In a historic move set to reshape South Africa’s automotive landscape, the National Automobile Dealers’ Association (NADA) and the Southern African Vehicle Rental and Leasing Association (SAVRALA) have inked a formal partnership, cementing a decades-long informal alliance into a strategic powerhouse.
The Memorandum of Agreement (MOA), hailed as ‘long overdue’ by industry leaders, promises to amplify the sector’s influence on critical issues such as road safety, legislation, and economic policy.
The agreement, signed this week, marks a pivotal shift from fragmented advocacy to a cohesive strategy, enabling the two bodies to pool resources, research and lobbying efforts. For years, NADA and SAVRALA collaborated informally on shared challenges — from driver behaviour to insurance standards — but the new framework ensures their combined 2% contribution to national GDP will now drive policy discussions with unmatched clout.
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Sandile Ntseone (left) and Brandon Cohen
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“This isn’t just paperwork — it’s a game-changer,” says Brandon Cohen, NADA Chairperson. “Road safety, salvage protocols and engaging financial institutions — these are battles we’ve fought in silos. Now, with SAVRALA, we’re a united front. Together, we’ll steer the conversation with government, not just react to it.”
SAVRALA, whose members source vehicles directly from manufacturers and dealerships, has long been a linchpin in the automotive value chain.
Sandile Ntseoane, SAVRALA General Manager, emphasised the timing of the pact: “Our ties with NADA were always vital, but informal. Structuring this partnership means we can strategically align on issues such as emissions standards, EV infrastructure and consumer protections. It’s about leading, not following.”
The deal also aligns with the Retail Motor Industry Organisation’s (RMI) vision for a proactive, unified sector and RMI CEO Ipeleng Mabusela praised the MOA as a “watershed moment”, noting: “This isn’t just cooperation—it’s about dominating the narrative. Through joint research and advocacy, we’ll shape policies that fuel growth, rather than trailing behind them.”
Economically, the partnership’s potential is staggering. SAVRALA’s fleet operations and NADA’s dealership network — coupled with RMI’s aftermarket muscle — position the trio to wield significant influence. With the automotive sector contributing billions to South Africa’s economy, stakeholders anticipate the pact will streamline engagements with Treasury, transport authorities and insurers, particularly as the industry navigates shifts toward electric vehicles and tighter safety regulations.
The agreement signals a new era of strategic collaboration, with plans for joint task forces on road safety campaigns, data-driven policy proposals, and lobbying for industry-friendly legislation. For consumers, the partnership could spur faster adoption of greener vehicles and fairer insurance practices, experts suggest.
As Cohen succinctly put it: “Two wheels drive a car. Two giants can drive a revolution.”
With formal ties now in place, South Africa’s automotive sector is poised to shift gears — accelerating into a future where unity translates to undeniable influence.
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