Chasing the Future: South Africa's Race to Electrify the Automotive Industry

dc.contributor.advisorSmith, Michael
dc.contributor.advisorBlack, Anthony
dc.contributor.authorHlela, Ntuthuko
dc.date.accessioned2026-09-02T12:13:19Z
dc.date.available2026-09-02T12:13:19Z
dc.date.issued2026
dc.date.updated2026-09-02T12:10:42Z
dc.description.abstractThe automotive industry, one of the biggest contributors to climate change, has been tasked to transition from producing ICEVs to producing Electric Vehicles (EVs) as the latter is relatively more environmentally friendly. Given the technical distinctions between ICEVs and EVs, this transition bears significant implications for the automotive industry GVC. The fundamental purpose of this paper is to understand, using the GVC methodology, how South Africa can accelerate the production and consumption of EVs. The paper found that to navigate the EV transition successfully, the South African government needs to make legally binding commitments to the transition. More specifically, on the supply side, the government needs to offer significant tax breaks and subsidies that will make establishing businesses in South Africa attractive for investors, especially Original Equipment Manufacturers (OEMs). South Africa already has a geographical disadvantage coupled with a relatively small domestic and regional market; therefore, it is paramount for the government to use all available tools in its arsenal to make the country a viable option for investors. On the demand side, the government should provide financial incentives to prospective EV buyers. The price differential between ICEVs and EVs is the main hurdle to a mass adoption of the latter, hence tax incentives and subsidies will play an important role in accelerating the adoption of EVs in the country.
dc.identifier.apacitationHlela, N. (2026). <i>Chasing the Future: South Africa's Race to Electrify the Automotive Industry</i>. (). University of Cape Town ,Faculty of Commerce ,School of Economics. Retrieved from http://hdl.handle.net/11427/43743en_ZA
dc.identifier.chicagocitationHlela, Ntuthuko. <i>"Chasing the Future: South Africa's Race to Electrify the Automotive Industry."</i> ., University of Cape Town ,Faculty of Commerce ,School of Economics, 2026. http://hdl.handle.net/11427/43743en_ZA
dc.identifier.citationHlela, N. 2026. Chasing the Future: South Africa's Race to Electrify the Automotive Industry. . University of Cape Town ,Faculty of Commerce ,School of Economics. http://hdl.handle.net/11427/43743en_ZA
dc.identifier.ris TY - Thesis / Dissertation AU - Hlela, Ntuthuko AB - The automotive industry, one of the biggest contributors to climate change, has been tasked to transition from producing ICEVs to producing Electric Vehicles (EVs) as the latter is relatively more environmentally friendly. Given the technical distinctions between ICEVs and EVs, this transition bears significant implications for the automotive industry GVC. The fundamental purpose of this paper is to understand, using the GVC methodology, how South Africa can accelerate the production and consumption of EVs. The paper found that to navigate the EV transition successfully, the South African government needs to make legally binding commitments to the transition. More specifically, on the supply side, the government needs to offer significant tax breaks and subsidies that will make establishing businesses in South Africa attractive for investors, especially Original Equipment Manufacturers (OEMs). South Africa already has a geographical disadvantage coupled with a relatively small domestic and regional market; therefore, it is paramount for the government to use all available tools in its arsenal to make the country a viable option for investors. On the demand side, the government should provide financial incentives to prospective EV buyers. The price differential between ICEVs and EVs is the main hurdle to a mass adoption of the latter, hence tax incentives and subsidies will play an important role in accelerating the adoption of EVs in the country. DA - 2026 DB - OpenUCT DP - University of Cape Town KW - electric vehicles KW - climate change LK - https://open.uct.ac.za PB - University of Cape Town PY - 2026 T1 - Chasing the Future: South Africa's Race to Electrify the Automotive Industry TI - Chasing the Future: South Africa's Race to Electrify the Automotive Industry UR - http://hdl.handle.net/11427/43743 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/43743
dc.identifier.vancouvercitationHlela N. Chasing the Future: South Africa's Race to Electrify the Automotive Industry. []. University of Cape Town ,Faculty of Commerce ,School of Economics, 2026 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/43743en_ZA
dc.language.isoen
dc.language.rfc3066eng
dc.publisher.departmentSchool of Economics
dc.publisher.facultyFaculty of Commerce
dc.publisher.institutionUniversity of Cape Town
dc.subjectelectric vehicles
dc.subjectclimate change
dc.titleChasing the Future: South Africa's Race to Electrify the Automotive Industry
dc.typeThesis / Dissertation
dc.type.qualificationlevelMasters
dc.type.qualificationlevelMCom
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