JAC Motors has reaffirmed its commitment to the South African market, announcing an investment of more than R500 million in new premises in Gauteng.
The Chinese car brand, best known for its T-badged bakkie series, will establish a new base of operations within the Lanseria Smart City development.
This makes JAC the first major corporate participant in the Smart City project, which President Cyril Ramaphosa announced in his State of the Nation address back in 2020.
JAC said it relocated its head office in the first week of September, and that its Parts Warehouse is set to follow.
The new property is also set to include a Retail Motor City, featuring lifestyle brands, restaurants, and an off-road track for motoring enthusiasts. The project is expected to support over 500 jobs.
“With more than 50% year-on-year sales growth over the past two years, we need a larger headquarters because our Ruimsig site no longer meets our capacity requirements,” said Karl-Heinz Göbel, CEO of JAC Motors South Africa.
“This opportunity supports our long-term vision, places us closer to the airport, and aligns with our expansion and growth plans for Southern Africa. It also underscores our commitment to South Africa’s economic growth and job creation.”
The manufacturer said it selected the 10-hectare site for its proximity to Lanseria International Airport and the emerging Lanseria Smart City, which are set to feature advanced infrastructure and transport links.
One of South Africa’s emerging bakkie brands
JAC entered the local market nearly a decade ago and has established itself as an emerging brand in South Africa’s fiercely competitive bakkie landscape.
It sells a range of commercial vehicles in South Africa, such as the X200, medium and heavy trucks, and the popular T-Series of midsize bakkies.
In 2021, the company launched its first battery-electric truck in South Africa and quickly became the country’s leading provider in the electric commercial vehicle segment.
Over the years, JAC has expanded its dealer network from 10 outlets to more than 60 across Southern Africa. It has also expanded its parts and after-sales support network.
“Earlier this year, JAC Motors SA received the Best Distributors Award from JAC Motors China, recognising us alongside major international markets, including Mexico, Chile, Peru, Uruguay and Brazil,” said Göbel.
“We are ranked among JAC Motors’ global top 10 distributors, and our T-Series ranks among South Africa’s top 10 bakkie brands, demonstrating our significant progress in the local market over nearly a decade.”
The Chinese automaker said this new expansion will help to strengthen JAC’s parts and logistics capabilities, with better storage capacity and a streamlined distribution chain enabling faster turnaround times.
“With exciting new products, including the T9 PHEV, JS9 7-seater SUV, X200 2.0L CTi forward-cab, a new 8-tonne battery-electric truck and T6 single-cab 4×4 derivatives, we see significant opportunities for continued growth. Our new facilities are a strategic investment in that future, providing the capacity, resources and ecosystem to support our people, operations, logistics and skills development as we expand across Southern Africa.”
“Our new headquarters marks an important new chapter in JAC Motors’ South African journey,” concludes Göbel. “South Africa remains a strategic right-hand-drive market for our global operations, and this investment demonstrates our confidence in the country’s future, our long-term growth prospects, and the potential of the local automotive sector.”
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1 commentsLanseria Smart City? Is that not one of the many that the government has not actually finished? I remember it being called a bunch of bushes in a MyBroadband article a while back. Guess R500 million goes far in an empty field.