The Automotive Investment Scheme (AIS) is a financial incentive administered by the Department of Trade, Industry and Competition (the dtic), targeting the South African automotive industry. The scheme provides a non-taxable cash grant to eligible automotive enterprises investing in new and/or replacement models and components, with the aim of increasing plant production volumes, sustaining employment, and strengthening the broader automotive value chain.
OEMs (Light Motor Vehicle Manufacturers / Original Equipment Manufacturers) qualify for a 20% grant on qualifying productive asset investment. Component manufacturers, deemed component manufacturers, and tooling companies qualify for a 25% grant. Both categories are subject to B-BBEE compliance requirements as per the applicable AIS guidelines.
New OEM applicants must achieve a minimum production volume of 50 000 units per annum per plant within 24 months after the anticipated start of production date. Failure to maintain this threshold results in a reduction of the base grant. A special dispensation on volumes may be considered for new OEMs entering South Africa for the first time.
Component manufacturers must demonstrate supply into the OEM supply chain, evidenced by a contract or letter of intent, and must show OEM supply chain turnover of at least 25% of total entity turnover or R10 million per annum from OEM supply chain invoicing.
An additional competitiveness improvement grant of up to R1 million per entity per two-year cycle is available to component manufacturers, deemed component manufacturers, and tooling companies. This supports skills development, process and quality improvements, and business development services within the first two years after the start of production date.
The AIS is available to two categories of automotive enterprises:
All applicants must be B-BBEE compliant as per the applicable AIS guidelines and must adhere to applicable legislative requirements governing the sector.
The AIS provides a non-taxable cash grant as follows:
The AIS grant applies to qualifying investment in productive assets related to:
For application:
For claims:
You likely qualify if:
You likely do not qualify if:
Applicants must submit the relevant application form (OEM or Component/Deemed Component Manufacturer), evidence of B-BBEE compliance, and for component manufacturers, a contract or letter of intent for OEM supply chain supply plus evidence of OEM supply chain turnover.
Component manufacturers must supply directly into the OEM supply chain locally and/or internationally, evidenced by a contract or letter of intent.
Applications: AISapps@thedtic.gov.za
Enquiries: AISContact@thedtic.gov.za
Claims: AISClaims@thedtic.gov.za
Most applications are delayed or declined due to incomplete submissions. Preparing the items below upfront will significantly improve your chances.
Core documents (required for almost all funds)
Project‑specific documents (depending on the fund)
Additional requirements
Timelines vary by fund and depend heavily on the quality and completeness of your application.
Email Address: NFMcustomercare@thedtic.gov.za
Mr. Mahlatse Mothapo: 012 394 3554 / 082 903 5845
Ms. Jane Mtshali: 012 394 1385
Email Address: NGLcustomercare@thedtic.gov.za
Mr. David Molefe: 012 394 1262
Ms. Selinah Swaratlhe: 012 394 1140
Email Address: WCcustomercare@thedtic.gov.za
Mr. Elias Rafapa: 021 480 8064 / 063 688 6466
Mr. Vuyo Zitha: 021 480 8055 / 066 306 8424
Ms. Monica Masangwana: 021 480 8063 / 082 647 3611
Email Address: ECcustomercare@thedtic.gov.za
Mr. Andre Le Grange: 041 502 9000 / 060 753 0751
Mr. Simphiwe Ngonyama: 060 753 0663
Ms. Princess Konza: 072 295 4806
Email Address: KZNcustomercare@thedtic.gov.za
Mr. Wiseman Myeni: 076 129 9697
Ms. Rajeshri Sardha: 072 295 1480
Ms. Neela Govender: 072 296 0369
Ms. Constance Gumede: 072 296 1837
Use the following tools to help you apply:
