Chinese carmaker BAIC is planning to expand its vehicle assembly facility in Gqeberha, Eastern Cape, according to the Chinese Ambassador to South Africa, Wu Peng .
Get your news on the go, click here to join the IOL News WhatsApp channel.The facility includes a vehicle assembly line, press shop, paint shop, body shop, administrative offices, and a neighbouring supplier park that houses small and medium-sized local component manufacturers to support production.
However, the plant has struggled to meet expectations. Media reports last year revealed that since its inception, the facility had assembled only 300 vehicles far below the original target of 40,000 to 50,000 units per annum.
The company reportedly cited several contributing factors, including the impact of the COVID-19 pandemic and labour disputes with local SMMEs, which led to repeated production stoppages.
In a recent post on X formerly Twitter, Ambassador Wu stated that BAICs Chairman had informed him of the companys intention to expand the Eastern Cape plant despite US-imposed tariffs.