Automotive bearing market accelerates as electric vehicle demand and raw material challenges reshape supply chains

Industry leaders at the 2025 Automechanika Johannesburg CEO Breakfast discussed strategies for resilience, tech innovation, and regional growth amid US trade tariffs and evolving market dynamics.The 2025 finale of the Automechanika Johannesburg CEO Breakfast, which took place at the famous Kyalami Grand Prix Circuit, pulled together an impressive lineup of senior leaders from the automotive world. The goal? To talk through some of the biggest challenges and opportunities facing South Africa’s auto sector — especially in light of the complicated global trade environment we’re currently navigating. As the Festival of Motoring was in full swing in the background, this event turned into a crucial space for strategic discussions about how the industry can transform, stay resilient, and innovate moving forward. Kicking off the session, Victor Radebe, who’s the Chief Director of the Programme Management Office for Gauteng’s Premier, emphasized how important it is to combine transformation efforts with resilience if the sector is to stay ahead in the future. Honestly, his remarks set a solid tone for the whole day, prompting a deep dive into several key themes shaping our industry right now. Sandile Ntseoane, heading up the Southern African Vehicle Rental and Leasing Association (SAVRALA), painted a picture of the rental and leasing sector as a crucial yet sometimes overlooked driver of mobility in South Africa. Post-pandemic, the industry has found its footing again, boosted by a rebound in tourism that’s led to increased fleet numbers. He also pointed out that customer preferences are changing — folks tend to prefer shorter lease periods these days, and there's a growing cautiousness around adopting electric vehicles. Interestingly enough, he noted how advances in telematics and artificial intelligence are having a real impact on fleet management, signaling some pretty major tech shifts in the sector. The conversation didn’t shy away from external hurdles either. Duane Newman, a partner at EY South Africa, provided a comprehensive analysis of how US trade tariffs — enacted under the previous American administration — are affecting us. The tariffs, including a 25% duty on automotive products and 50% on steel and aluminum, create some pretty tough obstacles for South African exporters. He explained that these measures could lead to losses of around $1.4 to $1.6 billion annually, and, more worryingly, might mean between 50,000 and 100,000 jobs could be at risk across the economy. To combat these challenges, he suggested that players in the industry should crank up regulatory monitoring, streamline their supply chains, adopt more strategic pricing strategies, and explore technology partnerships to stay competitive. On the home front, Brandon Cohen, who’s the National Chairperson of the National Automobile Dealers’ Association (NADA), shared some encouraging news about recent changes in South Africa’s automotive aftermarket policies. These new guidelines have effectively opened up the warranty service market for independent service providers, letting them compete with franchise dealerships without voiding warranties. That’s actually a pretty big breakthrough. Not only does it give consumers more choices, but it’s also had the unexpected benefit of boosting parts sales for the dealers themselves. It’s a rare example of government intervention that actually balances opening up the market with keeping industry stability intact. Looking at the bigger picture economy-wise, Nicky Weimar, the Group Chief Economist at Nedbank, offered a somewhat cautious but optimistic outlook. South Africa’s economy is on a slow recovery track, with GDP growth sitting near 1% — and the domestic vehicle sales for the year up by about 13.8%. Inflation has eased to 3.5%, and interest rate cuts of around 125 basis points are making it easier for folks to buy cars. Household debt levels, which used to be a concern, are now lower — below 9%, which helps. Still, Weimar pointed out some persistent problems, like struggling municipalities, high electricity costs, and logistics inefficiencies — all made worse by external pressures from US tariffs. Despite these hurdles, she remains optimistic about continued growth in domestic vehicle demand, driven by higher household incomes and better financing options. Finally, Michael Dehn, the Managing Director of Messe Frankfurt South Africa, wrapped things up by talking about the demographics of the industry and how they’re changing. The audience at the Festival of Motoring is getting noticeably younger — mostly under 40 now — and the gender balance is shifting too, moving toward parity from a previously mostly male dominance of about 70-30. Dehn said these shifts reflect the broader, more collaborative spirit of South Africa’s automotive industry, highlighting how it’s adaptable and ready to meet new challenges together. Beyond just looking inward, industry leaders are also thinking regionally and globally. There’s a strong focus on using the African Continental Free Trade Area (AfCFTA) as a strategic tool—to try and offset some of the negative impacts of US tariffs, and to expand market access across the region. This trade zone offers a potential market worth around $3.4 trillion, with lots of growth prospects, aligning with broader efforts to deepen regional