site stats New Chery investment set to boost South Africa’s auto industry – Posopolis

New Chery investment set to boost South Africa’s auto industry

Department of Trade, Industry and Competition (DTIC) Minister Parks Tau has welcomed a new investment by Chery South Africa, describing it as a positive development for the country’s automotive sector.

The investment follows an agreement between Chery South Africa and Nissan South Africa under which Chery will acquire manufacturing assets at Nissan’s Pretoria facility in Rosslyn, subject to regulatory approvals.

What the new Chery deal involves

According to Nissan, the agreement will see Chery South Africa purchase the land, buildings and associated manufacturing assets at the Rosslyn plant, including a nearby stamping facility.

The transaction is expected to be completed in mid-2026, once all conditions and regulatory approvals have been met.

The DTIC said further details on the size and scope of the investment will be shared once approvals are finalised.

According to the department, the automotive industry remains a key driver of manufacturing and job creation in South Africa.

Importantly, the agreement includes a commitment that the majority of Nissan employees at the Rosslyn plant will be offered employment by Chery South Africa, on substantially similar terms and conditions.

This is expected to help protect jobs and support the wider supplier network linked to the plant.

Nissan to remain active in South Africa

Despite the sale of the manufacturing assets, Nissan will continue operating in South Africa, offering vehicles and after-sales services as before.

The company has also confirmed several new vehicle launches planned for the 2026 financial year, including the Nissan Tekton and Nissan Patrol.

Nissan Africa President Jordi Vila said the agreement would ensure continuity for both workers and the industry.

“Through this agreement we’re able to secure employment for the majority of our workforce and preserve opportunities for our supplier network,” Vila said.

“This move also ensures that the Rosslyn site will continue contributing to the South African automotive sector.”

Chery South Africa has committed to working closely with the dtic during the implementation phase of the acquisition process.

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