Itac proposes R1bn investment in local NEV lithium ion battery production
16 June 2025 - 13:31
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The International Trade Commission of SA’s proposal to invest R1bn in local lithium ion new energy vehicle (NEV) battery production, to entice original equipment manufacturers to invest in electric car assembly lines, refers (“Itac proposes 15% kick-start for local NEV battery output”, June 12).
If the proposal had been made 15 years ago to power the Joule it might have worked. Now, Chinese NEV battery production capacity is so huge that the proposed 15% duty would have no meaningful effect. Europe tried the same idea with Northvolt, only to see it go into liquidation earlier this year.
In any case, lithium batteries may well lose out to the new sodium designs. If this is the best idea Itac can come up with, our automotive assembly industry is in even more trouble than I thought.
James Cunningham Camps Bay
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Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
LETTER: Battery idea a non-starter
Itac proposes R1bn investment in local NEV lithium ion battery production
The International Trade Commission of SA’s proposal to invest R1bn in local lithium ion new energy vehicle (NEV) battery production, to entice original equipment manufacturers to invest in electric car assembly lines, refers (“Itac proposes 15% kick-start for local NEV battery output”, June 12).
If the proposal had been made 15 years ago to power the Joule it might have worked. Now, Chinese NEV battery production capacity is so huge that the proposed 15% duty would have no meaningful effect. Europe tried the same idea with Northvolt, only to see it go into liquidation earlier this year.
In any case, lithium batteries may well lose out to the new sodium designs. If this is the best idea Itac can come up with, our automotive assembly industry is in even more trouble than I thought.
James Cunningham
Camps Bay
JOIN THE DISCUSSION: Send us an email with your comments to letters@businesslive.co.za. Letters of more than 200 words may be edited for length. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
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