Tata Motors Re-Enters South African Auto Market After 6 Years

• Tata Motors returns to South Africa with SUVs and a hatchback
• Models include Punch, Curvv, Tiago, and Harrier, competing with Chinese brands
• Plans to expand to 60 dealerships by 2026 with Motus Holdings as distributor

After a gap of six years, Tata Motors has made a re-entry into South Africa’s passenger vehicle market, unveiling three SUV models and an entry-level compact hatchback to take on the slew of Chinese vehicle manufacturers.

The re-launch is a clear indication of the fierce demand for budget-friendly cars as global car manufacturers lean on targeting budget-conscious buyers while questioning the relevance of producing locally.

Thato Magasa, the New Country Head for Tata Motor Passenger Vehicles (TMPV) said, "Our aspiration, as part of our mid-term plan, is to be one of the top five passenger vehicles in South Africa, with a 6% to 8% market share".

Tata's cast of players included the Punch compact SUV, Curvv coupe-plus SUV, Tiago hatchback, and their flagship Harrier SUV are combustion engines. They go on sale from September and poses a serious competition for Chinese automotive players like Chery, BYD, Beijing Automotive, and GWM who are fast growing their market share with competitive pricing and large powertrain options.

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Tata Motors exited the South African passenger car segment in 2019 after selling models such as the Indica In 2019, Tata exited the South African passenger car segment after selling models such as the affordable Indica hatchback that received mixed reactions from consumers. The company continued to operate its commercial vehicle business in the country.

Shailesh Chandra, Managing Director For TMPV And Electric Mobility added, "We have listened, we have learned, and we have tailored our offering to meet South Africa's needs".

As part of Tata’s re-entry strategy, it will introduce the Nexon and Sierra SUVs and will be operating through 40 dealerships across the country – with plans to expand to 60 dealerships by 2026. The Tata passenger car division, through its exclusive distributor Motus Holdings (the largest automotive group in Africa), will import, distribute, and sell vehicles to enhance the company’s presence and competitiveness in the South African market.