Tshwane Automotive SEZ creating new job opportunities- 16 November 2021

Office of the Premier 2021/11/15 - 22:00



Gauteng news 

Despite the massive challenges posed by the COVID-19 pandemic, there is great progress in the construction and job creation at the Tshwane Automotive Special Economic Zone (TASEZ).

On Tuesday, Premier David Makhura, Economic Development MEC Parks Tau and the Deputy Minister of Trade, Industry and Competition, Fikile Majola visited the project in Silverton, Tshwane, to assess progress. 

The premier and his delegation were taken on a walkabout at the new Ford Motors Company Southern Africa body shop, which manufactures the raptor. The body shop currently employs over 300 people.

"Every time we come to Ford, there is a new number of people employed. This is proof that the Gauteng province can lead South Africa in building big things fast," said Makhura.

The delegation moved to the Feltex Trim plant that manufactures soft trim, including carpets, dashboard and insulation for the Ford Ranger. The plant was built-in just four months.

The next step was at the Aeroklas Duys plant which produces bed liners, side steps, rear bumpers, floor mats and box rails for the Ford Ranger. The plant currently employs 250 people with 500 more people expected to be employed when the factory ramps up its production line.

One of those employed at the Aeroklas Duys plant is previously unemployed Winston Majola (26) whom today can confidently assemble the sidestep for the Ford Ranger after receiving training abroad.

The TASEZ project, which in total will cover 204 hectares of land, was launched by President Cyril Ramaphosa in 2019. 

The zone which is currently under construction will be driven by automotive manufacturing and supplier development chain of various vehicle components and services to Ford Motor Company. 

Some of the component manufacturers, five in total, have already occupied facilities and their manufacturing operations have already begun even though it is at a small scale.

Overall, TASEZ project is expected to lead to the creation of more than 2088 jobs.

As a direct result of the President's investment drive, the TASEZ has unlocked a R15.8 billion investment injection into South Africa from Ford Motor Company, with a further R4.3bn investment from automotive components suppliers located in the Special Economic Zone (SEZ).

"Ford has been a great partner. They came at a very difficult time pandemic time. Our economy essentially is still struggling to recover from the impact of COVID-19. 

"However, localisation can still happen. As we were going through the different plants that are currently under construction, we calculated how many jobs have been created thus far and how many more will be created once the factories are in full operation," said Makhura who was impressed by the job opportunities created.

About 45% of the procurement spend at the TASEZ was on 662 Small, Medium and Micro Enterprises (SMMEs) and a further R25 million went towards training and skills development of the SMME operators.

According to government, the TASEZ presents the country with comparative and competitive advantages to accelerate industrialisation.

These advantages include a well-developed automotive industry, with advanced manufacturing capabilities and appropriately skilled workforce and access to growing markets.

This will help to expand and transform the country's manufacturing base, improve its export capacity, create employment and develop skills.

Furthermore, the TASEZ fulfils the District Development Model objective of coordinated development and economic opportunities in local areas. It also focuses on attracting foreign direct investment and growing exports of value-added commodities.

SEZs offer various incentives such as reduced corporate tax rates, VAT and customs relief, building allowances and an employment tax incentive.

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