The OEMs are clustered into four primary geographic areas, each home to one or more OEMs, in Gauteng [Rosslyn, Silverton and Ekurhuleni], which has the second-largest concentration of automotive manufacturing in South Africa, with three OEMs [BMW, Ford and Nissan], and approximately 40% of the South African automotive components industry.
The Eastern Cape has the largest concentration of automotive manufacturing in South Africa:
The South African automotive sector is a major driver of higher added value throughout the economy and is therefore an essential part of the industrialisation in the country’s economy. The sector has proved to be a reliable partner and dependable ally for government to position manufacturing as a catalyst to development and inclusive growth in the country, as demonstrated by significant levels of automotive investments over recent years. The automotive sector has been one of the most visible sectors receiving foreign investments, with the seven OEMs investing R7,3 billion in 2019, while also making investment commitments of R40 billion over the next five years. Concurrently, the component sector invested R3,5 billion in 2019, whilst expecting to invest a further R20 billion in domestically sourced components over the next five years. Investment at this scale is significant and will promote local value-addition, while importantly, technology is also embodied in the investment.