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Gauteng Business 2017-18 edition

Gauteng Business 2017/18 is the ninth edition of this highly successful annual journal, that has established itself as the premier business and investment guide for the Gauteng province. Special features for 2017/18 include a focus on major new developments in the region’s metros, complemented by detailed overviews of the main economic sectors in South Africa’s most important provincial economy.

Gauteng Business 2017/18 is the ninth edition of this highly successful annual journal, that has established itself as the premier business and investment guide for the Gauteng province. Special features for 2017/18 include a focus on major new developments in the region’s metros, complemented by detailed overviews of the main economic sectors in South Africa’s most important provincial economy.

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OVERVIEW<br />

Automotive and components<br />

The South African Auto Master Plan has been unveiled.<br />

In the context of policy uncertainty in some areas of the South African<br />

economy, and in the year of elections to the top positions within<br />

the country’s ruling party, it was significant that a South African Auto<br />

Master Plan was announced in early July <strong>2017</strong>, just a few days after<br />

the policy congress of the African National Congress.<br />

The Department of Trade and Industry, working together with the<br />

National Association of Automobile Manufacturers of South Africa, set targets<br />

for 2035 to increase production to 1% of world volumes (which would<br />

mean 1.4-million more vehicles made in SA), increasing local content<br />

and doubling employment and black-owned businesses in the sector.<br />

Some of the world’s largest motor vehicle brands (including BMW,<br />

Ford, Nissan and Tata) have manufacturing facilities in <strong>Gauteng</strong>. The<br />

province is also home to a thriving automotive components industry,<br />

together with several bus and truck assembly plants. These include<br />

Scania, TFM Industries and MAN Truck and Bus South Africa, as well<br />

as the Chinese truck manufacturer FAW, which owns an assembly<br />

plant in Isando. Bejing Automotive Works (BAW) assembles taxis at<br />

Springs and has committed (with its partners) to a new investment<br />

of R250-million.<br />

BMW is spending R6-billion on its facility at Rosslyn to gear up to<br />

produce the X3. It already has a high reputation as a maker of the<br />

3 Series. The Ford Motor Company of South Africa started producing<br />

the Everest SUV at Silverton in 2016. The Nissan/Renault plant at<br />

Rosslyn, Pretoria, produces the Renault Sondero hatchback, Nissan<br />

light commercial vehicles and the Tiida and Livina models. UD Trucks, a<br />

part of the Volvo group, announced in <strong>2017</strong> that they will assemble the<br />

CONTACT INFO<br />

Automotive Industry Development Centre: www.aidc.co.za<br />

Automotive Industry Export Council: www.aiec.co.za<br />

Automotive Supplier Park: www.supplierpark.co.za<br />

National Association of Automobile Manufacturers of South<br />

Africa: www.naamsa.co.za<br />

National Association of Automotive Component and Allied<br />

Manufacturers: www.naacam.co.za<br />

SECTOR INSIGHT<br />

UD Trucks will assemble<br />

the Croner heavy vehicle in<br />

Rosslyn.<br />

Croner heavy commercial vehicle<br />

at Rosslyn.<br />

Armoured cars are also<br />

produced in <strong>Gauteng</strong>. DCD<br />

Protected Mobility manufactures<br />

armoured cars in Boksburg,<br />

which are branded as Vehicle<br />

Mounted Mine Detectors. In<br />

nearby Benoni, BAE Systems<br />

OMC designs and manufactures<br />

protected vehicles.<br />

The Automotive Industry<br />

Development Centre (AIDC), the<br />

City of Tshwane (CoT) and Tshwane<br />

Economic Development Agency<br />

(TEDA) are collaborating on a strategic<br />

project to boost the sector<br />

with a focus on infrastructure.<br />

Incentives are available to<br />

firms and investors within the<br />

automotive industry. The national<br />

Department of Trade<br />

and Industry’s Automotive<br />

Investment Scheme (AIS) offers<br />

from 20-30% in non-taxable<br />

grants to qualifying investments.<br />

Such incentives are a key factor<br />

in encouraging firms within the<br />

automotive industry to upgrade<br />

or expand their facilities.<br />

GAUTENG BUSINESS <strong>2017</strong>/<strong>18</strong><br />

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