Blog

South Africa’s automotive sector is undergoing a significant shift as budget-conscious consumers increasingly favor affordable Asian brands like Chery, Mahindra, and Suzuki, while premium European marques struggle. According to TransUnion’s Q4 2024 Vehicle Price Index, new car prices rose 1.7% due to supply chain and production costs, while used vehicle prices dropped 2.8%, reflecting strong demand for cost-effective options. Financing trends underscore this shift: used car loans outpaced new vehicle financing 1.56-to-1, and Standard Bank reported a 9.3% quarterly surge in auto loan applications—the sharpest rise in two years. However, most buyers opted for second-hand cars amid strained household budgets. Asian brands thrived, with Mahindra, Chery, and Suzuki posting year-on-year sales growth of 37.4%, 23.7%, and 22%, respectively. Suzuki’s decade-long expansion—from 6,402 units sold in 2014 to 56,109 in 2024 (776% growth)—propelled it past Volkswagen in early 2025 to become South Africa’s second-best-selling brand behind Toyota. Its Swift model broke records with 2,628 units sold in a single month, briefly overtaking the Toyota Hilux as the top-selling vehicle. Chery also saw explosive growth (1,435% since 2014), aided by its sub-brands Omoda and JAECOO. In contrast, Nissan, Mercedes-Benz, Renault, and BMW faced declining sales. NADA attributes this trend to South Africa’s price-sensitive market, where most buyers target sub-R350,000 vehicles. Chinese brands, offering advanced tech and premium features at accessible prices, are now perceived as strong alternatives to traditional luxury marques. With affordability paramount amid high inflation and interest rates, Asian automakers are redefining the market’s landscape. Maybe you’d like to read:

After nearly a decade of effort, Apple abandoned its electric car project last year, canceling a venture that consumed $10 billion. In contrast, Chinese electronics giant Xiaomi successfully launched its first electric car, the SU7, in just three years. In 2024, Xiaomi delivered 135,000 vehicles and aims to double that number this year. While the SU7 accounts for only a fraction of sales compared to China’s top EV makers, it has positioned Xiaomi as a serious competitor in the premium car market, challenging foreign automakers’ dominance. For instance, Porsche’s deliveries in China dropped nearly 30% following the SU7’s launch. Recently, Xiaomi unveiled the high-end SU7 Ultra in Beijing, alongside a premium smartphone model. The company showcased the car’s performance by racing a prototype at Germany’s Nürburgring, claiming a record for the “fastest four-door sedan.” However, Xiaomi faces challenges, losing $9,200 per car delivered, while Apple continues to enjoy healthy profit margins, as seen in its Q4 results. Despite this, Xiaomi’s bold move into the EV market highlights its ambition to innovate and compete globally. Maybe you’d like to read:

BEIJING – BYD is set to enhance its highly popular range of affordable models with sophisticated autonomous driving capabilities, mirroring those of premium Tesla EVs, thereby stepping up the rivalry in the smart EV marketplace. Maybe you’d like to read:

Jetour officially released spy photos of its camouflaged new Shanhai L9 SUV on February 10th. Highlights from the cover include “zero gravity seats,” “immediate availability,” “500,000 yuan (approx. $68,400) luxury experience,” “cinema-style massage seats,” “270° queen co-pilot seat,” “6.6 kW external power supply,” and a “lifetime warranty.” The medium-sized, 7-seater Jetour Shanhai L9 PHEV, part of Jetour’s Shanhai series, debuted in November 2023 with prices ranging from 166,900 to 188,900 yuan (23,000−26,000). It measures 4862/1925/1784 mm and has a 2850 mm wheelbase. In 2024, only 12,909 units were sold. The updated model is expected to be 49 mm longer, with a revised front closed face and retained through-type headlights. The rear design will remain largely unchanged. According to Chinese MIIT data, the new Shanhai L9 will feature a 1.5T turbocharged engine (model SQRH4J15). With fast charging, it gains 200 km of range in 10 minutes. The current version combines dual front permanent magnet synchronous motors (199 kW/267 hp, 395 Nm) with a 115 kW (154 hp) engine for a total system power of 314 kW (421 hp). CLTC pure electric ranges are 55 km and 108 km. Additional powertrain details have not been disclosed. Stay tuned for updates. Maybe you’d like to read:

