JOHANNESBURG, South Africa: Chinese automaker Chery has officially taken over Nissan's former vehicle manufacturing plant in Rosslyn, South Africa, marking a key step in its plans to establish the country as its African production hub.

The takeover, completed on July 3 under a deal announced in January, will see Chery invest millions of dollars to upgrade the factory and install new machinery before vehicle production begins in mid-2027.

The company said it aims to make South Africa its regional center for manufacturing, exports, research and development, and broader operations across Africa.

Chery, China's largest car exporter, has committed to retaining all 692 employees currently working at the Rosslyn plant.

"Our long-term goal is to turn the Rosslyn plant into a complete auto center with research and development, supply chain operations, and training, supporting Chery's expanding presence and the goal of exceeding 100,000 annual vehicle sales in South Africa," Chery Auto Vice President Charlie Zhang said during a ceremony at the former Nissan facility.

The event was attended by company executives, government officials and industry representatives.

Initially, the plant will manufacture the Jetour T series, including the T1, Jaecoo J5 and Chery Tiggo 4 sport utility vehicles. The Jaecoo J5 will be produced in both internal combustion engine and new energy vehicle versions.

Zhang told reporters the company would invest millions of dollars in upgrading the site's facilities and utilities but did not disclose the amount. During the production ramp-up in the third and fourth quarters of 2027, Chery expects to build about 15,000 vehicles.

The automaker has also launched a program to increase local sourcing, targeting 40% local content in the initial phase while assessing tier-one suppliers.

Chery Auto Executive Vice President Zhang Guibing said the company also plans to bring suppliers from China, particularly those producing electric and intelligent vehicle components.