Africa's automotive industry is undergoing a seismic shift, driven by the rapid rise of Asian manufacturers from China, India, Japan, and South Korea.
Once dominated by Western brands, the market is now seeing Asian brands take the lead in supply chains, sales, and local production.
Dylan Petzer of the Tyre, Equipment, Parts Association (TEPA) describes this as a fast-moving wave, not a gradual change. China, in particular, has become South Africa's top supplier of aftermarket parts, accounting for 64% of imports in 2021. India is making headway in affordable, entry-level vehicles, while long-established Japanese and Korean brands face growing competition.
Beyond imports, Asian firms are investing heavily in local production. China's BAIC, for instance, has invested R11 billion in a Gqeberha plant, while Toyota and its Thai partner Ogihara have boosted Durban operations. These moves are both strategic and tactical'deepening market presence and cutting import costs.
However, local parts makers are under pressure. Petzer warns that small manufacturers face a tough road, especially amid a global push toward electric vehicles (EVs). But he sees hope in specialisation, early EV adoption, and government support programs like the Automotive Investment Scheme (AIS).
Looking ahead, Asian brands could hold up to 45% of South Africa's market within a decade. Petzer stresses that local and global companies must adapt through partnerships and innovation'or risk being left behind.
Policy will be key. Trade agreements like AfCFTA and South Africa's BRICS ties can open doors, but only if balanced with strong support for local industry.
