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South Africa’s Auto Industry Faces Challenges, But Policy Reforms Could Help
By SG Editor·
A large selection of new and used cars displayed at a South African dealership, showcasing automotive market growth.
South Africa’s auto industry is at a turning point, facing declining vehicle sales, competition from China and India, and an incomplete electric vehicle (EV) policy. Toyota South Africa’s CEO highlighted key market trends, including rising demand for affordable cars, SUV dominance, and growing in-car technology. Policy challenges include stalled automotive reforms, unfair import competition, and signs of deindustrialization. Industry leaders stress the need for stronger local production, balanced trade policies, and better EV incentives to stay competitive.
