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Jan 23, 03:45 PM

Chery to Acquire Nissan's South African Plant

#Chinese Automaker Global Expansion and Competition

[Overseas Expansion] Chery will take over Nissan’s Rosslyn plant in South Africa to strengthen its local manufacturing capabilities.

Key Development: Chery to Complete Acquisition of Nissan’s South African Plant by Mid-2026

Chery South Africa will officially acquire the land, buildings, and adjacent stamping facilities of the Nissan Rosslyn plant by mid-2026, subject to regulatory approvals and other conditions. The plant, which began operations in 1966, is Nissan’s only production base in South Africa and has previously manufactured models such as the Navara and NP200.

Strategic Rationale: Nissan Optimizes Global Capacity While Chery Accelerates Overseas Expansion

Due to low capacity utilization, Nissan is streamlining its global manufacturing footprint from 17 plants down to 10 and plans to cut 20,000 jobs by fiscal year 2027. The asset sale ensures a smooth transition for employees and maintains supply chain continuity. For Chery—China’s top automaker in overseas sales for multiple consecutive years—this move enables localized production to support its rapidly growing international markets.

Industry Impact: Dual Assurance for Employee Rights and Market Services

Following the transaction, the majority of current employees will be hired by Chery, with compensation and employment terms largely unchanged. Nissan will continue selling new vehicles and providing after-sales services in South Africa to ensure market continuity.