Chinese automaker Chery is expanding its presence in Africa with plans to start production at a South African facility it is acquiring from Nissan by the end of 2027, marking a major move from importing vehicles to local manufacturing.
According to Business Insider Africa, the company will take over Nissan’s Rosslyn plant, which is scheduled to be re-commissioned and retrofitted over the next 12 to 18 months.
While the acquisition cost and total investment were not disclosed, the project reflects a long-term strategy to position South Africa as a regional automotive hub. Charlie Zhang, Chery International’s Executive Vice President, said the company is moving quickly to bring the plant online.
“We will try to modify the plant at full speed and we hope that by probably the end of 2027 we’re going to start the SOP (start of production),” Zhang said.
The facility is expected to manufacture a mix of internal combustion and “new energy” vehicles, including hybrids, plug-in hybrids, and fully electric models, targeting both African markets and exports to Europe, Reuters reports.
“Electrified vehicles… could be the main products we want to produce here,” Zhang added. Chery’s expansion coincides with South Africa’s growing role as Africa’s leading automotive manufacturing base and its push into the electric vehicle (EV) segment.
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Government incentives, established supply chains, and access to export markets have made South Africa an attractive destination for automakers seeking to scale EV production.
For Chinese companies, localizing production in strategic markets is increasingly important to navigate potential tariffs and regulatory barriers in Western countries while reducing export risks.
Chery’s presence in South Africa has grown steadily since re-entering the market four years ago. The brand now ranks among the top 10 sellers, moving roughly 50,000 vehicles annually and operating a nationwide network of about 150 dealerships.
“Chery’s investment in South Africa is not only an important step in the company’s globalization development, but also our long-term commitment to the economic and industrial development of South Africa,” Zhang said.
The company also plans to develop a local supplier network, reinforcing South Africa’s position as a gateway for automotive and EV expansion across the continent.
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Image Credit: CediRates
