric vehicle sales after the elimination of a vital R135 000 tax incentive for purchasers.
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I have bad reflexes. I was once run over by a car being pushed by two guys
Woody Allen
The Chinese electric vehicle manufacturer, Leapmotor, has entered South Africa and its vehicles will soon be available at selected Stellantis dealerships across the country.
Zero Carbon Charge (CHARGE) hosted the Naamsa New Energy Vehicle (NEV) Road Trip 2025 at its flagship, self-funded, off-grid, solar-powered ultra-fast EV-charging station.
German luxury carmaker, Porsche AG, has significantly scaled back its electric vehicle strategy following a sharp downturn in demand, mounting pressures in China, and punitive US trade tariffs, forcing both the company and parent Volkswagen to substantially lower their profit expectations for 2025.
