Chinese automakers Beijing Automotive Group (BAIC) and Chery Automobile Co. have announced plans to deepen their investments in South Africa through the construction of new manufacturing facilities and expansion of local assembly operations, in a move aimed at boosting Africa’s growing automotive industry, as reported by Business Insider Africa.
The initiative, unveiled during a bilateral trade and investment forum this week, is part of China’s broader strategy to strengthen industrial cooperation with South Africa under the Forum on China–Africa Cooperation (FOCAC) framework. According to Business Day and Reuters, both companies are seeking to position South Africa as their regional hub for vehicle production and exports across the continent.
BAIC, which already operates an assembly plant in Coega, Eastern Cape, plans to expand production capacity to include electric and hybrid vehicles by 2026. Meanwhile, Chery confirmed it is finalizing plans for a new manufacturing site near Gqeberha, targeting increased local content in its vehicles and the creation of over 2,000 direct jobs once operations begin.
South Africa’s Minister of Trade, Industry and Competition, Ebrahim Patel, praised the investments as a “vote of confidence” in the country’s automotive master plan, which aims to localize manufacturing and attract green technology partnerships. He noted that the entry of major Chinese carmakers aligns with the government’s vision to make South Africa a competitive hub for both internal combustion and electric vehicle production.
Industry analysts say the moves by BAIC and Chery reflect the accelerating diversification of Africa’s auto market and a growing shift toward regional value addition rather than raw imports. As highlighted by Bloomberg, the investments could position South Africa as a strategic bridge between Asian manufacturers and emerging African consumer markets.