integration. Alongside AfCFTA, agreements like the African Growth and Opportunity Act (AGOA) and trade relationships within BRICS are also on the radar as ways to open up new markets and form partnerships. Another key theme is compliance and technology. Presentations from the National Regulator for Compulsory Specifications (NRCS) underscored just how important it is for the industry to meet international safety and environmental standards—especially with the rapid pace of technological change, like electric vehicles and autonomous driving systems on the rise. Adhering to these regulations isn’t just about safety; it’s essential for maintaining access to markets and staying competitive. Looking ahead, the Automechanika Johannesburg CEO Breakfast — and the bigger trade fair it’s part of, sponsored by major players like Nedbank, the Automotive Industry Development Centre (AIDC), and SKF — continue to serve as valuable platforms for industry learning, strategy sharing, and growth. These gatherings aren’t just about tackling today’s challenges; they’re about paving the way for innovation, collaboration, and sustainable development in South Africa’s automotive aftermarket and manufacturing sectors. Source: Noah Wire Services

UK-based aircraft manufacturer Britten-Norman appoints Ben Smith as Head of Aftermarket and secures significant funding to enhance production capacity and global support, signalling a strategic shift towards modernisation and growth in the competitive aerospace sector.Britten-Norman, the UK-based producer well-known for its classic Islander aircraft, is going through quite an important change to bolster its global aftermarket support and boost production capacity. Central to these developments is the recent appointment of Ben Smith as Head of Aftermarket, which really signals the company's dedication to modernizing its customer service and operational systems, all while aiming for growth within the aftermarket sector. Ben Smith comes with over ten years of specialized experience in technical sales, digital services, and aviation support. Before he joined Britten-Norman, he was in charge of Garmin’s UK and EMEA aviation sales efforts, where he was quite involved with Britten-Norman’s operations—supporting projects like the avionics integrations of TXi and GTN Xi systems, for instance. His background offers a pretty unique blend of engineering knowledge—he holds a First-Class Honours degree in Aerospace Technology—and practical experience, considering he's a licensed Private Pilot and had early military exposure with the RAF’s University of London Air Squadron. Many see Smith’s move as a strategic move—well, at least to me—that will help improve customer response times and overall operational flow, especially when it comes to maximizing the lifetime value of the Islander fleet through enhanced spares, repairs, upgrades, and support services. Lara Harrison, who’s the company’s Business Development Director, highlighted that Smith’s technical know-how combined with his long-standing relationships within the operator community are key assets. As Britten-Norman aims to upgrade its systems, those relationships will be critical in delivering more efficient, sustainable, and helpful aircraft operations. “Ben’s appointment really marks a significant step for Britten-Norman as it commits to providing top-notch support for its global operator base,” Harrison said. And, interestingly enough, this personnel update happens at the same time as Britten-Norman securing substantial new funding from Beechlands Enterprises—marking its second investment round within just a year. This capital will go towards expanding the company’s production capabilities in the UK and transforming the aftermarket services it offers. Initial plans include increasing Islander production to around eight aircraft annually, with a focus on the unleaded piston version, though about 20% of the output will be turboprop models. The funds will also be used to acquire advanced manufacturing tools and machinery, which should help improve component production, cut lead times, and boost manufacturing efficiency overall. This move towards ramping up production and improving aftermarket support is happening at a pretty crucial leadership point for Britten-Norman. For a long time, William Hynett has been at the helm—guiding the company for over twenty years—but he’s now shifting into a non-executive director role focused more on strategic planning. It’s worth noting that this change coincides with Britten-Norman’s broader transformation under new ownership, after Beechlands Enterprises took over from 4D Capital Partners earlier in 2024. All these shifts—leadership changes, fresh investments, and a modernized approach to aftermarket support—put Britten-Norman in a pretty strong position to serve its worldwide Islander operators better. It’s also about reinforcing the resilience and value of its fleet, especially amidst a quite competitive aerospace support market. Honestly, it seems like the company’s preparing for some exciting times ahead. Source: Noah Wire Services

