Toyota to Enter South African EV Market with Three Models in 2026

Toyota plans to launch three battery-electric models in South Africa in early 2026, marking its entry into the country's fast-evolving EV market. The company currently dominates the hybrid and plug-in hybrid segment with a 67% share. Toyota South Africa CEO Andrew Kirby stated that the company will stick with a mix of powertrains and sees EVs as an important step. Local assembly of EVs is planned for the future.

Toyota is poised to make a significant move in South Africa's electric vehicle (EV) market by launching three fully-electric models in early 2026. This announcement comes as Toyota South Africa CEO Andrew Kirby shared the company's plans at an auto components conference. Currently, Toyota leads the hybrid and plug-in hybrid market in South Africa with a commanding 67% share in 2024 [1].

The company's entry into the EV segment is part of a broader strategy to diversify its powertrain offerings. Kirby stated that Toyota will continue to invest in internal combustion engines, hybrids, plug-in hybrids, battery electric vehicles, fuel cell electric vehicles, and potentially even carbon-neutral internal combustion engines. This approach underscores Toyota's commitment to a future where multiple powertrains coexist [1].

Toyota's decision to introduce EVs in South Africa aligns with the growing global trend toward electric vehicles. However, the South African market faces unique challenges such as low incomes, high import duties, unreliable power availability, and a lack of sufficient charging infrastructure. These factors have historically hindered the adoption of EVs [1].

The EV market in South Africa is currently dominated by European carmakers such as Volvo, BMW, and Mercedes-Benz, but Chinese manufacturers like BYD are also making inroads. Kirby acknowledged the strategic importance of this competition, noting that it requires a swift and appropriate response from Toyota [1].

The South African automotive sector is at a critical juncture, with production volumes relatively flat, a decline in local content, and a surge in imported vehicle sales. This has prompted local manufacturers, including Toyota, to propose policy recommendations to support and protect the industry. The proposals include fiscally neutral policy changes and the restructuring of the rebate system [1].

Toyota's initial EV models will be imported, with plans to eventually assemble them locally. This strategy allows Toyota to enter the market quickly while also setting the groundwork for future local production [1].

In conclusion, Toyota's entry into South Africa's EV market signals a significant shift in the country's automotive landscape. The company's diversified powertrain strategy and commitment to local assembly position it well to navigate the challenges and opportunities in this evolving market.

References:
[1] https://www.reuters.com/business/autos-transportation/toyota-enter-south-africas-ev-market-with-three-models-2026-2025-08-14/
[2] https://www.investing.com/news/stock-market-news/toyota-to-enter-south-africas-ev-market-with-three-models-in-2026-4193201