The Automotive Industry Transformation Fund (AITF) is igniting a new era of opportunity and growth for South Africa’s automotive sector, empowering emerging entrepreneurs to be at the forefront of transformation.
As the fund embarks on its next chapter, in alignment with the Automotive Production and Development Programme (APDP 2), AITF calls on bold, visionary entrepreneurs to apply for funding and join in driving the future of the industry.
AITF Chief Executive Officer Jabu Selumane reflected on the remarkable progress made since the fund’s inception and its commitment to creating a more inclusive, thriving automotive industry.
“In just a few short years, we’ve surpassed expectations, funding over 67 companies and distributing R596 million across the automotive value chain. Our goal is to support 90 companies by 2029, and we are well on our way to achieving that.”
A Legacy of Empowerment
Founded in 2020 as a collective Equity Equivalent Investment Programme (EEIP) by seven automotive original equipment manufacturers (OEMs) for the likes of BMW, Ford and Mercedes-Benz to name a few, the AITF is setting a new standard for transformation.
By offering market access, funding, and business support to black-owned companies, the AITF has empowered entrepreneurs from all corners of the automotive industry, from panel beaters to car dealerships and component manufacturers, fostering job creation and economic growth along the way
Driving Real Impact
“The impact of our work goes far beyond numbers,” Selumane said.
“We are not just creating opportunities, we are creating legacies, businesses that will stand the test of time in an evolving sector. From upstream to downstream, our beneficiaries are shaping the future of South Africa’s automotive industry, bringing innovation and resilience into a challenging economic landscape,” Selumane added.
“We set a goal to allocate 30% of our funding to women-owned businesses, and I am proud to say we have achieved that milestone,” Selumane said.
“This isn’t just about meeting targets; it’s about exceeding expectations and driving meaningful change. The OEMs involved are not simply ticking boxes – they are invested in building a future that reflects South Africa’s diversity and talent.”
Navigating Challenges and Creating Solutions
Despite the challenges posed by a sluggish economy and limited market growth, the AITF said it remains committed to helping black-owned businesses break through barriers.
“Our entrepreneurs are entering a competitive landscape, and while the pie may not be growing significantly, we are ensuring they have the tools and support to claim their share,” said Selumane.
Looking Ahead: Building a Legacy of Transformation
Selumane emphasised that the AITF has always been driven by a clear, strategic vision.
“Our five-year plan has laid a strong foundation of trust, governance, and collaboration, allowing us to move into more complex problem-solving. We call it our BOOST strategy, Build, Operate, Orientate, Solve, and Transform, and it’s guiding us as we work to create a lasting impact.”
Looking forward, the AITF aims to be a key enabler of transformation not only within the automotive sector but across South Africa’s economy.
“We believe that collective action and strategic partnerships are essential for sustainable growth. The automotive industry is showing what’s possible when businesses unite behind a common goal, and we encourage other sectors to follow suit.” The call is clear: for visionary entrepreneurs ready to shape the future of South Africa’s automotive sector, the AITF stands ready to support, invest, and transform,“ Selumane said.
BUSINESS REPORT