Eastern Cape Premier Oscar Mabuyane has called on Volkswagen and Mercedes-Benz to step up their innovation efforts to remain competitive against Asian automotive brands, according to a report by News24.
Speaking on the matter, Mabuyane highlighted the growing pressure that established European manufacturers face from Asian rivals in the global car market. The remarks, published by News24 on Monday, 17 August 2026, underscore the need for the German automakers to adapt their strategies to hold their ground.
The Eastern Cape is a significant hub for automotive manufacturing in South Africa, hosting major plants for both Volkswagen and Mercedes-Benz. Mabuyane’s comments come as the industry worldwide contends with rapid shifts toward electric vehicles and new technologies, areas where Asian brands have gained substantial traction.
News24 reports that Mabuyane’s message was a direct challenge to the two automakers, urging them to prioritise innovation rather than relying on their established reputations. The premier’s statement reflects broader concerns about the future competitiveness of traditional carmakers in a market increasingly defined by technological disruption.
While the report does not specify particular innovations or timelines, the call to action signals that regional leaders see the need for urgent adaptation. The automotive sector is a key employer in the province, making the performance of these companies a matter of local economic importance.
As the global industry evolves, the question now is whether VW and Mercedes will respond with new models and technologies that can match the appeal of Asian competitors. Industry watchers will be looking for concrete moves from both companies in the coming months.
