South African Youth Increasingly Choosing Chinese Automotive Brands Amid Economic Hardships

According to a new study, young South Africans under the age of 35 play a smaller role in the country's automotive market compared to a decade ago. This is linked to economic pressures making car ownership less affordable.

Decline in Youth Purchasing Power

The study conducted by Lightstone showed that stagnant incomes, persistently high youth unemployment, and the rising cost of living have reduced the purchasing power of young consumers. Additional pressure comes from higher fuel prices, insurance premiums, and maintenance costs, while for some buyers, the need for personal transport is decreasing due to the development of public transport.

Vehicle Market Dynamics

The research indicated that in 2025, buyers under 35 accounted for 31% of all new light vehicle sales, down from 37% in 2015. This trend is more pronounced in the used car market: ten years ago, the share of buyers under 35 in used car purchases was 45%, but this dropped to 37% by 2025. Despite the overall decline, young drivers prefer used cars over new ones, especially those under 25. This age group shows the highest percentage of used car purchases relative to new ones, reflecting that affordability remains the primary criterion for first-time buyers and young professionals.

New Car Sales Recovery

The study also highlights the evolution of the South African automotive market over the last decade. New car sales reached their previous peak in 2015 after several years of strong growth, which then sharply declined during the Covid-19 pandemic. As the availability of new vehicles worsened, many consumers shifted to the used vehicle market. Since then, new car sales have gradually recovered, with 2025 being the strongest year for new light vehicle sales since 2015, signaling a gradual return of pre-pandemic demand.

Dominance of Petrol Engines

When making purchasing decisions among young South Africans, internal combustion engines still dominate. In 2025, petrol cars made up about 80% of all purchases by buyers under 35, while diesel models accounted for just under 20%. Alternative powertrains remain a niche choice: traditional hybrids, plug-in hybrids, and battery electric vehicles together accounted for only about 1% of purchases among young buyers. Young buyers under 35 accounted for approximately 40% of all petrol car sales in 2025. Their contribution was significantly lower in other fuel categories: they represented only 24% of diesel sales, 21% of hybrid sales, 14% of plug-in hybrid sales, and only 13% of battery electric vehicle sales. This suggests that while electrified vehicles are gradually gaining popularity, they remain largely inaccessible to youth, likely due to higher purchase prices.

Rise in Popularity of Chinese Brands

One of the most evident trends identified by the study is the rapid rise of Chinese automotive brands among young buyers. Brands such as Haval, Chery, and BYD have significantly increased their presence in the South African market over the past decade. In 2015, Chinese brands accounted for only about 1% of all vehicle purchases by buyers under 35. By 2025, this figure has risen to over 10%, making them one of the fastest-growing segments among the youth. Young buyers have also become a larger proportion of all Chinese brand purchases, increasing from 27% in 2015 to 30% in 2025. This growth reflects the increasingly competitive position of Chinese manufacturers, who have gained popularity through aggressive pricing, long warranty packages, high levels of equipment, and improved build quality. Although established Japanese, European, and Korean manufacturers continue to dominate overall sales, the data indicates that Chinese brands are becoming an increasingly attractive option for budget-conscious young South Africans without sacrificing features. The CEO of the Automobile Association, Bobby Ramagwede, advises young people to check safety ratings regardless of their first car choice. He emphasized that 'safety equipment and vehicles built to high structural safety standards should never be optional extras in a base model or a feature reserved for markets outside Africa, and manufacturers should not hide behind the unfortunate absence of strict local vehicle safety laws. Visiting our website will show NCAP safety ratings for many entry-level models sold locally, which should indeed play a role in this critical buying decision.'

autopapo.com.brJune 23, 12:00

Evolution of Chinese Cars: From Initial Low Quality to Presence in the International Market

Just over twenty years ago, Chinese vehicles were notorious for selling low-cost replicas and inferior quality models, a reality drastically different from what is observed today.

