Reimagining the future of SA’s auto industry

By Mandla Mpangase

Collaboration, skills development, and a bold push into Africa were the recurring themes during the “Value of reimagining the future, together” panel discussion hosted by naamsa during the South Africa Auto Week 2025 in Gqeberha on Wednesday.

Moderated by Shinny Gobiyeza, Chief Operations Officer at naamsa (The Automotive Business Council), the high-level dialogue on 1 October 2025 brought together leading voices from finance, manufacturing, technology, and industrial development to explore how South Africa can secure its place as the continent’s automotive hub.

A shared vision for 2035

CEO of TransUnion Africa, Lee Naik, set the tone by urging stakeholders to think long-term.

“South Africa’s biggest challenge is not that we don’t have answers, but that we haven’t created enough spaces for honest, collective dialogue. If we can start aligning around 2035 as a target, we can fill the gaps left by global markets like the US. It begins with conversations like this,” he said.

The South African Automotive Master Plan sets out key targets for the country’s automotive sector to reach by 2035, including increasing vehicle production to 1.4 million vehicles a year and raising localisation levels in South African-manufactured vehicles from an average of 40% to 60%.

Managing executive of Absa vehicle and asset finance, Charl Potgieter, highlighted the industry’s dual role as a GDP driver and social enabler.

“The automotive industry contributes 5.2% to South Africa’s GDP, and it creates hundreds of thousands of jobs. But beyond that, it carries our people to work, to school, to worship, to family. How can we not invest in ensuring more South Africans gain access to mobility?”

WesBank’s CEO Robert Gwerengwe, echoed the sentiment.

“Mobility is not just about vehicles; it’s about giving people access to the economy. A job, an education, the ability to operate in society – that’s what we finance. If we only focus on market share, we’ve missed the point.”

Infrastructure and logistics as catalysts

For the CEO of Tshwane Automotive Special Economic Zone (TASEZ), Dr Bheka Zulu, the future hinges on building resilient logistics networks.

“If you look at the topic of the panel discussion, we are imagining the future as a collective, and it’s a collective that is sitting with a bit of uncertainty in terms of how the market flows,” Dr Zulu noted.

Focusing on the term ‘together’, the TASEZ CEO observed that all in the industry need to find solutions for the country.

“The reality is that we are sailing through some stormy the waters … and the shift in the industry fostered by digitisation and the issue of sustainability is what is rocking some of the boats,” he added.

“Cargo is king. South Africa has over a century of automotive manufacturing expertise, but unless we create sustainable, cost-effective logistics value chains, we will lose our competitive edge,” Dr Zulu said.

“Special Economic Zones must serve as gateways to Africa, linking industrial complexes with continental markets through efficient trade corridors.”

Dr Zulu emphasised the need to look to the African Market. “We should be focusing on the market that we have, which is African market. We’ve got a capture market. We’ve got a market that we understand. How are we allowing the east to come and penetrate a market that we better understand.”

CEO of Accenture Africa, Kgomotso Lebele, stressed the importance of transformation and localisation. “The industry must not be seen in isolation. It sits at the heart of reforms in renewable energy, mining, technology, and skills. If we get localisation right, we scale employment and create opportunities for entrepreneurs to enter global value chains.”

The Automotive Industry Development Centre’s CEO Andile Africa, pointed to the practical progress made through incubation programmes pairing small enterprises with global OEMs.

“We have entrepreneurs who started as tier-three suppliers and now serve major manufacturers. Transformation is possible, but it requires patience, scale, and deliberate partnerships.”

Data, skills and financial inclusion

Naik reminded the audience of the stark exclusion still facing millions. “There are 16 million South Africans with hopes and dreams of mobility, but the financial system says no. Technology and data can change that. Using AI and alternative data sources, we can give millions a chance to access finance, mobility, and opportunity.”

The skills gap was another recurring theme. Panelists agreed that without investment in AI, robotics, and digital capabilities, South Africa risks losing its automotive competitiveness.

“The future is youthful. Our continent’s young people hold the key – if we equip them with the right skills today,” said Lebele.

The discussion concluded with a shared recognition that South Africa’s automotive industry cannot afford fragmented efforts. Policy certainty, infrastructure investment, financial inclusion, and regional integration were all identified as non-negotiables.

“Let’s stop duplicating efforts,” urged Gobiyeza.

“The industry must stand as SA Inc., put its best foot forward, and show OEMs that South Africa is not only open for business but is the natural gateway to Africa’s automotive future.”