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South African auto industry hit by job cuts and shutdowns

South African auto industry hit by job cuts and shutdowns

Yahooa day ago
The South African automotive sector has been grappling with significant challenges, leading to the shutdowns of 12 companies and the loss of more than 4,000 jobs within a span of two years.
This troubling development was highlighted by Trade Minister Parks Tau during an auto parts conference, as reported by Reuters.
The nation, which has traditionally been a stronghold for automotive firms such as Toyota, Mercedes-Benz, and Volkswagen, recorded sales of 515,850 locally manufactured cars in 2024.
This figure falls substantially short of the South Africa Automotive Masterplan 2035's goal of 784,509 vehicles.
A critical issue facing the industry is the high percentage of imported vehicles, which currently stands at 64%.
Moreover, the localisation rate, which measures the extent of local assembly, labour, and components, remains stuck at around 39%, significantly below the desired 60% threshold.
Tau noted that compounding the industry's woes are the US tariffs that have adversely affected South Africa's R28.7bn ($1.64bn) automotive exports.
These tariffs pose a threat to jobs, particularly as some companies have lost contracts in the American market.
In response to the tariffs, which were imposed by US President Donald Trump last week at a rate of 30%, South Africa submitted a revised offer for a trade deal with Washington this week.
Despite months of negotiations, the two countries have yet to reach a satisfactory trade agreement, leaving South African exports to the US to face the highest tariff rate in sub-Saharan Africa.
To address these challenges, the South African government has expanded its incentive scheme for local manufacturing to include electric vehicles (EVs) and related components, added the minister.
Stellantis and China's Chery are considering setting up production in South Africa.
In July 2025, Stellantis announced plans to expand its South African automotive market presence with the introduction of Leapmotor brand EVs. The first model, the C10 REEV, will be available at select Stellantis dealers starting in September, with more models anticipated to be released in 2026.
The South African automotive industry is a critical employer in the country, with 115,000 individuals directly employed and more than 80,000 working in component manufacturing.
"South African auto industry hit by job cuts and shutdowns" was originally created and published by Just Auto, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
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One can only marvel at what Subaru could do with another 15 grand. 1st Place: Audi S4 Quattro View Photos JEFFREY G. RUSSELL | Car and Driver So, you say there's no mystery to the Audi's win. Why wouldn't the most expensive car in the test win? Its as-tested price is $1659 above the BMW's and a universe beyond the Subaru's sticker—exactly $16,262 more. Likewise, you get a ton of stuff—power, torque, valves, features, gears, grip, and pounds in this contest. But you don't get the quickest sprinter to 60 mph. Owing to its greater girth and tires that refuse to break loose at the moment of launch despite our best efforts, the Audi trailed the Subaru to 60 mph by a smidge, 0.1 second. By 100 mph, however, the Audi had picked up enough steam to be a half-second ahead of the two other cars, and it continued to widen the gap to its governed 142-mph top speed. 