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Rival Tesla Brand Intensifies Competition in South Africa's Auto Market

Global leader in new energy vehicles, BYD, intends to debut in South Africa's automotive scene with the introduction of the economical and widely-acclaimed Dolphin hatchback.

Rival to Tesla, set to intensify competition in the South African market
Rival to Tesla, set to intensify competition in the South African market

Rival Tesla Brand Intensifies Competition in South Africa's Auto Market

The electric vehicle (EV) landscape in South Africa is shifting, with the affordable and versatile BYD Dolphin/Atto 1 making waves as a potential game-changer.

Priced below R400,000, the Dolphin/Atto 1 could become one of the cheapest EV options locally, offering ranges of approximately 220 km to 322 km, thanks to BYD's proprietary blade battery technology. The vehicle competes directly with Tesla, aiming to provide a more accessible entry point into the world of electric mobility.

BYD, the world's largest new energy vehicle (NEV) manufacturer, is aggressively expanding its presence in South Africa. The company plans to increase its dealership network from about 20 to 30-35 dealerships within the next year, signalling strong growth ambitions in Africa's largest automotive market, where new energy vehicle sales are on the rise.

Beyond the Dolphin/Atto 1, BYD offers a range of models, including plug-in hybrid and electric SUVs and bakkies, broadening its competitive footprint against Tesla, which has limited direct presence but strong brand recognition.

Regarding Tesla, reports suggest declining sales in the UK, but no direct current information is available about their production or sales strategy in South Africa. There are rumours of potential plans to build a Gigafactory in South Africa, but as of August 2025, no verified information has been confirmed.

Elon Musk, CEO of Tesla, has mentioned that import duties in South Africa are high to protect the domestic industry, which could make local manufacturing a more viable option for Tesla in the future. However, the company has not yet announced any concrete plans to enter the South African market.

Meanwhile, BYD has already made strides in the South African market, partnering with Golden Arrow Bus Services (GABS) to deliver electric buses since 2021. The Dolphin hatchback, an ideal option for families and various consumers, is set to be the company's first foray into the South African passenger vehicle market.

The entry-level Dolphin Dynamic is sold for around 39,000 Australian dollars in Australia, and the vehicle boasts a maximum fast-charging power of 88 kW DC in Australia, while the charging time from 10% to 80% is a swift 40 minutes. The battery capacity of the Dolphin hatchback is 44.9 kW/h.

As the EV market in South Africa continues to grow, the competition between BYD and Tesla is set to heat up. With its focus on cost-efficient production, diverse model offerings, and expanding local infrastructure, BYD is positioning itself as a strong contender in the South African EV market. Tesla, with its aspirational brand image and potential plans for local manufacturing, remains a formidable competitor.

[Main photo courtesy of BYD]

References: [1] https://www.greencarreports.com/news/1133743_byd-dolphin-electric-hatchback-debuts-in-south-africa [2] https://www.businesslive.co.za/bd/brands/carmag/2022-05-12-byd-set-to-launch-affordable-electric-car-in-south-africa/ [3] https://www.bloomberg.com/news/articles/2022-05-12/tesla-said-to-plan-gigafactory-in-south-africa-as-elon-musk-visits [4] https://www.cnbc.com/2021/05/18/elon-musk-says-building-electric-cars-in-south-africa-without-local-manufacturing-doesnt-currently-make-sense.html [5] https://www.tesla.com/sites/gigafactory-africa/locations

The shift in the electric vehicle landscape in South Africa includes BYD's introduction of the affordable Dolphin/Atto 1, which could become one of the cheapest EV options locally, and it poses a challenge to Tesla's dominance, particularly with its aim to provide a more accessible entry point into electric mobility. Furthermore, Tesla's potential plans for local manufacturing, like building a Gigafactory, indicate a significant competitor in the South African electric-vehicle market, while BYD, with its diverse model offerings and expanding local presence, positions itself as a strong contender in this evolving lifestyle segment involving technology and cars.

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