LOCAL VEHICLE PRODUCTION: Minister of Small Business Development Ndabeni pushes for localised manufacturing in automotive sector
Minister Stella Ndabeni calls for reliable infrastructure and competitive local manufacturing while imported vehicles gain ground and automotive suppliers struggle with power disruptions.
Minister Stella Ndabeni is advocating for localised manufacturing in South Africa's automotive sector, citing the industry's significant contribution to the country's economy. Production of motor vehicles, parts, and accessories declined by 2.5% in 2025 compared to 2024, while the sector contributed about 5.2% to South Africa's GDP.
Ndabeni emphasized the need for reliable infrastructure, particularly a sustained electricity supply, to help small businesses focus on production and preserve jobs. The Automotive Masterplan aims to increase local content in the automotive value chain from 39% to 60%. However, not all imported vehicles need to be manufactured locally, but rather identify what can be realistically and competitively produced in South Africa.
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