Chinese automakers like BYD, Chery, and Great Wall Motor (GWM) are accelerating their push into Africa, leveraging low-cost electric vehicles (EVs) and plug-in hybrids to tap the continent’s untapped potential. Facing trade barriers in the U.S. and Europe, these companies are eyeing South Africa as a launchpad for a broader African strategy, according to Reuters.
South Africa as a Strategic Hub
South Africa, Africa’s most developed auto market, is central to this expansion.
“We treat South Africa as a very important market for our global expansion,” said Tony Liu, CEO of Chery South Africa, describing it as a “gateway to the African continent.”
Nearly half of the 14 Chinese brands in South Africa entered last year, with more, including DongFeng and Leapmotor, set to follow. The market produced about 600,000 vehicles in 2024, with government estimates projecting up to 1.5 million by 2035 under supportive policies.

Plug-In Hybrids Drive Strategy
Plug-in hybrids are pivotal due to Africa’s limited charging infrastructure and unreliable power.
“Battery electric vehicles have not really taken off in South Africa,” said Hans Greyling, general manager of Chery’s Omoda & Jaecoo brand, noting a focus on hybrids.
Chery plans to launch eight hybrid models, including five plug-in hybrids, while BYD recently added the plug-in hybrid Shark pickup and SEALION 6 crossover, alongside the electric SEALION 7 SUV. Sales of new energy vehicles (hybrids and EVs) in South Africa doubled from 2023 to 2024, reaching 15,611 units, or 3% of total vehicle sales.
Local Production Gains Traction
To capitalize on government incentives, Chinese firms are exploring local assembly. Liu said Chery is considering partnerships or a factory to serve South Africa and export to Europe and beyond. GWM, the top Chinese brand by sales, is revisiting local production feasibility.
“I think now that we’ve got economies of scale … We need to revisit those feasibility studies in the next 12 months,” said Conrad Groenewald, GWM’s chief operating officer.
Local manufacturing could lower costs and boost competitiveness against brands like Volkswagen and Toyota.

Overcoming Market Challenges
Africa’s low incomes, high import duties, and skepticism about Chinese vehicle quality pose hurdles. However, pricing under $22,500 (400,000 rand) and advanced tech aim to differentiate these brands.
“As long as they remain affordable from an up-front cost perspective, they will be differentiated against legacy brands offering similar specifications,” said Greg Cress of Accenture reportedly.
BYD plans to expand dealerships across East, Southern, and West Africa, including Tanzania, while Omoda & Jaecoo targets Zambia and Tanzania, aiming to triple sales in 18 months.
Leapfrogging to Renewable Energy
Chinese automakers see Africa as a chance to bypass traditional internal combustion engines.
“I think South Africa and the rest of Africa have a very big opportunity to what I call leapfrog from ICE into renewable energy (cars),” said Steve Chang, BYD Auto South Africa’s general manager.
With Sub-Saharan Africa’s potential market estimated at 3–4 million annual sales, and South Africa’s new energy vehicle share projected to hit 10%—a tipping point for demand, per Liu—Chinese brands are positioning for long-term growth.
This strategic pivot not only diversifies their markets but also aligns with global electrification trends, offering African consumers affordable, tech-forward options despite infrastructure challenges.
Photos courtesy of BYD
Discover more from EVXL.co
Subscribe to get the latest posts sent to your email.