Mercedes-Benz South Africa (MBSA) has restarted the assembly line at its East London plant following what it called a “planned nonproduction period” that ran from June 25 to the end of July.
The company told IOL that the planned non-production period, effective from June 24 to 31 July 2025, is a normal occurrence.

“An annual non-production period at the East London production plant is standard procedure and it is common cause for production plants to suspend production based on volume adjustments in the production programme,” an MBSA spokesperson said.

“Mercedes-Benz South Africa (MBSA) continually assesses and adjusts its production planning in alignment with global demand, market dynamics, and the company’s strategic objectives.”

The Mercedes Benz factory in East London

According to reports a spokesperson for the local arm says production restarted, as planned, on 31 July on a two-shift system. The company produces the C-Class sedan for the local and export markets.

There were many reports that East London faces serious challenges as Mercedes-Benz is reportedly concerned about the future of its production plant in the city due to the impending US tariffs. The Mercedes-Benz plant contributes significantly to the city’s jobs and broader economy, and a potential shutdown or exit could spell disaster for the region. South Africa boasts a strong automotive legacy, having celebrated 100 years of the industry in 2024.

The industry, accounting for 5.1% of the country’s GDP, supports 116 000 jobs on the manufacturing side alone, and close to 400 000 on the retail and repair side.

Like many other countries Donald Trump imposed a 25% blanket tariff on all automotive imports into the country. The US is a major export destination for MBSA, which currently produces the C-Class sedan in both left-hand-drive and right-hand-drive models for numerous world markets.

The facility in East London currently employs 2 400 people, and produced a volume of 70 000 vehicles in 2024, making it one of the country’s top automotive exporters.

According to the National Association of Automobile Manufacturers of South Africa (Naamsa), vehicle exports to the US dropped by a staggering 82% in the first half of 2025.

Only 2 875 vehicles were shipped to the US between January and June, compared to over 16 000 in the same period last year. Nearly all of these were C-Class models built at the Mercedes-Benz facility in East London.

The East London plant, located along the Buffalo River, has been operational since 1962 and was for many years Mercedes-Benz’s flagship quality-control site outside of Germany.