On February 9th, Dongfeng Motor Corporation (including Dongfeng Motor Group and Dongfeng Honda) and China South Industries Group (CSGC, parent of Changan Motors) jointly announced ongoing discussions with other state-owned enterprises (SOEs) regarding restructuring. These announcements clarified that corporate ownership would remain unchanged, with the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) continuing as the ultimate controlling shareholder. However, some controlling shareholders may change. Industry speculation has surged due to the timing of these announcements, hinting at a possible merger. A combined Dongfeng-Changan could achieve annual sales exceeding 4.5 million vehicles, surpassing BYD. SASAC’s recent drive to optimize SOEs aligns with this restructuring, aiming to reduce internal competition and promote specialization. However, a full merger faces challenges due to differing ownership structures and potential brand cannibalization. Integration of management structures and complex capital restructuring would also be required. A “alliance model” has been speculated as an alternative, allowing strategic cooperation in R&D, supply chains, and international expansion while preserving brand independence. The Renault-Nissan-Mitsubishi Alliance serves as a relevant example. Maybe you’d like to read:

Surpower Technology Thailand Company Sets Sail | “Digital Marketing” Opens a New Chapter in Overseas Marketing of Chinese Auto Brands! On December 18, 2024, a new force was added to the brand marketing field of the Thai automotive industry. Zhuolixin Co., Ltd. (stock code 871003), an expert in the new marketing field of the Chinese market, and YouMeThaiBuy, a local Thai partner, held a signing ceremony to formally establish Surpower Technology Thailand. The joint venture is committed to becoming a one-stop solution service provider for Chinese auto brands going overseas. Representatives of auto brands in the Thai market, such as Nezha, SAIC Zhengda, Great Wall, Zeekr, etc., auto agency and sales group 14ATUO, new energy vehicle industry chain and service provider Tianlong Electronics Salom/JATO Thailand/SAWTEST, Thailand’s leading website in the Chinese community in Thailand/APLUS and other relevant leaders and guests attended the event to witness it, and the city lord was also fortunate to participate in and witness this event. Professionals and guests from all parties believe that this cooperation between the two sides is a strong combination of excellent service providers from China and Thailand. The two sides have been deeply engaged in their respective professional fields for decades and have achieved complementary advantages in the new marketing field between China and Thailand. I believe that this cooperation will definitely achieve the established goals of both parties and jointly commit to assisting the brand promotion and dissemination of Chinese new energy vehicles in overseas markets to achieve true internationalization, localization and compliance, and strive to establish a solid export alliance relationship between Thailand and Chinese brand cars. After the signing ceremony, the 2025 Thailand New Energy Vehicle Market Insight Salon was held. Guests from new energy vehicle brands, car agents and sellers, and industrial chains gave professional and wonderful debates from different angles. The guests elaborated on the troubles of new energy vehicles in 2024 and the outlook for 2025. Regarding integration into the Thai market, the guests proposed from the Buddhist culture that the relationship between people and brands needs to be cut from the heart, and good product dissemination needs to impress people; for brand value, the guests proposed that the price reduction of new energy vehicles and the low residual value will reduce the willingness of Thai customers to buy, as well as the problem of brand cultural symbol construction. The brand guests gave many suggestions on the marketing strategy of Chinese brands in the Thai market from a high-level perspective. Huang Xiaoxing, general manager of Surpower Technology, said that the Surpower Technology Thailand team is willing to listen to the demands of all parties in the industry chain, accurately understand the needs and wishes of Thai customers, and achieve effective communication, thereby assisting the outstanding Chinese new energy vehicle industry chain to obtain a larger market share in response to various internal and external competitions. Maybe you’d like to read:

Chery Jetour has achieved impressive sales performance in overseas markets. Especially in the Middle East, including Saudi Arabia, the United Arab Emirates, Bahrain and Kuwait, the Jetour Traveler 2.0T+8AT high-end version is popular among consumers and in short supply. This is mainly due to its excellent performance, smooth on-board system and exquisite interior design. In Qatar, the Jetour Traveler 2.0T version is priced at about US$35,100. However, due to limited production capacity and strong market demand, the model is in short supply locally, and the price of new cars has been hyped up to US$68,000. The dealer’s inventory was quickly sold out, and some customers had to turn to the black market to buy at a high price, or seek sources from neighboring countries. In addition, in the Russian market, the Jetour brand has also made significant breakthroughs. In March 2024, Jetour ranked among the Russian car sales list for the first time, selling 2,616 cars that month. As the first Chinese brand to enter the Russian market, Chery’s performance has always been remarkable. Its sub-brands such as Omenda and Xingtu have also achieved impressive results in the Russian market. Although in October 2023, the Haval brand once surpassed Chery to become the Chinese brand with the highest sales in Russia, Jetour’s sales growth momentum was rapid after its listing in the second half of the year. In summary, Chery Jetour has shown strong sales momentum in many overseas markets. Maybe you’d like to read:

