Every January and February, South Africa’s automotive industry gathers its bearings. It is the period when manufacturers reflect on the year that was, take stock of a rapidly shifting market, and outline their ambitions for the road ahead.
BMW Group SA was first out of the blocks with its “Start-of-Year Media Update”, followed a day later by Mercedes-Benz SA’s commemorative brand showcase. The back-to-back briefings felt less like routine corporate updates and more like the kick-off of a high-stakes derby played out in the premium vehicle segment.
BMW Group SA doubles down on premium leadership
I sat down with Peter van Binsbergen, CEO of BMW Group SA and president of the National Association of Automotive Manufacturers of South Africa (Naamsa), alongside Daniel Bester, director of BMW Plant Rosslyn, for a wide-ranging conversation on leadership, manufacturing resilience and the future of mobility.
In a market under pressure from affordability constraints and intensifying competition – particularly from Chinese entrants – BMW delivered its strongest-ever performance locally. In 2025, the BMW brand achieved a record 46.15% share of the premium segment, according to Naamsa data.
Mini closed the year with a 5.67% share, giving the BMW Group a combined premium segment share of 51.82%. BMW Motorrad (motorcycles) also delivered a robust performance, maintaining a segment share above 39.3% in the combined over-251cc
category.
“From record segment leadership and strong production at Plant Rosslyn to award-winning products and recognised people practices, we continue to demonstrate that long-term investment in South Africa delivers value,” Van Binsbergen said.
Rosslyn remains a pillar of industrial strength
At the heart of BMW Group SA’s success is Plant Rosslyn, which produced over 79 000 vehicles in 2025, operating on a full three-shift schedule. The plant continues to export vehicles to Europe, the UK, and Australia – an achievement that underscores South Africa’s relevance in global automotive value chains.
“The plant’s 2025 performance reflects operational discipline and sustained investment,” said Bester.
Plant Rosslyn’s strategic importance has been reinforced by the production of the fourth-generation BMW X3. The facility now produces both internal combustion engine (ICE) and plug-in hybrid electric vehicle (PHEV) variants on a single flexible line – 60% ICE and 40% PHEV – allowing BMW to respond to shifting global demand as electrification accelerates.
A market in transition
Wearing his Naamsa hat, Van Binsbergen pointed to three critical priorities for the industry: improving the competitiveness of local manufacturing, stimulating domestic market growth, and urgently addressing South Africa’s transition to new energy vehicles. “Without the right incentives and policy clarity, the transition to alternative energy vehicles will remain slow, and South Africa risks falling
behind global trends.”
Looking ahead, BMW confirmed that the all-new BMW iX3 will mark a major milestone in its local electrification journey, alongside upcoming launches such as the new BMW 7 Series and BMW X5.
Mercedes-Benz SA signals a steady comeback
Mercedes-Benz SA’s update leaned more towards brand heritage and future product introductions, coinciding with the marque’s 140th anniversary.
The event was held at the Makotopong Car Museum, home to one of the most significant Mercedes-Benz collections in the country, owned by mining geologist and engineer, Pius Mokgokong.
In a recorded message, Mercedes-Benz SA’s vice-president for sales and marketing, Alex Boavida, confirmed that the brand achieved 5% year-on-year sales growth in 2025 – a modest but important step forward after several challenging years. A decade ago, Mercedes-Benz regularly sold over 1 000 units per month locally, going head-to-head with BMW. Although the company declined to comment on 2025 local production volumes, it confirmed a strong pipeline of halo products, including the new S-Class, CLA, Mercedes-Maybach SL, and a limited-edition Mercedes-Maybach S680.
Mercedes-Benz Vans is also expected to launch a few models, such as the Mercedes-Benz Sprinter Inkanyezi XL and Electric Vehicle (EV) version, as well as the Mercedes-Benz VLE multi-purpose EV.
- For full details, watch the latest SW Motoring podcasts featuring leading voices from the automotive industry.
