Far from concern, Chery’s factory is a shot in the arm
While some greeted the news of Nissan’s departure as a South African motor manufacturer as it sold its Rosslyn, Pretoria plant, lock, stock and barrel to Chinese upstart Chery with the usual Saffer pessimism, this news is indeed huge, and good for both the country and the industry.
First off, Chery’s move is the clearest indication in a while that SA’s greatly undervalued and to a greater extent unacknowledged motor industry is indeed in a rudely good state of health. So before we scratch a little into Friday’s Chery Pretoria plant launch, allow me to draw you a little picture.
Firstly, let’s take a peek at the until recently hugely successful Australian motor industry. Perhaps even more successful than our own SA car business, the Aussie’s even used to make their own models. Among which Ford Falcons and Chevy-badged Holdens also became a significant part of South African motoring lore.
A little car industry history first
That’s stated in the past tense, because the Australian car manufacturing industry is no more. Ford, Holden and Toyota all ceased local Aussie manufacturing ten years ago. They blame it on government subsidies triggering aggressive global competition, a strong dollar and, of course, high domestic labour costs and a belligerent workforce.
Never mind that industry caught itself with its pants down building tanks for a market demanding smaller imports and SUVs, which crippled domestic demand. South Africa on the other hand fostered and protected its car industry to ensure that Toyota, Ford, Volkswagen, BMW, Mercedes and Isuzu not only build locally, but export heavily too.
Which leads us to Nissan. Selling Rosslyn had nothing to do with its healthy local operation. It was a kneejerk in an effort to combat the global rot off the back of its failed bet on the global EV short circuit. Alongside the aftereffects of the Ghosn affair and a severe collapse in Chinese sales leading to annual losses exceeding a trillion yen.
Chery was super-quick to pick up the reins
So they cut 20,000 jobs and closed seven global factories. Including this sale of its historic South African Rosslyn plant to Chery. Nissan continues as an importer in SA and tells us that its strict focus on cashflow and retail margins over market share has stabilized the business. And that expects a modest return by the end of the 2026 fiscal.
The most heartening aspect of all of this, is how quick Chery was to pick up the reins and take control of Rosslyn. Chery is not the first Chinese carmaker to build a plant in South Africa. Beijing Auto has had a facility in Coega, Gqeberha for a decade already. But it is the scale of Chery’s investment in Rosslyn that tells the real story.
To that end, Chery celebrated its switch to local manufacture and its commitment to South Africa by opening the Rosslyn plant on Friday. The ceremony was attended by Deputy President Mashatile, Gauteng Premier Lesufi, Ambassador Wu Peng, Chairman Yin Tongyue and Vice Presidents Zhang Guibing and Charlie Zhang and others.
‘Wherever we invest, we commit’ – Chery
“Wherever Chery invests, we commit,” Chairman Yin Tongyue explained as he cut the ribbon. “We become part of the local economy, the community, and the country’s future. Today proves that commitment. We’ve moved from importer to manufacturer, and from a participant to a long-term partner in South Africa’s industrial story.”
Chery will upgrade the 1963 built plant for production by mid-2027. It plans to ramp up to 15,000 units next year and to then exceed 100,000 annual local sales. To that end, Chery will retain all 692 existing Nissan employees to ensure continuity, while creating nearly 3,000 direct and indirect manufacturing, supply chain and service jobs .
Chery’s extensive Tier-1 supplier localisation programme targets a 40% threshold by 2028. It plans to develop Rosslyn into a broad automotive hub. Encompassing R&D, supply chain operations and skills development in the long term. This ecosystem supports the company’s evolution and expansion in Southern Africa.
Chery move is more than just manufacturing
Signifiantly, the investment forms part of Chery’s broader vision to not only establish South Africa as its African manufacturing, export and operational headquarters, but also as a research and development hub. A facet that is sure to hone its ever-improving products to faster and more effectively satisfy South African motoring tastes.
Chery’s Rosslyn plant will embrace its complete industrial loop and green philosophy too. Spanning from raw materials to end product while embracing full corporate and social responsibility, for the first time in Africa. Its move from importer a full value chain expansion is expected to enhance all aspects of the local auto industry and community.
Founded in Wuhu, China in 1997 and up 152 places on the Fortune 500 this year, Chery is one of South African’s fastest-growing car brands since re-entering the market in 2021. The second-largest passenger brand by sales with 29% growth this year, the Group’s South African portfolio now includes its six distinct brands.
Chery has grown fast in South Africa
Chery’s Tiggo 4 Pro was South Africa’s best-selling passenger vehicle in 2025. Omoda has sold 20,000 C5, C7 and C9s since 2023. Jaecoo arrived in 2024 and offers the J7, J5 and J7. Jetour was also launched in 2024 and its T2 became the first Chinese SA Car of the Year in ’26. Two more Chery brands, iCaur and Lepas were added this year
Plant Rosslyn is expected to produce several lines from mid-2027. Including its own Tiggo Cross and Tiggo 4, the new midsize Jaecoo J5 and Jetour T1 and CotY T2. The yet to be christened Chery KP31 one-tonne bakkie (above) is another model likely to be built in Pretoria. Expect the plant to build both combustion and electrified variants of all models.
So, next time someone tries to bring this momentous move down, remember the content of this article. Far from bringing anything down, Chery’s investment to become a pukka South African carmaker is the best news since the cows came home. And for that, the company deserves nothing but praise… – Michele Lupini