These include Brazil in South America, which is one of BYD’s best-selling markets, with sales of 5,255 units in May and 27,226 units from January to May, an increase of more than 20 times year-on-year. Song PLUS DMi and Seagull are selling well, and the local electric passenger car factory has started production. Thailand is BYD’s second largest overseas market, with a total of 12,962 units sold from January to May. Dolphin, Seal, and Yuan PLUS performed well, and the local factory is about to start production. Israel and Australia are also important markets, with 9,033 and 7,805 units sold from January to May respectively. Europe is also a key market, with pure electric sales of 11,363 units from January to May, and it also sponsored events such as the European Cup. In addition, BYD is also actively expanding its market in Morocco, Rwanda, India, Mexico, Uzbekistan, Japan and other countries. Seal U DMi is already on the market in Morocco, and Atto 3 is already on the market in Rwanda, Africa. Seal started its commercial vehicle business in India in the early days, and has been involved in passenger vehicles in recent years. Seal delivers 200 units per day. The Shark pickup truck was first launched in Mexico, and the Dolphin and Song PLUS are already on the market and have received good responses. In Uzbekistan, the Song PLUS DMi Champion Edition officially rolled off the production line and went into production. Seal is already on the market in Japan, and Dolphin and Atto 3 have achieved certain results before. It is planned to open 100 stores in Japan by 2025 and sell 30,000 new cars a year. BYD has exported to 56 countries including Germany, the United States, and the United Kingdom, and has entered 77 countries and regions including Brazil, Germany, Japan, and Thailand. BYD has a complete layout in the Brazilian market, with a sales network covering 39 dealer groups, 100 existing stores and 135 designated outlets. It is planned that the number of dealer stores will reach 250 in 2024. Thailand’s first overseas passenger car factory is expected to be completed and put into production in the third quarter of 2024. About 78,000 vehicles were sold overseas in April and May, and the absolute value is increasing. The main export countries are Brazil, Thailand, Israel, Australia and Europe. Maybe you’d like to read:

According to him, consumers will be able to buy some electric vehicles from Chinese car manufacturers for $11,000. He is convinced that this affordable and high-quality electric car will be popular in any country. China plans to open a Chinese car market in Georgia. As Chinese Ambassador to Georgia Zhou Qian said at a press conference today, the China Motor Show is likely to open in Kutaisi. “The Chinese brand BYD has surpassed Tesla in global sales of new electric cars. Chinese consumers can buy a compact electric car from BYD for $11,000. Larger hybrid cars can also be purchased for the same price. I believe that such a high-quality product at such a low price will be very popular in any country. We are ready to facilitate the entry of Chinese brand electric cars into the Georgian market as soon as possible,” the ambassador noted. Maybe you’d like to read:

Armenia will maintain the preferential quota for the import of 8,000 electric vehicles in 2025, but will modify the allocation mechanism. Emma Movsisyan, director of the Trade and Integration Department of the Ministry of Economy, announced that 5,000 of the vehicles will be allocated to individuals, legal entities and individual entrepreneurs, and the remaining 3,000 vehicles will be reserved for companies with dealership and distribution agreements, according to the Armenian News Agency. Movsisyan pointed out that the exemption of import tariffs on electric vehicles has been in place for many years. However, according to the regulations of the Eurasian Economic Union, the number of electric vehicles imported into Armenia under preferential policies cannot exceed 8,000 per year. The main suppliers of electric vehicles to Armenia are the UAE, the United States and China. It is worth noting that the share of Chinese electric vehicles in the Armenian market continues to increase steadily. Most of the imported vehicles were produced in 2022-2024, and since the batteries are relatively new, they have a longer service life. Maybe you’d like to read:

