SA’s auto industry could learn from China, says BMW boss
The head of BMW Group South Africa says the local automotive industry could “really learn” from China’s approach to the market over the past decade or so…
- BMW’s local CEO says China is “open to trying new ideas”
- Van Binsbergen spent almost 4 years with BMW in China
- Says SA can “learn from the Chinese” on the topic of speed
The executive who heads up BMW Group South Africa says the local automotive industry could “really learn” from China, particularly when it comes to driving “innovation and speed”.
Peter van Binsbergen, CEO of BMW Group South Africa, was speaking during an interview conducted in Cars.co.za’s custom-built podcast booth at Naamsa’s South African Auto Week 2025 in Gqeberha in the Eastern Cape at the start of October.
Van Binsbergen took the top job at BMW Group SA at the start of 2021, becoming the first South African CEO in the group’s history. The mechanical engineer previously worked in Japan as well as Germany and spent almost 4 years as Senior Vice President of Sales and Marketing at BMW Brilliance Automotive China.
“I don’t think it’s surprising,” he said when asked for his view on the way various Chinese automakers have entered (or, in some cases, relaunched in) South Africa’s new-vehicle market and quickly gained traction.
No ‘risk focus’ in China, says BMW SA boss
“In fact, in my speech [earlier that day at SA Auto Week], I mentioned the Chinese auto industry as a case in point – where South Africa could learn from the way that the Chinese approach the topic,” said Van Binsbergen, who also serves as the Vice President for Manufacturing OEMs (original equipment manufacturers) at Naamsa.
“There are a few things that stand out for me. One is that, in China, there’s a very clear opportunity focus – not a risk focus. So, they’re very open to trying new ideas. Of course, you make some mistakes, but in the process, you drive innovation and speed.
“And that’s the point. If this [were] China, they would already be on version three of the NEV [New Energy Vehicle] masterplan. We still haven’t even got version one out in South Africa,” he said, referring to Mzansi’s stalled NEV Roadmap. “So, we can really learn from the Chinese when it comes to the topic of speed.”
BMW SA CEO’s experience in China
Van Binsbergen went on to explain how he witnessed first-hand the Chinese automotive industry’s “clear focus” during his stint in the East Asian country.
“When I was there – it was [almost] 10 years ago I left China – they were very clear: ‘we’re focusing on new-energy vehicles and battery-electric vehicles; we’re not going to tackle you on ICE [internal combustion engines]’ – because the German brands were leading in that respect – ‘we’re going to have a clear focus’,” he said.
“They had that clear focus. And today, China holds 64% of the world’s battery-electric vehicle market. So, their strategy paid off.”
China ‘protected’ its industry in early days
Van Binsbergen added that China had shrewdly protected the automotive industry during its foundational period, suggesting there were lessons in that area for South Africa, too.
“They focused on building an industry in China and protecting it until it was big enough to be let go. That’s something [from which] South Africa can really learn because our industry is still very small and very susceptible to outside forces.
“Today, most vehicles sold in China are produced in China. In South Africa, 67% of the cars sold here are imported. So, we can really learn from the Chinese – they had a clear focus and a clear strategy. In 10 years, it delivered – we can do it, too,” he said.
According to Naamsa, imported vehicles represented 62.8% of South Africa’s total new light-vehicle sales in 2024, with 304 355 units (out of an overall market of 484 808 units) shipped into Mzansi from 24 countries. India was the top country of origin in pure volume terms, accounting for 57.1%, followed by China on 17.1%.
BMW Group SA builds the G45-series X3 at Plant Rosslyn and is the only facility in the world producing the X3 30e xDrive PHEV. Producing units in both left- and right-hand drive, the factory exports to more than 40 countries.
Frequently Asked Questions (FAQ)
Q: What did Peter van Binsbergen, CEO of BMW Group South Africa, say the local automotive industry can learn from China?
A: He stated that the South African automotive industry can learn from China’s approach to driving “innovation and speed”. He attributed this to China’s “opportunity focus” rather than a “risk focus”, making them very open to trying new ideas.
Q: What evidence did Van Binsbergen use to show that China’s strategy for New Energy Vehicles (NEVs) has paid off?
A: Van Binsbergen noted that when he was in China, they had a “clear focus” on NEVs and Battery Electric Vehicles (BEVs), consciously choosing not to compete with German brands on Internal Combustion Engines (ICEs). He stated that this strategy paid off, as China now holds 64% of the world’s BEV market.
Q: What did Van Binsbergen suggest South Africa could learn from China regarding the protection of its local auto industry?
A: He pointed out that China focused on building and protecting its automotive industry until it was big enough to stand on its own. He contrasted this by noting that most vehicles sold in China are produced there, while saying 67% of cars sold in South Africa are imported.
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