South Africa is aggressively pursuing the establishment of a domestic electric vehicle (EV) manufacturing industry, offering substantial tax incentives – a 150% deduction on investment – to attract, primarily, Chinese EV manufacturers. This strategy leverages South Africa's abundant natural resources crucial for EV battery production and its strategic geographic location. However, success hinges on overcoming challenges such as unreliable electricity supply and improving supporting infrastructure. The initiative's outcome will depend on effective government action, sustained investor confidence, and alignment with global EV trends.
