South Africa is a leader in the automotive sector in Africa, accounting for well over 50% of total vehicle production on the continent. Global manufacturers take advantage of the country’s relatively low production costs and set up factories to assemble their vehicles in South Africa. In addition, local trade agreements provide access to SADC and European markets for car exports. The export value of vehicles and automotive components constitutes around 15% of South Africa’s total exports.
Large-scale employment of a highly skilled workforce and substantial direct foreign investment make the automotive industry an important sector within the South African economy.
Our lawyers advise local and international original equipment manufacturers (OEMs), manufacturers of automobiles, motorcycles, trucks, military vehicles, and buses, as well as suppliers of automotive parts on the exceptional opportunities the local market has to offer. This advice extends to manufacturers, financiers, fuel suppliers and retailers, dealerships, vehicle insurers, car parking providers, and taxi services.
We offer legal support in acquisitions, disposals, and other commercial transactions, as well as regulatory advice, and will attend to your intellectual property, licensing, product liability, dispute resolution, employment, competition law, and real estate requirements.
The automotive industry is undergoing fundamental change. Environmental concerns are pushing for alternatives to petrol-driven vehicles. The development of electric cars and self-driving cars requires a keen understanding of the challenges of introducing these technologies in the local markets.
The advent of ride-hailing services is also offering alternatives to private ownership of motor cars, and has the potential to change the landscape of this sector worldwide. While this may, over time, reduce the demand for privately-owned vehicles it creates a need for greater regulation of this type of service and a clear understanding of the impact it may have on the sector.
Our legal team provides guidance through our legislative landscape and offers unique insights into the local market.
Some of our significant engagements include:
Webinar | Healthcare & Life Sciences Neil Kirby, Head of our Healthcare & Life Sciences Practice, with Helen Michael, Director, and Boitumelo [...]
With the ongoing ravages of Covid-19, the leisure industry continues to take a pounding in the South African market. Dr. Eric Levenstein, Head of our [...]
Webinar | Unpacking the YES programme With unemployment in South Africa at an all-time high, there is increased pressure on Corporate South Africa to [...]