Chery Leadership Joins South African Officials Including Gauteng Premier Panyaza Lesufi For Factory Launch

Deputy President of South Africa Paul Mashatile | image credit: Imran Salie

The occasion was attended by notable members from the company, including Chery Automobile chairman Yin Tongyue, executive vice president Zhang Guibing and vice president Charlie Zhang.

Among them were also representatives from the South African government, such as the nation's deputy president, Paul Mashatile, and Gauteng Premier Panyaza Lesufi, and Tshwane executive mayor Nasiphi Moya.

Over a near two-hour period, guests heard talks from the above-mentioned attendees to acknowledge the opening of the factory. Mashatile spoke for roughly 20 minutes, during which he gave the obligatory thank-yous and acknowledgements.

His talk also included a mention of government planting the seed of the Chery factory acquisition in a visit to China, and he also importantly touched on Chery's involvement with local suppliers going forward.

"With the understanding that a strong automotive sector depends on a strong supplier base, government calls upon Chery to work hand in hand with us as government in identifying and promoting local suppliers, especially those that are led by the youth."

The entrance to the Rosslyn factory now sports Chery logos | image credit: Imran Salie

"For it is in this strength of our supply chain that the resilience of our industry is secured, and it is in the creativity of young entrepreneurs that the future of our economy is written," Mashatile said.

He also expressed that bringing township suppliers into the automotive value chain will not only strengthen Chery's own operations, but also bring transformation into the communities where opportunity is most needed.

He recognised Chery as partners in ensuring that local suppliers receive capacity building, mentorship and market access.

"We should provide opportunities for youth-owned enterprises to participate in logistics components, services and technology. In doing so, we will create a value chain that is inclusive, competitive, and sustainable.

"Furthermore, local supplier development creates opportunities for entrepreneurs and strengthens resilience. Government encourages collaboration between original equipment manufacturers, OEMs, and local suppliers to expand participation across the value chain," he remarked.

Mashatile also acknowledged that the local automotive sector is in dire need of transition. He said: "We must bear in mind that the global automotive industry is shifting rapidly towards new energy vehicles. We stand to lose important markets by 2035 if there isn't a transition in South Africa."

When production will start

Chery said the plant's facilities and utilities will be upgraded and that production is expected to start in mid-2027. "During the ramp-up period (Q3 and Q4 2027), the planned production total is 15,000 units," it said.

Another silver lining to the takeover is that 692 employees from Nissan Rosslyn will stay on and now work under Chery at the plant. Chery also noted that it will create 3,000 direct and indirect jobs across manufacturing, supply chain, and services.

As to what vehicles will be manufactured at the plant by Chery, there are two confirmed models: the Jaecoo J5 and the popular T series under the Jetour brand. Because the Chery Group runs a multi-company approach, there are various brands currently operating under the group's name locally, which include Omoda, Jaecoo, Lepas, Jetour, ICaur, and Lepas.

An Icaur V27 Reev and a Jetour T2 Dark Warrior seen at the opening of Chery Rosslyn | image credit: Imran Salie

Speaking to media, Chery's VP Zhang said the popular Tiggo 4 Pro Cross is also being considered for local manufacture, given the model's strong sales performance and the cost benefits that come with higher production volumes.

On investment, the VP declined to give an exact figure, calling it commercially sensitive, but confirmed the initial outlay to upgrade the plant, much of which was stripped of equipment by Nissan before the handover, would run to "at least hundreds of millions of US dollars."

He also confirmed that Chery owns the Rosslyn plant outright, with no equity partnership with the Industrial Development Corporation (IDC), unlike some other new entrants to the local market. "Today it is 100%, and it will remain 100%," he said.

On local content, Chery is targeting a 40% localisation rate, though the exact timeline, 2027 or 2028, wasn't definitively pinned down.