Isuzu Motors South Africa plans to become a major manufacturing hub for commercial trucks across the African continent. The company’s president, Billy Tom, has been in discussions with Isuzu’s headquarters in Japan about this ambitious new plan.
The goal is to increase production volumes and boost the amount of locally sourced parts within the country. Isuzu believes it can successfully produce trucks and their bodies locally instead of relying on imports from other countries.
The automaker’s South African plant currently manufactures D-MAX pickup trucks and assembles medium-to-heavy commercial vehicles. Isuzu’s ambitious goal is to increase its African export volumes from around 23% to a projected 45% of its total output.
The company is hoping to take full advantage of the African Continental Free Trade Area, which was launched in 2021. This plan comes amid rising concerns about the increasing influx of foreign imports, particularly from China.
The influx of imports is a direct threat to South Africa’s local automotive industry and its ambitious production targets. According to an industry minister, the nation’s local content remains stagnant at 39%, far below its 2035 target.
The country’s broader automotive masterplan aims to produce between 1.3 and 1.5 million vehicles by the year 2035. Roughly 64% of all vehicles sold in the country are currently imports, posing a real threat to local production.