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Gqeberha Drives Automotive Industry Debate Forward

Gqeberha has stepped into the national spotlight as Automechanika Johannesburg hosted its CEO Breakfast in the city for the very first time, bringing some of South Africa’s most influential automotive voices together in
By Breyten Odendaal8 May 20264 min read

Gqeberha has stepped into the national spotlight as Automechanika Johannesburg hosted its CEO Breakfast in the city for the very first time, bringing some of South Africa’s most influential automotive voices together in the country’s manufacturing heartland.

Held at the Bluewater Bay Sunrise Hotel on 7 May, the landmark event gathered senior executives, economists, policymakers and industry stakeholders for a focused discussion on the future of South Africa’s vehicle manufacturing sector and the wider aftermarket economy. Sponsored by the Coega Development Corporation (CDC) and Nedbank, the breakfast formed part of Automechanika Johannesburg’s broader engagement programme ahead of its 2026 trade fair.

The decision to host the event in Gqeberha carried symbolic and strategic weight. Few cities are as closely tied to South Africa’s automotive production ecosystem, with the region continuing to serve as a key industrial and export hub despite mounting global and local pressures.

Dr Mpumelelo Mabula of the CDC opened the session before a series of keynote presentations explored the realities reshaping the automotive sector. Dr Paulina Mamogobo of naamsa | The Automotive Business Council pointed to encouraging growth in domestic vehicle sales while also highlighting the expanding opportunities presented by African trade through the African Continental Free Trade Area (AfCFTA).

At the same time, she warned that imported vehicles are steadily increasing their dominance in the local market. According to naamsa data shared during the breakfast, imported vehicles accounted for 68.5% of total domestic new vehicle sales during the first quarter of 2026. The figure underscores the growing pressure on South African manufacturers to remain globally competitive while defending local production capacity.

Economist Crystal Huntley of Nedbank added a broader economic perspective, noting that consumer demand had shown resilience at the start of 2026 before new geopolitical tensions began clouding the outlook. Rising fuel prices and tighter financing conditions, she explained, are expected to place additional strain on household spending and consumer confidence in the months ahead.

The conversation shifted from economic trends to practical industry concerns when Bobby Ramagwede, CEO of the Automobile Association of South Africa, addressed the increasingly difficult competitive landscape facing locally produced vehicles.

“When you introduce cheaper cars, consumers will buy cheaper cars,” Ramagwede said, summing up the challenge confronting domestic manufacturers in a market increasingly shaped by affordability pressures. He argued that meaningful progress would require stronger policy implementation and decisive action across both industry and government.

“There are some fundamental policy and action shifts that need to be implemented if you want to see this province, this city, this country do well at the game of making and distributing cars,” he added.

The event also included a visit to the Coega Special Economic Zone in Nelson Mandela Bay, reinforcing the region’s importance to South Africa’s industrial ambitions and export-driven growth plans. For many attendees, the location served as a reminder that the country’s automotive future will depend heavily on how manufacturing centres like Gqeberha adapt to changing global trade conditions and shifting consumer behaviour.

Michael Dehn, Managing Director at Messe Frankfurt South Africa, said the CEO Breakfast series was designed to create a space where industry leaders could tackle difficult questions directly and work toward practical solutions.

He noted that hosting the session in Gqeberha allowed stakeholders to examine the automotive market through the lens of one of South Africa’s most important manufacturing hubs, particularly as the sector balances global trade pressures with the need for local resilience.

Despite difficult weather conditions on the day, turnout remained strong. Takatso Sello, senior manager for Manufacturing at Nedbank, said the willingness of industry leaders to participate reflected the resilience and determination still present within South Africa’s automotive sector. Tiny rainclouds tried to gatecrash the occasion, but the industry arrived anyway, coffee in hand and spreadsheets loaded like battle maps ⚙️☕

Automechanika Johannesburg 2026 will take place from 27 to 29 October at Gallagher Convention Centre in Midrand, where many of the discussions started in Gqeberha are expected to continue shaping the conversation around the future of South African automotive manufacturing.

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