Local Suppliers Seize Opportunity as Chinese Automaker Commits to Community Partnerships
Young entrepreneurs in township communities gain direct access to factory supply chains and skills programs.
Young entrepreneurs in Mabopane, Soshanguve, Ga-Rankuwa, and Hammanskraal woke up Friday to news that a Chinese automaker setting up in their backyard comes with a condition attached: the communities around the plant must be brought in from the start.
Deputy President Paul Mashatile made that demand clear at the Chery International Factory Acquisition Celebration in Rosslyn, Tshwane, where he told the company that township suppliers and youth-owned businesses are not optional extras but a core requirement of the investment’s success. “This factory is therefore a beacon of hope, skills and future opportunities for the youth of Mabopane, Soshanguve, Ga-Rankuwa and Hammanskraal,” he said.
The stakes for those communities are concrete. Mashatile called on Chery to open doors in logistics, components, services, and technology to young entrepreneurs, and to back township suppliers with capacity building, mentorship, and genuine market access. Without those foundations, he argued, the factory remains a corporate transaction rather than a turning point.
The message was direct. “With the understanding that a strong automotive sector depends on a strong supplier base, Government calls upon Chery to work hand in hand with us in identifying and promoting local suppliers, especially those led by our youth,” Mashatile said.
By contrast, the path to Friday’s celebration stretches back to November 2023, when a government working visit to China first put South Africa on Chery’s radar as an investment destination. Mashatile presented the Rosslyn acquisition as proof that sustained engagement pays off, and as a signal to other potential investors that South Africa remains a credible industrial hub with ambitions to serve as the automotive gateway to Africa.
The broader automotive sector already supports hundreds of thousands of jobs while driving exports and building technical skills across the workforce, Mashatile noted. Chery’s arrival adds another dimension: the company’s commitment to new energy vehicles. Mashatile was blunt about what is at risk if South Africa does not move with the shift. Without a transition away from traditional combustion engines, the country faces losing export markets by 2035. “We appreciate that Chery is leading this charge in Africa with NEV options across its range,” he said.
Preparing workers and young people for that transition requires investment now. Mashatile called for expanded apprenticeships, skills development programmes, and technical education to equip South Africans for advanced manufacturing and technology-driven industries. Government, he said, remains committed to creating conditions that attract foreign investment while protecting domestic manufacturing capacity.
He closed with a pledge of openness. “South Africa is open for investment, ready for innovation, and committed to building an economy that offers opportunities for all. Together, we can shape a future defined by growth, industrial excellence, and shared prosperity.”
Whether Chery’s presence in Rosslyn translates into real opportunity for the young people of the surrounding townships depends on how quickly those supplier pipelines and apprenticeship pathways take shape.
Q&A
Which communities are positioned to benefit from Chery's factory investment in Rosslyn?
Young entrepreneurs and suppliers in Mabopane, Soshanguve, Ga-Rankuwa, and Hammanskraal are the primary beneficiaries, with Deputy President Mashatile framing the factory as a beacon of hope, skills, and future opportunities for youth in these townships.
What specific support did Deputy President Mashatile demand Chery provide to township suppliers?
Mashatile called on Chery to open doors in logistics, components, services, and technology to young entrepreneurs, and to back township suppliers with capacity building, mentorship, and genuine market access.
Why did Deputy President Mashatile emphasize the importance of a strong local supplier base?
He argued that a strong automotive sector depends on a strong supplier base, and without local supplier pipelines and apprenticeship pathways, the factory remains a corporate transaction rather than a turning point for surrounding communities.
What timeline concern did Deputy President Mashatile raise regarding South Africa's automotive sector?
Mashatile warned that without a transition away from traditional combustion engines to new energy vehicles, South Africa faces losing export markets by 2035.