By Lehlohonolo Lehana.
South Africa’s automotive aftermarket contributed R202.6bn to gross domestic product (GDP) in 2025 and supported more than 310000 jobs, Deputy Minister of Trade, Industry and Competition John Steenhuisen said.
Addressing industry leaders at the Automechanika Johannesburg 2026 CEO Breakfast at Gallagher Convention Centre in Midrand, Steenhuisen highlighted the economic importance of an industry that traded approximately R933 billion in 2025, contributing R202.6 billion to GDP.
The sector supports more than 310,000 jobs, representing approximately 70% of automotive employment, across more than 23,000 businesses, predominantly small and medium-sized enterprises.
“These are not peripheral activities. They are central to South Africa’s economic resilience, industrial capability, and mobility,” said Steenhuisen.
With approximately 13 million vehicles on South African roads, averaging almost 11 years in age, and 76% outside their warranty periods, Steenhuisen emphasised the enormous potential to expand domestic manufacturing of replacement parts.
South Africa imported approximately R107.5 billion in replacement parts in 2025, presenting a substantial opportunity to strengthen local production, retain economic value and create employment.
“Every additional percentage point of localisation in replacement parts represents jobs created, industrial capability strengthened, foreign exchange retained, and value added within South Africa,” he said.
Steenhuisen stressed that the ongoing review of the Automotive Production and Development Programme (APDP2) should consider the broader automotive value chain, extending beyond vehicle manufacturing to the businesses supporting vehicles throughout their operational lives.
He also identified the African Continental Free Trade Area (AfCFTA) as an opportunity to expand South African exports of replacement parts, remanufactured components and specialised automotive services.
South Africa, he said, has the engineering expertise, established distribution networks and industrial capabilities to become a leading automotive aftermarket hub for Africa.
Henk Ferreira, Chief Operating Officer (COO) of the RMI, welcomed the recognition of the sector’s contribution to South Africa’s broader automotive value chain.
“The aftermarket supports hundreds of thousands of jobs and thousands of businesses, many of them small and medium-sized enterprises. It provides essential services to motorists and businesses while sustaining technical expertise and economic activity across the country.”
“We welcome the Deputy Minister’s recognition that the automotive industry’s potential extends well beyond the production line. South Africa’s existing vehicle fleet represents significant ongoing demand for replacement parts, maintenance and repair services, creating opportunities to retain more value locally and strengthen the broader automotive value chain.”