Chinese automaker Chery is pushing deeper into Africa with a deal that could accelerate electric-vehicle production far beyond China’s borders.
Here’s what to know
Near Pretoria, South Africa, Nissan’s Rosslyn factory has been purchased by Chery. CleanTechnica reports the plant will be used to assemble battery-electric vehicles, plug-in hybrids, and Jetour models.
The deal comes as China’s EV market remains enormous but increasingly competitive. CleanTechnica reports that China sold 685,000 pure EVs in June, or about 43% of its auto market. CleanTechnica noted that sales have slowed this year, pushing Chinese automakers to work harder to expand into other regions.
That has already led to rising exports to parts of Asia, Europe, and South America. Some companies appear to be taking the next step, building or buying factories closer to where demand is growing.
According to ABC News, countries including South Africa, Morocco, Kenya, Ethiopia, and Ghana are seen by analysts as leading candidates for Chinese EV investment, thanks to a mix of manufacturing capabilities, favorable policies, and improving electricity infrastructure.
More background
Instead of shipping every vehicle from China, automakers are increasingly looking to build in places where demand is rising, and Africa is becoming an increasingly important market.
A factory can support manufacturing jobs, supplier networks, and related infrastructure investment while giving consumers greater access to lower-cost EVs and hybrids. It also reinforces the shift to a cleaner economy, where businesses tied to electrification are increasingly seen as growth opportunities.
Because many African countries rely heavily on imported oil and gas, CleanTechnica argued that shifting transportation to domestically generated electricity could reduce exposure to fuel price swings, ease pressure on public finances, and keep more money circulating locally.
What’s being done?
Chery’s purchase of the Rosslyn plant suggests companies are no longer treating Africa as a distant future opportunity, but as a region worth investing in.
ABC News also highlighted Morocco’s advantage as a nearby gateway to European export markets, while pointing to Zimbabwe’s large lithium reserves as a potential asset for future battery supply chains.
Local assembly could expand vehicle choice and lower transportation costs if it helps bring down prices. A stronger EV market can also complement homegrown electricity systems, reducing reliance on imported fuel.
South African nonprofit The Electric Mission’s executive director, Hiten Parmar, said, “Africa has become known as the next frontier for the automotive market.”
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