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Is Daihatsu coming back to SA?

At the recent Toyota State of the Motor Industry (SOMI) 2026 event in Sandton, the local automotive landscape received a jolt of nostalgia, mixed with a future-forward strategy. Amidst the talk of New Energy Vehicles (NEVs) and market dominance, a name from the past echoed through the halls: Daihatsu.

Automotive News3 min read

While not an official grand reopening of showrooms just yet, the speculation is reaching a fever pitch. Here is a look at what was said, what it means, and whether we’ll see the return of the badge that gave us the Terios and the Sirion.

The hint that sparked the hype

During the presentation, Leon Theron, Senior Vice President of Sales and Marketing for Toyota South Africa Motors (TSAM), dropped a significant breadcrumb. He noted that Toyota is looking to "leverage" the Daihatsu brand to fill a critical gap in the South African market: affordable mobility.

Theron stated:

"We would really like to get more involved now in Daihatsu in the South African context [to] give us an affordable option as a brand that we will definitely be investing in going into the future."

This marks a massive shift in tone. Since Daihatsu exited SA in 2015, the brand has been a silent partner globally, owned entirely by Toyota and focusing heavily on Southeast Asian markets. Now, it seems the compact-car specialist is back on the cards for Mzansi's.

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Why now? The battle for the budget crown

The timing isn't accidental. The South African market has become increasingly price-sensitive.

  • The Suzuki factor: Toyota has seen massive success with its alliance models (the Starlet and Rumion), which are essentially rebadged Suzukis. However, owning Daihatsu outright gives Toyota more control over the supply chain and profit margins.

  • The Chinese influx: With brands like Chery, GWM, and a wave of new entrants (Denza, Zeekr) flooding the market with high-spec, lower-cost vehicles, Toyota needs its own dedicated "value" weapon.

Will the badge actually return?

This is the million-rand question. There are two likely scenarios for how this plays out:

The badge engineering route (most likely)

Toyota already sells Daihatsu-developed cars under the Toyota badge. The old Toyota Agya (Daihatsu Ayla) and the Toyota Rush (Daihatsu Terios) are prime examples. Speculation suggests we might see the Daihatsu Rocky (a compact SUV) arrive as a new Toyota-branded entry-level crossover, sitting below the Urban Cruiser.

A standalone brand relaunch (the long shot)

If Toyota feels the Toyota brand is becoming too premium/expensive, they could relaunch Daihatsu as a standalone budget brand, much like Renault did with Dacia in Europe. This would allow them to compete head-to-head with Suzuki's dominance in entry-level models without "diluting" the Toyota name.

What models could we see?

If the speculation holds true, three Daihatsu-rooted models are top of the "wishlist" for South Africa:

  • The new Terios: A rugged, compact 7-seater that South Africans famously loved.

  • The Rocky: A stylish small SUV that would compete with the Suzuki Fronx and Nissan Magnite.

  • The Mira/Ayla: A successor to the Agya to tackle the ultra-budget segment (sub-R200k).

  • The Sirion- A familiar product for South Africans could make a return!

Verdict

While SOMI 2026 didn’t provide a launch date or price list, it confirmed that Daihatsu is no longer off the table. Whether it returns as a badge on the grille or just the DNA under a Toyota skin, the message is clear: Toyota wants to reclaim the bottom end of the market, and they’re looking to their small-car specialists to do it.

Author - Sean Nurse

Written by Sean Nurse

With a lifelong passion for cars, bikes, and motorsport, Sean knew that attaining a degree in journalism would allow him to pursue his passion, which was to be a motoring journalist. After graduating in 2012, Sean was awarded a bursary from the SAGMJ which allowed him to work for a variety of motoring publications. This was a dream come true for Sean, and after a year of gaining vital industry experience, he was hired as a motoring journalist at a local newspaper and worked his way up to editor. In 2020, Sean joined the AutoTrader team and counts himself lucky to wake up and genuinely love what he does for a living.Read more

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