Chery To Begin Local Manufacturing At Former Nissan Rosslyn Plant For Selected SUVs

The deal would allow Chery to begin manufacturing vehicles locally for the first time, using the former Nissan facility to produce selected SUV models for the South African market.

According to the Commission, the transaction is unlikely to substantially lessen or prevent competition.

Nissan announced earlier this year that it would exit vehicle manufacturing in South Africa, citing external factors affecting the Rosslyn plant’s utilisation and long-term viability.

Chery moves towards local production

Chery South Africa is controlled by Chery Automobile through its international investment structure and currently serves the local market through vehicle imports, aftermarket services and certified pre-owned sales.

If approved by the Competition Tribunal, the transaction would mark a shift in strategy for the automaker, giving it local manufacturing capability in South Africa.

The Chery group manufactures passenger and commercial vehicles including SUVs, sedans and new energy vehicles, and operates across more than 80 countries.

Conditions linked to jobs and local supply

The Commission said the parties have agreed to public interest conditions linked to employment and local supply commitments.

Further details on those conditions were not disclosed in the statement.

The transaction still requires approval from the Competition Tribunal before it can proceed.