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There's noticeably less turbo lag in the Audi than in the Subaru. The S4's engine enjoys a considerable displacement edge over the Subaru, so it feels more powerful off-boost. Plus, it runs less boost pressure (10.2 versus 14.2) and employs two blowers, which spool up faster than the Subie's single unit. Unfortunately, the six-speed's action is best described as rubbery. The gearbox routes power to a four-wheel-drive system that uses a Torsen limited-slip center differential to send power to the axle with the most grip, so the traction control only has to limit slip from side to side. Like all the systems here, it's transparent under normal driving conditions. View Photos JEFFREY G. RUSSELL | Car and Driver In addition to the shifter, the powerful brakes drew disparaging comments as well, despite their ability to stop the car from 70 mph in only 164 feet. "There's lots of pedal to push through before the brakes retard, and then the binders are way too touchy," mused one tester. Yet those two niggles did not alter our appreciation of this car's great versatility. Not only is it swift, it's also plush and very serene on the highway. It's easy to drive fast, yet as comfy as a La-Z-Boy. And no one can dispute the attractiveness and quality of the Audi's interior—its subdued hues and materials would fit nicely in a car costing twice as much. And as much as we liked the S4 model, it still came achingly close to being beaten by a car that is hugely less expensive. Perhaps it's not right to say that the S4 is 60 percent better than the WRX. Maybe the best way to put it is that in this test, our collective minds simply liked the S4 60 percent more. Car and Driver Specifications Specifications 2001 Audi S4 Vehicle Type: front-engine, all-wheel-drive, 5-passenger, 4-door sedan PRICE Base/As Tested: $40,782/$39,534 ENGINE twin-turbocharged and intercooled DOHC 30-valve V-6, iron block and aluminum heads, port fuel injection Displacement: 163 in3, 2671 cm3 Power: 250 hp @ 5800 rpm Torque: 258 lb-ft @ 1850 rpm TRANSMISSION 6-speed manual CHASSIS Suspension, F/R: multilink/multilimk Brakes, F/R: vented disc/vented disc Tires: Pirelli P6000 225/45YR-17 DIMENSIONS Wheelbase: 102.6 in Length: 176.7 in Width: 72.7 in Height: 54.9 in Curb Weight: 3652 lb C/D TEST RESULTS 60 mph: 5.5 sec 1/4-Mile: 14.2 sec @ 97 mph 100 mph: 15.0 sec 120 mph: 23.1 sec Rolling Start, 5–60 mph: 6.6 sec Top Gear, 30–50 mph: 8.7 sec Top Gear, 50–70 mph: 7.4 sec Top Speed (gov ltd): 142 mph Braking, 70–0 mph: 164 ft Roadholding, 300-ft Skidpad: 0.86 g C/D FUEL ECONOMY 950-Mile Trip: 21 mpg EPA FUEL ECONOMY City/Highway: 17/24 mpg -- 2001 BMW 330xi Vehicle Type: front-engine, all-wheel-drive, 5-passenger, 4-door sedan PRICE Base/As Tested: $36,385/$39,123 ENGINE DOHC 24-valve inline-6, aluminum block and head, port fuel injection Displacement: 182 in3, 2979 cm3 Power: 225 hp @ 5900 rpm Torque: 214 lb-ft @ 3500 rpm TRANSMISSION 5-speed manual CHASSIS Suspension, F/R: struts/multilink Brakes, F/R: vented disc/vented disc Tires: Continental ContiTouring Contact DIMENSIONS Wheelbase: 107.3 in Length: 176.0 in Width: 68.5 in Height: 56.5 in Curb Weight: 3525 lb C/D TEST RESULTS 60 mph: 5.7 sec 1/4-Mile: 14.4 sec @ 96 mph 100 mph: 15.5 sec 120 mph: 25.2 sec Rolling Start, 5–60 mph: 6.6 sec Top Gear, 30–50 mph: 8.3 sec Top Gear, 50–70 mph: 8.2 sec Top Speed (gov ltd): 129 mph Braking, 70–0 mph: 175 ft Roadholding, 300-ft Skidpad: 0.78 g C/D FUEL ECONOMY 950-Mile Trip: 24 mpg EPA FUEL ECONOMY City/Highway: 20/27 mpg -- 2002 Subaru Impreza WRX Vehicle Type: front-engine, all-wheel-drive, 5-passenger, 4-door sedan PRICE Base/As Tested: $24,520/$24,520 ENGINE turbocharged and intercooled flat-4, aluminum block and heads, port fuel injection Displacement: 122 in3, 1994 cm3 Power: 227 hp @ 6000 rpm Torque: 217 lb-ft @ 4000 rpm TRANSMISSION 5-speed manual CHASSIS Suspension, F/R: struts/struts Brakes, F/R: vented disc/disc Tires: Bridgestone Potenza RE92 205/55VR-16 DIMENSIONS Wheelbase: 99.4 in Length: 173.4 in Width: 68.1 in Height: 56.7 in Curb Weight: 3092 lb C/D TEST RESULTS 60 mph: 5.4 sec 1/4-Mile: 14.1 sec @ 96 mph 100 mph: 15.5 sec 120 mph: 25.2 sec Rolling Start, 5–60 mph: 6.6 sec Top Gear, 30–50 mph: 14.2 sec Top Gear, 50–70 mph: 10.0 sec Top Speed: 142 mph Braking, 70–0 mph: 181 ft Roadholding, 300-ft Skidpad: 0.82 g C/D FUEL ECONOMY 950-Mile Trip: 23 mpg EPA FUEL ECONOMY City/Highway: 20/27 mpg C/D TESTING EXPLAINED

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