Stellantis delays SA plant and adds new models

Carmaker revises Coega strategy to include hybrid offering as it seeks long-term viability

Peugeot Landtrek production is postponed to 2028, with two other vehicles to be built at the new Eastern Cape plant. (STELLANTIS)

Stellantis South Africa has pushed back its local assembly plans by two years but will add two new models when the factory opens in 2028.

In 2023 the multi-brand carmaker announced it would build the Peugeot Landtrek one-tonne bakkie at a new factory being constructed in the Eastern Cape’s Coega Special Economic Zone in a R3bn investment with the Industrial Development Corporation (IDC) and the department of trade, industry & competition.

The plan was to build the Landtrek, currently on sale as an import, as a completely knocked down (CKD) product for the local market and export to the Middle East and Africa from 2026.

The project is going ahead but has been delayed as Stellantis looks to build two additional vehicles to ensure the plant’s long-term viability.

Mike Whitfield, MD of Stellantis South Africa, said changing automotive trends had forced a revision to the business plan. “The original plant was going to build only the Landtrek pickup, but we’re looking at two additional products which has moved the timeline on. We need to make the plant more viable and sustainable,” Whitfield told Business Day.

Without naming the two new cars, he hinted at least one would be a hybrid. “They need to be products that are affordable and not ignore trend to new energy vehicles (NEVs), as the global automotive market has changed,” said Whitfield, who took the helm at Stellantis South Africa in September 2023.

It is too soon to say what the production capacity will be with three products. The important message is that the project is active

—  Mike Whitfield, Stellantis South Africa MD

Sales of fully electric cars and plug-in hybrids have surged in recent years and accounted for a quarter of global new car sales last year, up from less than 3% in 2019.

There are several NEVs available in the global Stellantis stable including the Fiat 500e, Citroën C3 Hybrid and Leapmotor C10 REEV (range-extended electric vehicle) which was unveiled locally in late 2025. The company’s most popular South African seller is the C3 hatchback range, which is not locally available as a hybrid.

Whitfield did not confirm production volumes for the Coega plant or how many employees were expected in the revised plan. Originally Landtrek assembly volumes had been expected to reach up to 50,000 units annually, with the capacity to expand to 90,000 units a year, with about 2,700 jobs created.

“It is too soon to say what the production capacity will be with three products. The important message is that the project is active,” said Whitfield.

He confirmed the business case study would be completed by June after which more details would be announced, but he anticipated a mid 2028 production start estimate.

The Landtrek, based on the Chinese-built Changan Hunter, has been a niche seller since its local 2021 launch and has not challenged market-leading, SA-built rivals such as the Toyota Hilux, Ford Ranger and Isuzu D-Max, nor imports like the Mahindra Scorpio Pik-Up and GWM P-Series.

In November Stellantis launched a facelifted Landtrek in South Africa, and will soon introduce a more powerful 2.2l turbo diesel version to join the line up alongside the 1.9l model.

The Coega plant is part of a wider revival in South Africa’s vehicle manufacturing sector.

Foton recently began producing its Tunland G7 bakkie at the BAIC plant in Coega; Great Wall Motors (GWM) is said to be discussing sharing Mercedes-Benz’s East London plant for production of as-yet-unnamed vehicles; and Chery is acquiring Nissan’s manufacturing facility in Rosslyn.

Business Day


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