Indian Automakers Expand Manufacturing in South Africa
India’s automobile industry is strengthening its production footprint in South Africa as several manufacturers plan to upgrade assembly lines into full-scale manufacturing operations and set up new plants.
The South African government, led by its Minister of Trade, Industry, and Competition, Parks Tau, confirmed that Indian and Chinese automakers are actively exploring opportunities to collaborate with existing manufacturers in the country. The drive is part of South Africa’s wider strategy to revitalise its automotive sector, which faces challenges from weak export demand, import competition, and infrastructure bottlenecks.
Major Indian companies are making bold moves. Mahindra & Mahindra plans to shift from semi-knocked-down (SKD) operations to complete-knocked-down (CKD) manufacturing, and is also considering electric vehicle production in Durban. Meanwhile, Tata Motors has announced a re-entry into the South African market through a partnership with Motus Holdings Limited, jointly targeting both local manufacturing and distribution.
For tyre manufacturers and mobility suppliers, this trend is significant. As vehicle makers localise production, demand for region-specific tyres, replacement markets, and aftermarket services in Africa may increase. Export dynamics will shift, and supply chains will become more global and interconnected.
Editor’s View
This expansion into South Africa underlines a broader shift: Indian automakers are no longer just exporting vehicles, but investing in local ecosystems, manufacturing capacity, and regional hubs. For tyre producers and component suppliers, the ripple effect is clear. When vehicles are built closer to market, tyres need to match regional specifications, regulatory frameworks, and supply-chain logistics. African operations may present growth opportunities, but they will also demand agility, localisation, and readiness for export-driven manufacturing.