China's electric vehicle industry has reached a decisive milestone with over half of auto sales now EVs, prompting rapid consolidation, technological advancements, and new opportunities for global firms amid geopolitical and regulatory challenges.China’s electric vehicle (EV) scene has hit a pretty significant milestone this year. For five months straight, EV sales have made up over half of the total auto market—definitely a clear turning point in the world’s biggest car market. This trend really cemented China’s role as the top global player in EV manufacturing and sales. Industry reports suggest that in 2024, China produced around 12 million EVs, with most of those cars sold domestically. They’ve outpaced smaller markets like Norway, where EVs hit a 50% share back in 2020, and by 2024, that figure had risen to 90%. Big Chinese brands—especially BYD, which last year overtook Tesla as the world’s largest EV producer by revenue, and Geely—are also spreading their footprint abroad, including markets like Australia, Norway, South Korea, and Southeast Asia. The boom in China’s local industry offers both opportunities and some hurdles for Western car tech companies contemplating entering this rapidly growing market. Chinese EV makers are quite proficient at mass production and have significantly improved vehicle design over the past decade—something critics once saw as a barrier to wider adoption. However, Western firms still hold a strong edge in specialized areas such as software-defined vehicles, centralized computing systems, and automotive operating systems (OS). There’s especially high demand for systems management software that coordinates hardware and applications seamlessly, driver-assistance algorithms, infotainment systems, and connectivity tech. Additionally, safety-critical systems conforming to international standards like ISO 26262—supporting advanced driver-assistance systems (ADAS), autonomous driving, and real-time safety functions—remain areas where Western expertise is highly valued. Furthermore, Western companies excel in creating user-friendly interfaces for navigation, multimedia, communications, and voice controls—technology that’s increasingly important both domestically in China and in export markets. This contrast with Chinese vehicles, which sometimes lag in embedded functions, presents opportunities for partnerships or technology transfers. Industry insiders suggest that Western firms with strong software capabilities can tap into China’s openness to innovation through joint ventures or consultancy roles. Still, success in the market depends on careful navigation of regulatory and commercial complexities. Despite the bright prospects, China’s EV industry faces some challenges. Industry voices, including BYD’s Vice President Stella Li, warn of an upcoming consolidation phase prompted by government crackdowns on aggressive discounting and price wars that have led to deflation and harmed long-term competitiveness. Predictions indicate that out of more than 130 current EV makers, up to 100 could either merge or exit, leaving fewer than 20 viable OEMs. This consolidation aims to address oversupply and cutthroat competition—what Reuters describes as an “involution” cycle where intense rivalry continually drives prices down and profits shrink—even for industry leaders like BYD. Adding to the difficulties, geopolitical tensions and trade restrictions are complicating efforts for Chinese EV brands to expand globally. While brands like BYD, with its Atto 3 model, have enjoyed success in markets such as South Korea—where it became the top import EV in April—and Australia, barriers like tariffs and origin-based trade policies still pose significant hurdles in regions like Europe and the US. Some manufacturers are already relocating production outside China to mitigate these challenges. On a positive note, China continues to lead in battery technology and charging infrastructure development. For instance, BYD recently introduced fast-charging technology capable of adding 470 km of range in just five minutes—surpassing competitors like Tesla and Mercedes-Benz. Plans are underway to deploy thousands of compatible public chargers across the country, making Chinese EVs even more attractive both domestically and internationally. Western automakers aren’t immune to the shifting landscape either. Premium foreign brands such as Porsche have experienced notable declines in China—Porsche’s sales dropped 42% in the first quarter of 2025, marking a three-year decline—while local brands like BYD, Xiaomi, and Nio are rapidly gaining ground, particularly in the luxury segment. For example, Xiaomi’s SU7 EV garnered 10,000 pre-orders within two hours, showcasing a significant shift in consumer preferences. For Western tech providers and supply chain firms, China’s EV market presents both challenges and opportunities. Its rapid innovation pace and tightening regulations mean that companies need to remain agile. However, strategic alliances in software, safety systems, and connected vehicle services could unlock substantial benefits. Experts emphasize understanding local market dynamics, regulations, and potential partnership avenues as essential steps for success. Firms like Asian Insiders offer deep in-market expertise to navigate this fast-evolving environment. In sum, China’s EV industry is undergoing rapid consolidation and maturation. Driven by domestic giants that are reshaping global competition and technological progress, the market offers promising growth prospects for foreign OEMs, software developers, and tech firms—yet they must carefully weigh the opportunities against regulatory hurdles and fierce domestic rivalry. Navigating this landscape effectively requires strategic collaborations and continuous innovation. Source: Noah Wire Services