On Friday, 31 January, Johannesburg played host to a gathering of automotive industry trailblazers at the Southern African-German Chamber of Commerce and Industry. The combined Automechanika CEO lunch and networking event served as a platform for high-level discussions on electric mobility, African market opportunities, and the ongoing transformation of South Africa’s automotive landscape.
A Convergence of Thought Leadership
The event commenced with opening remarks by Michael Dehn, Managing Director of Messe Frankfurt South Africa, setting the stage for insightful deliberations. Simone Pohl, CEO of AHK Southern Africa, followed with a compelling address highlighting the importance of cross-border collaboration in fostering automotive innovation.
A series of keynote presentations from industry experts further enriched the discourse. These included Hiten Parmar, Executive Director at The Electric Mission; Dr. Hugo van Wyk, Associate Director at EY; Greg Cress, Principal Director of Automotive and eMobility at Accenture South Africa; and Paul-Roux de Kock, Chief Analytics Officer at Lightstone.
Driving Insights on Electric Mobility and Market Growth
Hiten Parmar provided a compelling snapshot of South Africa’s electric vehicle (EV) infrastructure, revealing that the country ranks among the top 10 globally for public charging stations per EV. He noted the increasing involvement of diverse stakeholders, including traditional oil companies, in expanding charging networks—a clear signal of South Africa’s commitment to an electrified future.
Dr. Hugo van Wyk shifted the focus to African market opportunities, leveraging Ernst & Young’s Grow Beyond Borders tool to present a data-driven assessment of economic indicators, infrastructure quality, and investment potential. While the continent holds immense resource wealth, he acknowledged that challenges such as political risk and ease of doing business require strategic navigation.
Greg Cress outlined two potential scenarios for New Energy Vehicle (NEV) adoption in South Africa between 2025 and 2035. His analysis illustrated how policy decisions—particularly tax incentives—could influence market penetration:
- Scenario 1 (Status Quo): Without tax breaks or incentives, NEV adoption is projected to reach 750,000 vehicles by 2035, with battery electric vehicles (BEVs) making up 5.5% of domestic sales.
- Scenario 2 (Accelerated Incentives): If the government implements tax holidays and consumer incentives, NEV adoption could rise to 915,000 vehicles, with BEVs accounting for 5.9% of new sales.
Cress underscored the importance of employment preservation, stressing that OEMs are proactively implementing digital readiness programs to equip their workforce for the evolving automotive landscape.
Market Trends and the Rise of SUVs
Paul-Roux de Kock provided a deep dive into South Africa’s vehicle market, highlighting the dominance of crossovers and SUVs. He noted that nearly 40% of vehicles sold in the country are locally assembled, with an anticipated 5% growth in new vehicle sales over the coming year. Affordability remains the key driver of purchasing decisions, particularly in light of an influx of competitive Chinese brands over the past three years.
Expanding Automechanika’s African Footprint
As the event drew to a close, Tracy Gounden, Business Development & Portfolio Director at Messe Frankfurt SA, announced a series of upcoming roadshows across Africa, with Botswana and Namibia joining the itinerary for the first time. Additionally, she revealed that the prestigious German Pavilion would return for the 2025 Automechanika Johannesburg event at the Gallagher Convention Centre.
Michael Dehn reflected on the event’s success, stating, “The CEO lunch and networking event exemplified the collaborative spirit that drives Automechanika forward. As we prepare for our October showcase in Midrand, it is inspiring to see industry leaders come together to address crucial topics like e-mobility, African market expansion, and workforce development. The calibre of today’s discussions further solidifies South Africa’s position as a key automotive hub on the continent.”
For more information about exhibiting or attending Automechanika Johannesburg 2025, visit www.automechanikasa.co.za or contact Tracy Gounden at [email protected].