It is undeniable that Chinese automobiles have become an essential part of the current market. Today, they offer models with international standards and competitive prices, many of which are electrified.

The Past and the Present

Anyone observing the contemporary automotive scene might not recall what it was like when these cars first arrived in Brazil in 2006. At that time, although they were well-equipped and attractive due to their accessible price, the quality had major flaws, and after-sales support was inconsistent.

Purchasing a Chinese vehicle in that initial phase was considered a risk, and many consumers ended up dissatisfied. Currently, models from that first generation hold no significant value in the used market.

Improvements in Quality and After-Sales Service

The current situation differs significantly, especially regarding quality. Manufacturers have begun to place greater importance on after-sales service; GWM, for example, launched its operations with a fully stocked parts distribution center and offered comprehensive warranty.

History of Chinese Brands

Chery was the pioneering Chinese group in its global expansion. Its QQ and Tiggo models were sold in several countries, and the product line was expanded. In Brazil, Chery opened a factory in Jacareí (SP) in 2015, but initial sales were modest, registering only 2,159 units in 2016.

In 2017, the CAOA group acquired 50% of Chery's activities in the country, marking a positive turning point. The Brazilian company reassessed the market and focused its efforts on SUVs. Currently, the Chery group is reinvesting in markets outside of China with the brands Omoda, Jaecoo, Jetour, and Lepas, although Chery's reputation was globally tarnished, with Brazil being an exception due to the partnership with Caoa.

Changan began its presence in Brazil in 2025, through Caoa, starting with the luxury Avatr line. In 2026, the national models Changan Uni-T and CS75 were introduced. However, the brand had previously operated in the country under another name: Chana.

The first Chinese car sold in Brazil was a Chana Cargo, a small van based on an old Suzuki project. This launch was marked by the name, which is slang for female genitalia. After a few years, the responsible importer changed the name to Changan, aiming to avoid humorous associations. During this period, the strategy was limited to selling vans and utility vehicles, which contrasts with Caoa's current approach.

Other Giants in the Market

Among the brands that entered in 2025, Geely stood out as the strongest. The Chinese giant utilized Renault's infrastructure to launch the electric hatchback EX2 at very competitive prices.

This is the second time Geely has marketed vehicles in Brazil. Its first foray occurred in 2014, through the Gandini group, which imported the EC7 sedan and GC2 hatchback from Uruguay. At that time, Geely already owned Volvo, but its cars were based on old projects; the EC7, for example, used a Mitsubishi engine dating back to the 1970s. This operation was brief and discreet, lasting only one year, and after the setback, the Gandini group returned to focusing exclusively on Kia cars.

BYD arrived in Brazil already established, with good electric and plug-in hybrid models. However, a decade earlier, it was just another Chinese manufacturer selling copied cars and using obsolete mechanics. Its old logo resembled BMW's, and its main model was a copy of the ninth-generation Toyota Corolla. The brand also produced the S8, a convertible that imitated the Renault Megane CC and sported the front of the Mercedes-Benz CLK. BYD's most recent clone was the Yuan Pro, which replicated the second-generation Ford EcoSport. Only in the current generation, under the direction of German designer Wolfgang Egger, did the brand abandon the practice of cloning.

Cases of Copies and Growth

Around the mid-2000s, Chinese vehicles gained worldwide notoriety for being copies. Great Wall Motors, now known as GWM, was an example that generated controversy and lawsuits. The legal action was motivated by the Great Wall Peri, a subcompact that imitated the Fiat Panda. The Italian court ruled in favor of the national brand and banned the sale of the model in that country.

Great Wall also marketed copies of models such as the Scion xB, Nissan Frontier, Toyota ist, and Isuzu Axiom. In its current configuration, under the GWM acronym, the only registered copy case is the Ora Ballet Cat, which is a replica of the Beetle. Currently, GWM ranks as the largest producer of SUVs and pickup trucks in China, expanding globally with a cautious approach, analyzing markets before initiating sales.