SADC e-Mobility Outlook: Accelerating the Battery Manufacturing Value Chain

The SADC region possesses the raw minerals necessary for lithium-ion battery production but currently exports most as raw materials, missing value-addition opportunities. While South Africa has some R&D and assembly capabilities, the region lacks battery EV manufacturing plants due to policy gaps, infrastructure deficits, and a limited local market. The paper argues for regional collaboration, alignment with the SADC Industrialisation Strategy and Roadmap, and a 'just transition' to create jobs and economic growth.

• The SADC region possesses all the raw minerals required for lithium-ion battery production, including significant reserves of cobalt, with the region containing over 50 percent of global reserves.
• SADC member states are currently stuck at the bottom of the value chain because most minerals are exported as raw materials rather than being beneficiated locally, resulting in minimal revenue compared to value-added products.
• There are currently no battery electric vehicle (EV) assembly or manufacturing plants in the SADC region, driven by a lack of manufacturing incentives, inadequate infrastructure, and the absence of coherent enabling policies.
• South Africa is the primary hub for lithium-ion activities in the region, hosting the only accredited ISO 17025 laboratory for cell and battery testing in Southern Africa via the uYilo Battery Testing Laboratory.
• Major barriers to large-scale battery manufacturing in SADC include a shortage of STEM and business skills, limited financing for RDI, underdeveloped energy and transport infrastructure, and slow implementation of industrial policies.
• The transition to electric transport is estimated to create up to 10 million jobs worldwide, and investing in energy transition technologies is predicted to create nearly three times more jobs than fossil fuels per million dollars spent.
• The document recommends the formation of a regional battery alliance and the establishment of a regional body for testing and accreditation to ensure products meet international quality and safety standards.
• A 'just transition' is advocated for all regulatory frameworks, emphasizing that economic growth should not come at the expense of workers' income, livelihoods, or the environment, and should include women, youth, and people with disabilities.

APA

South African Institute of International Affairs (2020). SADC e-Mobility Outlook: Accelerating the Battery Manufacturing Value Chain. https://saiia.org.za/wp-content/uploads/2020/12/Occasional-Paper-316-foli.pdf

Chicago

South African Institute of International Affairs. SADC e-Mobility Outlook: Accelerating the Battery Manufacturing Value Chain. 2020. https://saiia.org.za/wp-content/uploads/2020/12/Occasional-Paper-316-foli.pdf.

Wikipedia

{{cite report |author=South African Institute of International Affairs |title=SADC e-Mobility Outlook: Accelerating the Battery Manufacturing Value Chain |date=December 2020 |url=https://saiia.org.za/wp-content/uploads/2020/12/Occasional-Paper-316-foli.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{southafricaninstituteofinternationalaffairs2020sadc, author = {{South African Institute of International Affairs}}, title = {{SADC e-Mobility Outlook: Accelerating the Battery Manufacturing Value Chain}}, institution = {South African Institute of International Affairs}, year = {2020}, month = dec, url = {https://saiia.org.za/wp-content/uploads/2020/12/Occasional-Paper-316-foli.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }