KZN automotive sector to take a giant leap
KwaZulu-Natal Province’s automotive sector look set to take a giant leap following a meeting between the CEO of Toyota Andrew Kirby and the MEC for Economic Development, Tourism and Environmental Affairs Sihle Zikalala in his capacity as Acting Premier and Leader of Government Business.
The meeting was characterised by firm commitments to proactively push for the implementation of socio-economic development initiatives aimed at benefiting the people of KwaZulu-Natal and the whole country.
Zikalala remarked: “It should be noted that the enduring partnership between Toyota and government resulted in the multibillion expansion project totalling R6.1 billion. It is humbling to note that the Durban plant now has an annual production capacity of more than 220 thousands units and has already contributed in creating more than 8,000 jobs in the country. This is in addition to 4 000 people who were employed last year to make the Hilux and Fortuner models.
“Critically, we are steaming ahead with our plans aimed at establishing the Automotive Supplier Park in Durban. The acquisition of 1000 hectares of land for this park is a clear demonstration of concrete initiatives that will put this province on a new trajectory of economic development. Toyoya SA Motors currently contributes 7.2% to the country's Gross Domestic Product.
“Officials from designated organisations such as Dube Trade Port, Toyota SA Motors, eThekwini Municipality and provincial government are working together to ensure the realisation of this automotive park which will be anchored by the state-of-the-art technology. We are inundated with enquiries from international potential vehicle manufacturers who want to be accommodated in the park. These includes Scotland based Alexander Denis.”
“Having this automotive park in KZN, in addition to hosting the largest automobile manufacturer in Africa, is an affirmation of our resolve to remain the Gateway to Africa and the world. More than 50% of production from Toyota SA is exported to over 70 countries, a major support for the foreign currencies’ acquisition.”
“As we celebrate this major milestone, it is becoming abundantly clear that the automotive sector has a potential of becoming an engine for radical economic transformation for many years to come. In this regard, we have invited Toyota SA to work with government to fast-tracking the entry of people from previously disadvantaged communities into this sector of our economy. Our focus is on unleashing black industrialists and to facilitate skills development for the benefits of SMME and co-operatives.
“We have identified further opportunities for SMMEs and black industrialists in particular to become major role-players in the entire value chain such as automotive-leather-upholstery-manufacturing. Currently, the automotive upholstery industry is constituted of Aunde South Africa, situated Ezimbokodweni, while a small amount of automotive leather is produced by Toyota Boshuko and supplied exclusively to Toyota South Africa Motor Corporation for use in their locally produced vehicles, also situated in the South Durban area.”
“We welcome the expressed commitment by the management of Toyota towards transformation and achieving equity targets set by government. By and large, as government we want the partnership between the state and private sector to benefit the majority of our people who remain trapped in abject poverty remain stronger at all times. We must work together to create a better province with an equal society, living in harmony and knowing that tomorrow will be far better than yesterday.”
Enquiries:
Ndabezinhle Sibiya – Spokesperson for the Premier
Cell: 082 375 4742
Bongani Tembe - Spokesperson for the MEC of Economic Development, Tourism and Environmental Affairs
Cell: 082 327 2600
