counter Half a million VW Polos roll off SA production line, but industry clouds linger – Forsething

Half a million VW Polos roll off SA production line, but industry clouds linger

This is major milestone for VW South Africa and a bright spot in the province’s strained automotive sector.

The half-millionth vehicle, a Kings Red Polo destined for Germany, was completed earlier this month, just over a year after Kariega was officially named the “Home of Polo.”

The plant has now produced 500 000 facelift VW Polos since the introduction of this model in August 2021, and nearly two million Polos in total since 1996.

This achievement comes shortly after Volkswagen Group Africa (VWGA) celebrated the three-millionth VW vehicle rolling off the production line at its Kariega plant.

Since July 2024, the Kariega facility has been the sole exporter of the Polo to Europe and the Asia-Pacific, shipping to more than 30 countries.

Of the 500 000 current-generation models built so far, 452 207 were made for export and 47 793 for the South African market.

“The role of the Polo in the VWGA success story has been a strong one, and the same can be said of its contribution to this country’s automotive exports,” said Ulrich Schwabe, Production Director at VWGA.

“I am proud to share in this milestone with the colleagues who build, sell and export this high-quality car to the world.”

A win for VW Kariega in spite of economic headwinds

The achievement comes at a precarious time for the Eastern Cape automotive industry.

While VW continues to expand its export footprint, other manufacturers are battling global headwinds, rising costs and shrinking demand.

East London’s economy could face collapse if Mercedes-Benz South Africa (MBSA) is unable to withstand newly imposed US import tariffs.

“The Mercedes-Benz plant is the anchor of East London’s economy,” Mikel Mabasa, CEO of Naamsa, said last month.

“If it grinds to a halt, the city risks being reduced to a ghost town.”

The warning comes amid wider strain in the province’s manufacturing sector.

Ford recently cut 470 jobs, and tyre giant Goodyear shuttered its Nelson Mandela Bay plant, affecting more than 900 workers.

These developments have fuelled anxiety about the sustainability of manufacturing jobs in the region – even as Volkswagen’s success showcases the sector’s potential.

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