This year Volkswagen Group Africa is celebrating 75 years of building and selling vehicles in South Africa, but the milestone comes amid growing calls for policy certainty in the country’s automotive sector.
Industry leaders and political parties are urging government to finalise key decisions related to the Automotive Industry Master Plan (SAAM 2035), warning that delays could threaten jobs, investment and local manufacturing.
The Automotive Industry Master Plan is a long-term strategy to strengthen South Africa’s automotive sector.
It aims to boost vehicle production, support component manufacturers and encourage exports.
Clear government policy is critical, as manufacturers rely on certainty to make long-term investment decisions and remain globally competitive.
Head of Group Communications at Volkswagen South Africa, Andile Dlamini, said the company and other original equipment manufacturers (OEMs) continue to engage government through the National Association of Automotive Manufacturers of South Africa (Naamsa).
“Volkswagen and other OEMs are continuously engaging with the Department of Trade, Industry and Competition through Naamsa to address urgent industry issues, including the review and implementation of the South African automotive industry policy,” Dlamini said.
He added that 2026 is a landmark year for the company. “2026 is an important year for Volkswagen as it celebrates 75 years of building and selling vehicles in South Africa.”
Parliament has also weighed in on the Master Plan. Chairperson of the Select Committee on Economic Development and Trade, Sonja Boshoff, described Volkswagen as central to South Africa’s manufacturing base.
“Volkswagen Group Africa plays a central role in South Africa’s automotive sector. Its success demonstrates the value of the sector as an engine of industrialisation and economic participation,” Boshoff said, calling on President Cyril Ramaphosa and Minister of Trade, Industry and Competition, Parks Tau, to engage urgently with industry stakeholders.
Political parties have echoed similar concerns. The Freedom Front Plus warned that continued policy uncertainty could drive investment to other countries, such as Egypt, India or Asia.
“Failure to align the Automotive Industry Masterplan 2035 with current realities accelerates de-industrialisation, undermines localisation and exposes one of South Africa’s most strategic sectors to large-scale job losses,” the party said.
Describing the automotive sector as a cornerstone of exports, skills development and manufacturing capacity, the VF Plus urged decisive government action to restore investor confidence and protect employment.
