As the world embraces a transition to new-energy vehicles (NEVs), the South African automotive sector has an opportunity to build a more competitive and inclusive industry, according to naamsa | The Automotive Business Council CEO Mikel Mabasa.
During a Frank Dialogue discussion on August 28, he highlighted that as this shift in the sector took place, the automotive value chain itself would also change which, consequently, created economic opportunity.
“The transition creates something very valuable. It creates new markets and new markets create opportunities for new participants. The question is whether South Africa will recognise those opportunities early enough and whether [previously disadvantaged] South Africans will position themselves in order to capture those opportunities or not,” he said.
Mabasa argued that, while South Africa had spent decades building its automotive industry and manufacturing ecosystem, the economic ownership of that ecosystem had not transformed at the same pace as the industrial capacity of the sector.
Hence, while he acknowledged the progress made in participation in the automotive industry, he emphasised the need for genuine transformation, moving from participation and employment to enterprise and ownership.
