8/12/2019

Carmakers Prepare an EV Plan for South Africa

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BMW, Nissan and Volkswagen are among carmakers who are creating a unified approach to vehicle electrification in South Africa to present to the government by year-end.

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BMW, Nissan and Volkswagen are among carmakers who plan to create a unified approach to vehicle electrification in South Africa and present it to the government by year-end.

The strategy will ask that lawmakers remove or reduce South Africa’s 23% import tax on EVs and build a national charging station network with the help of the ailing, state-owned power utility company, Bloomberg News reports.

South Africa has long been a carmaking hub for foreign manufacturers. Last the country’s auto industry supplied more than 200,000 cars—roughly one-third of its local output—to Europe.

Currently there is no specific plan to encourage domestic production of all-electric or hybrid vehicle. But Bloomberg notes that that government and industry agreed last year to extend a manufacturing incentive program to bolster South Africa’s traditional auto industry.