GWM SA says local production is ‘on the cards’

Is GWM South Africa – which has had a presence in the local market for more than 17 years – thinking about setting up a production facility right here in Mzansi? Based on comments from the Chinese firm’s local sales director, the company certainly seems to be strongly considering it.

During Naamsa’s recent South African Auto Week 2024 in Cape Town, we asked Desmond Els, sales director at GWM South Africa, whether the brand’s long-term strategy included any plans to manufacture vehicles in South Africa.

GWM’s Chongqing factory in China.

“That’s a tricky question because I might let something out that we’re busy [with] – it’s definitely something on the cards,” he told us.

Then, making reference to discussions that took place at SA Auto Week 2024 between automakers on the topic of increasing local production of new-energy vehicles in particular, Els added: “It is a plan, I think, for any of us to invest into the country”.

It’s not yet clear which vehicles GWM might want to build in SA.

“At this stage, it’s still very ‘infant’ – we’re in ‘thinking’ stage; I won’t say even ‘planning’ stage at this moment. So, it’s definitely a consideration for us as a brand, in order for us to invest as well as to … create a difference between us and the other OEMs [original equipment manufacturers] as well as Chinese importers,” he explained.

This isn’t the first time a GWM SA executive has suggested to Cars.co.za that local production is a possibility. Late in 2022, for instance, GWM SA’s Chief Operations Officer (COO) Conrad Groenewald told us it would be a “wasted opportunity” not to pursue local production.

GWM also owns a full-scale production facility in Thailand.

“I think as GWM Global is growing their footprint outside China, the South African market and our manufacturing capabilities in South Africa can play a greater part in their global strategy,” Groenewald said at the time.

In addition to its several full-scale manufacturing plants in China, GWM also has a production facility in Thailand, with a Brazilian plant expected to come online in 2025, too. The firm furthermore runs KD factories (which assemble vehicles using “knocked-down” kits) in countries such as Ecuador, Malaysia, Pakistan, Tunisia and Bulgaria.

A wholly owned subsidiary of the Chinese group, GWM South Africa is responsible not only for the GWM marque but also the Haval, Ora, P-Series and Tank sub-brands. It’s not yet clear which vehicles GWM might consider building in South Africa.

This article was originally published on Cars.co.za...