On December 20, Zhou Yan, the general manager of SAIC’s MG brand, revealed that MG is set to introduce two new models in 2025: a compact pure – electric sedan and a large 5 – seater plug – in hybrid SUV. According to Zhou, both vehicles will feature “less British style and more Chinese characteristics” with the goal of “enabling Chinese cars to go global”. At present, it remains uncertain whether these two models will be launched globally in addition to the Chinese market. Earlier this month, Zhou stated on social media that one of MG’s new models to be launched next year will be equipped with semi – solid – state batteries. This new model could be either the sedan or the SUV. Currently, MG’s model portfolio consists of the EXE181 electric hypercar, the Cyberster electric roadster, four sedans (MG5, MG6, MG5 Scorpio, and MG7), the MG4 EV hatchback, and three SUVs (MG One, MG ZS, and MG ES5). Moreover, according to overseas media reports, MG is expected to debut a 7 – seater SUV in the Australian market in 2025, named “MG QS”. This vehicle might be a sister model to the Roewe RX9 and is anticipated to adopt a 1.5T plug – in hybrid power system. MG was founded in the UK in 1924. In 2005, it was first acquired by China’s Nanjing Automobile Group. Subsequently, in 2007, SAIC acquired Nanjing Automobile, and MG was officially integrated into SAIC, becoming a domestic Chinese brand. Data indicates that MG’s sales in the global market are growing steadily. However, in contrast, its sales in the Chinese market are declining year by year. From 2019 to 2023, MG’s global annual sales were 298,000, 310,000, 470,000, 660,000, and 840,000 units respectively, ranking first in China’s single – brand automobile exports for five consecutive years, accounting for approximately 70% of SAIC’s overseas sales. Conversely, MG’s domestic sales were 159,000, 80,000, 110,000, 180,000, and 100,000 units respectively. Specifically, in 2019, domestic sales accounted for 53.3% of MG’s global sales, but by 2023, this proportion had dropped to merely 11.9%. Likewise, from 2019 to 2023, SAIC’s sales decreased from 6.238 million vehicles to 5.021 million vehicles. The sales in 2023 dropped by 28% compared to the peak of 7.052 million vehicles in 2018. In the Chinese domestic automobile market, joint – ventures and domestic brands are increasing their investment to compete for the limited market share, particularly in the new energy vehicle (NEV) segment. In 2023, SAIC released the “Three – Year Action Plan for the Development of NEVs”, aiming to achieve annual sales of 3.5 million NEVs by 2025. Will MG’s gradual electrification transformation help reverse the declining sales trend? Maybe you’d like to read:

China’s entry into the WTO was a turning point in economic development. With the convenience provided by the WTO, China’s economy took off. The export of Chery Automobile also occurred after China joined the WTO. In 2001, Chery Automobile began to export to Syria. The first batch of 10 Fengyun sedans became China’s first independent brand to export automobiles. In the early days, Chery realized that its strength was still relatively weak. The products produced domestically were concentrated in the middle and low end, and it did not have the energy and technology to break through. At that time, Chery realized that only by accumulating strength could it move forward. In the early stage, Chery Automobile continued to expand its overseas market and entered Russia, Brazil, Egypt, Argentina, Saudi Arabia, Chile, Iran, Turkey, Ukraine, Belarus and other countries and regions. Initially, Chery Automobile’s export was simply to sell domestically produced cars overseas, but these cars were designed and produced according to Chinese habits and ideas, and did not fully meet the needs of local consumers. In order to solve these problems, Chery established 6 R&D centers in North America, Europe, Shanghai, etc., and 10 overseas production bases in Russia, Brazil, Egypt and other countries. These bases and R&D centers not only improved Chery Automobile’s global production capacity, but also provided strong support for its technological innovation and product development. Of course, in addition to product quality, after-sales service is also critical to the success of automobile exports. Chery Automobile has established more than 3,000 sales and service outlets around the world, providing consumers with convenient and efficient car purchase and after-sales services. Chery’s overseas expansion is different from most companies, and most of them have cooperative relationships with it. Establishing a production enterprise with sole investment and making all the money belong to oneself is certainly profitable, but it is not a win-win situation. Chery is well aware that developing together with partners, growing bigger and stronger together, and both sides making money is the way to long-term development. It is with this profound understanding that Chery Automobile’s exports continue to grow. In 2022, the export volume exceeded 450,000 vehicles, a year-on-year increase of 67.7%, setting a new record for passenger car exports by Chinese automobile manufacturers. Chery Automobile’s performance in overseas markets has been widely recognized, and its product quality and brand image have been continuously improved. For example, in the Russian market, the proportion of Chery Automobile’s old customers exchanging for new cars reached 40%, and 20% of new car purchases came from referrals from friends. Chery’s products mainly include several series, such as Tiggo, Tiggo, and Xingtu. However, these brands of vehicles are produced in different regions, and the details have been improved to meet the needs of local consumers. It is understood that Chery Automobile will adjust its products in terms of design, configuration, pricing, and marketing to meet the needs of different markets. For example, in the Middle East, due to the rich oil resources and low demand for electric vehicles by consumers, Chery Automobile mainly focuses on fuel models; while in the European market, due to the high environmental protection requirements and high demand for new energy vehicles by consumers, Chery Automobile mainly focuses on new energy models. Maybe you’d like to read: