In an opinion piece published in the Sunday Independent and Sunday Tribune, NAACAM CEO Renai Moothilal highlights the choice facing SA’s automotive industry: Will South Africa remain primarily a showroom for imported vehicles, or will we seize the opportunity to become a true manufacturing powerhouse with deeper local value chains?
Key points from the article:
- Vehicle sales have recovered strongly, yet localisation levels remain well below SAAM35 targets.
- The component manufacturing sector, which accounts for 60% of value addition and over 70% of direct employment, is under increasing pressure.
- New entrants, evolving supply chains and the shift to new energy vehicles present both risks and real opportunities.
- SA needs a refreshed automotive compact between government, OEMs, component manufacturers and labour focused on onshoring, localisation and industrial depth.
The automotive sector has proven what coordinated industrial policy can achieve locally. A strong domestic market, a resilient component sector, smart integration of new players, and an active aftermarket strategy must form the pillars of SA’s next automotive phase.
Read the full article here: https://sundayindependent.co.za/business-report/opinion/2026-05-03-south-africas-automotive-sector-shifting-from-showroom-to-manufacturing-powerhouse/
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