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DP World unveils comprehensive logistics solutions for OEMs in South Africa

DP World unveils comprehensive logistics solutions for OEMs in South Africa

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DP World has introduced a comprehensive logistics and market-entry solution specifically designed for automotive original equipment manufacturers (OEMs) targeting sub-Saharan Africa.

This new offering aims to overcome persistent challenges such as inadequate logistics infrastructure, regulatory complexity, and inefficient distribution systems that have long hindered the expansion of global vehicle brands into the region.

As part of its rollout, the solution was successfully implemented in a pilot project with Foton Motor, a Chinese commercial vehicle manufacturer. Through DP World’s support, Foton was able to swiftly set up its aftermarket operations in South Africa, including warehousing, compliance with local regulations, streamlined distribution, and a digital dealer platform. This rapid deployment gave Foton a strategic advantage in entering the South African market with a well-integrated service network, enabling them to focus on customer engagement and business growth.

Features

DP World’s service model combines traditional contract logistics with tailored market-entry strategies into a single, unified platform. Features include nationwide delivery to dealerships within 24 to 48 hours, real-time tracking, automated inventory management, and integrated payment systems—all accessible through a digital portal for dealers.

According to DP World executives, this new model sets a benchmark for how automotive companies can expand efficiently in Africa’s evolving market landscape. The automotive sector in sub-Saharan Africa is expected to grow significantly, with vehicle demand projected to increase by nearly 29% by 2030, driven by rising income levels, urbanisation, and the growth of intra-African trade. However, despite this potential, the continent still accounts for just about 1% of global vehicle sales, mainly due to logistical and regulatory barriers.

DP World believes its new platform can bridge these gaps and serve as a scalable blueprint for international automakers looking to establish or expand their footprint in one of the world’s most promising automotive markets.