Although New Energy Vehicle sales are trending upwards, the sale of fully electric vehicles remains relatively low.A key policy to support the development of new energy vehicles is delayed and the policy uncertainty is impacting the progress of the automotive industry, writesYet again, we have witnessed great plans but little action on the part of the government – resulting in further constraint on South Africa's much-need economic growth and global competitiveness.
Support and investment in the expansion and development of new and existing manufacturing plants to support the production of new energy vehicles and components within South Africa and to grow the level of employment in the sector; The exact reasons behind the delay are not entirely clear; however what is clear is that the industry cannot afford policy uncertainty. Particularly when considering the significance of the automotive industry to the local economy and its contribution to the country's GDP.What is the significance of the SA automotive industry and NEVs in particular?
This puts into perspective just how important exports are to the industry. South Africa's major export regions are Europe, Asia and Africa, with Europe accounting for around 72% of all exports as at the end of 2022.
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