Johannesburg – The G20 Summit may have wrapped up, but its impact on South Africa’s aftermarket tyre and parts sector is only just beginning. Independent retailers are poised to benefit from strengthened local supply chains, increased investment in electric vehicle production, and a unified African market – all backed by international funding and government incentives.
“The summit has shifted the spotlight to a sector that truly keeps Africa moving – independent retailers and fitment centres,” says Dylan Petzer, National Vice-Chairman of the Tyre Equipment Parts Association, a proud association of the Retail Motor Industry Organisation (RMI). “For too long, discussions around automotive development focused on manufacturers and multinationals, but the real backbone of vehicle ownership has been overlooked. The G20 outcomes now give us an opportunity to reimagine how this sector operates and thrives.”
From raw materials to ready retailers
South Africa’s role in the global critical minerals economy has been elevated through the G20’s new Critical Minerals Framework. Local processing and value addition will strengthen supply chains, reduce costs, and make high-quality tyres and parts more accessible.
“When materials are processed locally rather than exported, manufacturers benefit from lower input costs, and retailers can offer better pricing and sustainable margins,” says Petzer.
The electric vehicle wave
With €750 million in European investment and government tax incentives running to 2036, electric vehicles (EVs) are creating a new customer base. “EVs require specialised tyres, brakes, and diagnostic tools. Retailers who invest in training and stock EV-appropriate products will capture this high-value market before larger chains notice the opportunity,” says Petzer.
The continental market is also opening up. African Continental Free Trade Area (AfCFTA), backed by the G20, is making cross-border retail expansion viable. “South African retailers can now access regional supply chains, establish franchises across Africa, and become distributors beyond national borders. The regulatory framework is being set up specifically to support this kind of expansion,” notes Petzer.
Skills, jobs, and community impact
G20 commitments on vocational training and apprenticeships are creating opportunities for retailers to incubate skills locally. “We see an opportunity for our TEPA businesses to become an incubator for TVET training, upskilling staff, and creating careers in a growing sector.”
There are also opportunities to leverage sustainability as part of the circular economy. “South Africa’s waste tyre management plan opens new revenue streams through retreading and responsible disposal. Corporate customers increasingly value sustainable solutions, offering retailers both environmental and financial returns, he says.
The G20 summit has highlighted the importance of independent retailers and how essential they are to Africa’s mobility. Opportunities are everywhere – from EVs to regional expansion and sustainable business practices. “The time to act is now. Africa’s moment has arrived, and South Africa’s tyre and parts retailers are there to help drive the transformation,” concludes Petzer.
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