Following the announcement earlier this year that it planned to open an assembly plant in South Africa, Stellantis has furnished more details on the project.
The carmaker has confirmed its intention to invest R3 billion to assemble a one-tonne bakkie in a new factory situated in the Coega Special Economic Zone near Gqeberha in the Eastern Cape.
The carmaker will reportedly build the Peugeot Landtrek at the plant, and given that it aims to launch the bakkie in early 2026 after completing the facility in late 2025, it’s likely that this could be the next-generation model.
The vehicles will be assembled in completely knocked down (CKD) form and Stellantis is aiming to reach a volume of up to 50 000 units per year, including exports. This is in line with South Africa’s Automotive Production Development Program (ADAP).
The plant will be set up, in terms of space and painting, to accommodate up to 90 000 units a year if need be.
The first phase of the assembly project is expected to create around 1,000 direct jobs for South Africans.
Stellantis said “rapid progress” had been made since signing a Memorandum of Understanding (MOU) with the Industrial Development Corporation (IDC) and the Department of Trade, Industry and Competition (DTIC) in March this year.
“It is a wonderful day for all South Africans when a global company of Stellantis’ proportions decides to expand its manufacturing footprint in South Africa, to assemble completely knocked down units,” said Mr. Ebrahim Patel, Minister of Trade, Industry and Competition.
“South Africa currently has the capacity to produce close to 700,000 vehicles annually. This will add considerable additional capacity, just as we prepare to implement the African Continental Free Trade Area.”
Stellantis is currently a niche player on the local market. Internationally it owns 14 brands, and in South Africa it currently markets Fiat, Alfa Romeo, Jeep, Opel, Peugeot and Citroen.