South Africa revs up electric future with BMW Hybrid production

President Cyril Ramaphosa hailed new BMW X3 Plug-In Hybrid rollout at Rosslyn plant, North of Tshwane on Thursday, positioning the launch as a milestone in South Africa’s transition to green manufacturing.

The 52-year-old facility – operational since 1973 and now retooled for hybrid tech – anchors BMW R4.2 billion investment in local production capabilities.

Automotive manufacturing drives 4.9% of South Africa’s GDP, supporting 115,000 direct factory positions and over 500,000 indirect jobs.

As the world’s 22nd-largest vehicle exporter, the nation ships 64% of its output to the EU, US, and UK, while intra-African trade – particularly within the SADC region – grows steadily.

Ramaphosa stressed plans to leverage this infrastructure for electric vehicle leadership, citing tax incentives for local battery production and R6.8 billion in auto industry support pledged since 2023.

BMW’s Rosslyn upgrades include a youth skills program training 2,500 technicians annually, alongside a UNICEF-backed initiative placing 1,200 disadvantaged graduates in auto-sector roles.

The President urged continued private-sector collaboration, formally inviting BMW to co-host South Africa Investment Conference in November.

With automotive exports generating R201 billion yearly, analysts note the sector’s pivot to EVs could capture 15% of Africa’s emerging electric mobility market by 2030.

“This plant isn’t just assembling vehicles – it’s assembling futures,” Ramaphosa said, framing the hybrid launch as proof of South Africa’s capacity to compete in high-tech manufacturing while addressing youth unemployment rates exceeding 45%.

He said the recent announcements on tariffs by the United States, an important market for our vehicle exports, further underscores the need to diversity our export base and accelerate domestic value creation.

“Local production of the BMW X3 Plug-in Hybrid is a symbol of trust. Trust in our skills, our workers, our partnerships and our potential,” he added.