announced
The promotion of the manufacture of electric and hybrid vehicles in SA was seen as important,
and here the APDP would play a role. In addition, the government was compiling standards
for these categories of vehicles and had a research programme under way with the University
of Port Elizabeth, as well as a commitment that the government would buy electric vehicles
where they were suitable.
“In themediumterm,SouthAfricamust become amanufacturingbase for energy efficient,green
vehiclesasglobaltrendsindicatethatthisiswheregrowthwillcomeinthefuture,”saidDrDavies.
The current programme to promote the local manufacture of buses and minibuses from semi-
knocked down (SKD) kits will continue until 2015, after which production will switch to
assembling completely knocked down (CKD) kits
The minister said that progress was being made to develop a multimodal vehicle manufacturing
plant in the East London Industrial Development Zone, with six companies short listed to
run this operation, which will assemble vehicles for a number of companies as a collective
venture. The decision on the operator will be made before the end of the year.
The Trade and Industry Minister said he did not see the recent announcement that Nissan was
to build vehicles in Nigeria as a negative for the SA motor industry, but rather as an excellent
opportunity for local vehicle and component makers to benefit as suppliers of products and
technology to the Nigerian operations.
“Developments such as these are very good for growing industrialisation on the African
continent, which is to be welcomed and I am to sign a co-operation agreement with my
Nigerian counterpart in the near future,” he explained.
The minister said he was encouraged by recent positive developments in the local motor
industry. These included Mercedes-Benz announcing it was to lift the annual output at its
plant in East London to more than 100 000 units, while Iveco and Larimar were building
an assembly plant in Rosslyn, at a cost of R530-million. He added that the visiting CEO of
the Ford Motor Company, Alan Mulally, had been positive in the outlook for his company’s
subsidiary in South Africa which builds vehicles in Silverton and engines in Port Elizabeth.
“Our local motor industry is now solidly established and well positioned for future growth,”
he said in conclusion.
Although Dr Davies
did not announce
any specific plans to
encourage labour
stability in the motor
industry he said all the
stakeholders, including
government, were
being encouraged
to create the very
necessary stability.
of SA motor industry
