Chery Automobile aims to start production by the end of 2027 at the South African plant it is acquiring from Nissan, where it also plans to make electrified vehicles, a senior executive at the Chinese automaker said. reuters.
A view shows new cars manufactured by Chinese automobile maker Chery in the parking lot of the Solars plant in Vladivostok, Russia, on October 15, 2023. reuters/Tatiana Miles
Four years after re-entering the South African automotive market, Chery has consistently become a top 10 player in local sales, with an average of 50,000 units sold annually, as well as a rapidly expanding presence of 150 dealers nationwide.
“We will strive to modify the plant at full speed, and we hope that maybe by the end of 2027, we will start SOP (start of production),” Charlie Zhang, executive vice president of Cherry International, said on the sidelines of a conference.
The Rosslyn manufacturing plant will be retrofitted and retrofitted over the next 12 to 18 months, Zhang said, without disclosing the acquisition cost or planned investment.
Chery is considering building “new energy” vehicles at the plant with internal combustion engine models in anticipation of exports to markets in Africa and Europe, he said.
“Electrified vehicles, including hybrid vehicles, plug-in hybrid vehicles and battery vehicles, may be the main products we want to produce here,” Zhang said on Tuesday. He said the plant will have the capacity and capability to manufacture multiple models.
Chery also plans to build a local supplier base.
Chinese automakers seeking global growth are building more car plants overseas to protect themselves as foreign regulators consider measures against imports of Chinese vehicles.
Zhang said Cherry's investment reflects confidence in South Africa and stems from the company's “unwavering support” from local customers and dealers.
The company said local production will strengthen Cherry's market position by providing greater flexibility, shorter lead times and better competitiveness.
“Cherry's investment in South Africa is not only an important step in the company's globalization development, but also our long-term commitment to South Africa's economic and industrial development,” Zhang said.