German luxury automotive giant Mercedes-Benz is considering sharing its manufacturing plant in South Africa’s East London with Chinese car company Great Wall Motor.
As part of the discussions, representatives from Great Wall Motor have presented a proposal to senior officials at the African country’s Department of Trade, Industry and Competition, outlining the Chinese company’s interest in producing vehicles at the plant, according to Bloomberg.
The development comes amid the German venture’s East London facility facing uncertainty over exports to the United States, since August 2025, when US President Donald Trump imposed a 30% tariff on South African exports to the world’s largest economy, a move that many analysts dubbed a blow to the country’s automotive sector.
Mercedes-Benz started the American exports of its C-Class sedan post-1997 under the “African Growth and Opportunity Act,” which allowed duty-free access to Uncle Sam’s market.
While the US Supreme Court suspended the duty earlier in 2026, according to Bloomberg, the Trump administration still wants to continue with its reciprocal tariffs by introducing a 15% global rate. Mercedes is also considering using the site as a global hub to repurpose end-of-life batteries from passenger vehicles.
Thato Mntambo, Mercedes-Benz South Africa’s (MBSA) GM of corporate affairs, told The Citizen, “The Mercedes-Benz East London plant is focused on the production of the C-Class. Customer and market requirements are constantly changing. Mercedes-Benz strives to ensure that all its production sites remain globally competitive, are on an optimal operating point and adapted to new requirements whenever necessary.”
The East London plant has been witnessing headwinds in the last couple of years. In 2024, the company had to fire about 700 employees, along with production cuts, because of falling global demand for the C-Class. Then in 2025, the same facility witnessed periods of suspended production.