SAIC Motors relaunches MG brand in South Africa

January 27, 2025

From the newsletter

Chinese automaker SAIC Motors has relaunched the historic British car brand MG in South Africa with a lineup of new models that includes EVs. The company has introduced ZS and HS SUVs to the South African market together with the Cyberster, an all-electric open-top car that will be sold in limited numbers. 

  • MG is offering a 7-year/200,000 km warranty on its vehicles. The company currently has 30 dealership locations, but intends on having 60 by the end of 2025. The automaker plans to sell 1,000 units across its models per month.

  • The company is also planning to launch MG4, a fully-electric car, in the country. The battery powered hatchback is aimed at the affordable end of the EV market and, depending on the market, will be available with a choice of 51 kWh, 64 kWh and 77 kWh battery packs. The car has a range of between 350 km and 530 km.

More details

  • MG Motor, or Morris Garages, exited the South African market in 2016. The company, which was known for its sports cars, made its return to South Africa this month. MG was acquired by China’s Shanghai Automotive Industry Corporation (SAIC) in 2007.

  • The automaker previously entered South Africa in 2001 with the MGF sports car, but left in 2005 when the company collapsed. It re-entered the South African market in 2011 but left again just five years later due to low sales.

  • The all-electric MG Cyberster will sell for R1 399 900 ($76,064). This is multiple times more expensive than MG’s fuel-powered models such as MG ZS 1.5 Comfort 4AT which will sell for R289,900 ($15,542) and MG HS 2.0T Luxury 9AT which will go for R665,900 ($36,701).

  • The new MG EV brands add to a growing lineup of electric vehicles on sale in South Africa, where major automakers are competing for market share. South Africa is a leading market for EVs in Africa, with over 14,000 New Energy Vehicles (NEVs) sold in 2024. This marks a growth of more than 34 times from 407 NEVs sold in 2019.

  • BYD is a major EV player in the South African market where it launched in 2023. The Chinese automaker is planning to expand its dealerships in the country from 5 to 25 by the end of 2025. Other EV dealers in the country are BMW, Mercedes Benz, Audi AG, Bayerische Motoren Werke AG, Daimler AG, Toyota Motor Corporation, Volvo Car AB and Dongfeng. 

Our take

  • After sales services could be a new battlefront for EV car manufacturers seeking to entice buyers on the continent. MG is for instance offering customers in South Africa a 5-year/200,000 km vehicle warranty on all its models, including EVs. Such offers could prove pivotal in a market where new models are being released frequently, and pricing points are merging.

  • Market segmentation could inform the success of EV automakers in Africa. MG has relaunched in South Africa with models that cater to different segments namely high end and mass market. As global EV prices continue to drop, segmentation could be pivotal. EV makers that will tailor their offering based on different user needs and wants could have an advantage.

  • Like other brands that have come and gone before it, earning market trust will be MG’s most onerous challenge in South Africa. Some EV firms have already established trust and visibility in the country, which MG will need to overcome. It will also need to overcome the sea of compelling products from other compatriot Chinese automakers.