GAC Motor to become latest Chinese car brand in South Africa

China’s GAC Motor has announced it will soon enter the South African market with a range of vehicles. It is part of a fast-growing Chinese automotive presence in the country after the recent launches of brands such as Omoda, Jaecoo, BYD and JAC, and marques such as GWM, Haval and Chery that are already well established.

GAC Motor is a division of Chinese state-owned Guangzhou Automobile Group (GAC Group) headquartered in Guangzhou and the fifth largest vehicle manufacturer in China.

It has signed an agreement for distribution and retail operations in South Africa with Salvador Caetano Auto, an international automotive group present in Europe, South America and Africa.

In China, GAC Group produces and sells vehicles under its own branding, such as Trumpchi, Aion, Hycan as well as under foreign-branded joint ventures such as GAC Toyota, GAC Honda and GAC Mitsubishi. It also produces dedicated electric vehicle (EV) brands such as Aion and Hycan and buses under the GAC Bus brand.

In 2010 GAC purchased 51% ownership of Gonow, a Chinese car brand that briefly sold vehicles in South Africa from 2005.

“Dedicated to the automotive industry for years and present on three continents, GAC Motor have accelerated the process of international business,” said GAC Motor deputy GM Wang Shunsheng.

“This partnership with Salvador Caetano Auto in South Africa is the start of co-operation [between the two] parties. Both companies will leverage their respective strengths to bring quality products to South Africa, while building a strong dealership network focused on customer satisfaction.”

Sérgio Ribeiro, executive board member of Salvador Caetano Auto and CEO of Global Automotive Distribution, said: “This strategic partnership marks the beginning of a significant investment that will enable us to rapidly establish GAC Motor as a relevant automotive player in South Africa.”

GAC Group has not revealed what vehicles it will launch in South Africa, nor when, but given the market popularity of SUVs the Trumpchi Emkoo compact crossover launched in 2022 is a prime contender. Similar in size to a Haval H6 and Toyota Rav4, the Emkoo is available in 1.5l or 2.0l petrol turbo guises as well as a petrol-electric hybrid. The Trumpchi brand is operated in the Chinese domestic market while it is rebranded as GAC overseas.

The smaller Trumpchi GS3 is another potential model for the local market, to go up against cars such as the Volkswagen T-Cross and Kia Seltos in a popular segment. The GS3 has a choice of 1.3l and 1.5l petrol turbo engines.

With the rising popularity of more affordable electric cars in South Africa, GAC Motor may also consider bringing in a compact EV such as the Aiyon Y Plus which has a power output of 150kW and a driving range of up to 610km on a charge.

More details will be released as they become available.