Tasez

automotive

SA investment drive shifts from promises to infrastructure delivery

By Mandla Mpangase South Africa’s investment agenda is entering a new phase, with infrastructure development emerging as central to converting pledges into visible economic growth, as the country prepares to host the sixth South Africa Investment Conference under the theme “Investment that delivers”. The conference, on 31 March 2026 at the Sandton Convention Centre in Johannesburg, is designed to move beyond policy commitments toward “bankable, deployable opportunities” that translate into measurable outcomes. This shift reflects a broader evolution in the country’s investment strategy – from attracting commitments to ensuring implementation – with infrastructure positioned as the backbone of that transition. Infrastructure at the centre of investment strategy Government and industry leaders have increasingly aligned around a common understanding: without modern, reliable infrastructure, investment cannot scale. Recent policy signals reinforce this priority. In the Presidency Budget vote for 2025/2026,  South Africa committed more than R1-trillion to public-sector infrastructure over three years, with a strong focus on transport, logistics, and energy systems – all critical enablers of industrial expansion. At the same time, the South Africa Investment Conference is structured to showcase projects that are not only investment-ready but also already placed within broader infrastructure ecosystems. These include logistics corridors, industrial parks, and sector-focused development zones designed to unlock productivity and competitiveness. Minister of Trade, Industry, and Competition Parks Tau underscored this approach in the build-up to the conference, noting that South Africa is making its investment case “not with promises alone, but with proof”, as billions in previous pledges are already being funneled into operational projects. More than R600-billion from earlier investment commitments has already flowed into new factories, mines and productive infrastructure, signaling a growing emphasis on execution. Speaking in the run-up to the conference, Minister Tau emphasised that South Africa’s national strategic landscape, underpinned by the Growth and Inclusion Strategy and the country’s ongoing reform agenda, provides a coherent, compelling framework for investors who are serious about long-term returns in a high-potential emerging market. TASEZ: A model of infrastructure-led industrialisation Within this national framework, the Tshwane Automotive Special Economic Zone (TASEZ) has emerged as a leading example of how targeted infrastructure investment can catalyse industrial growth. Strategically located within Gauteng’s automotive corridor, TASEZ integrates world-class manufacturing facilities with purpose-built logistics infrastructure, enabling seamless movement of goods between production sites, suppliers and export channels. Its development has been closely tied to anchor investments in the automotive sector, demonstrating how infrastructure, when aligned with industry needs, can rapidly unlock value chains and attract further investment. Crucially, TASEZ illustrates a shift in how special economic zones are being positioned in South Africa. Rather than operating as isolated industrial parks, SEZs are increasingly viewed as integrated ecosystems, combining: This integrated approach is central to improving competitiveness, particularly in sectors such as automotive manufacturing, where logistics efficiency and supply chain reliability are decisive factors. Linking infrastructure to localisation and jobs Infrastructure investment is also directly tied to South Africa’s localisation and job creation agenda. Discussions feeding into the South Africa Investment Conference have highlighted how infrastructure gaps continue to constrain local manufacturing, particularly in component production and supply chain integration. By addressing these bottlenecks, projects like TASEZ are helping to: This aligns with broader industrial policy objectives, with infrastructure viewed as a strategic tool for economic transformation. From investment platform to delivery engine The evolution of the South Africa Investment Conference reflects a maturing investment ecosystem that prioritises delivery, accountability and measurable impact. With infrastructure at its core, the conference is positioning South Africa as a destination where capital is not only welcomed, but effectively deployed. In this context, TASEZ stands out as a tangible demonstration of what “investment that delivers” looks like in practice: a project where infrastructure, policy alignment and private-sector participation converge to create a functioning industrial hub. As the country seeks to deepen its investment pipeline and accelerate growth, infrastructure is the foundation upon which South Africa’s next phase of industrialisation will be built.

SA’s investment prospects buoyed by economic recovery

In his weekly newsletter on Monday, 30 March 2026, President Cyril Ramaphosa gears up for the sixth South Africa Investment Conference taking place in Sandton, Gauteng. This week, we will be welcoming delegates from more than 50 countries to the sixth South Africa Investment Conference (SAIC) in Sandton, Gauteng. Since its inception in 2018, the SAIC has grown to become a premier global forum for showcasing the attractiveness of investment opportunities in our country to domestic and international investors. Investment conferences play a key role in attracting foreign direct investment (FDI) as high-profile platforms that connect international investors with local opportunities. They also facilitate strong partnerships by bringing together governments, business, banks and development finance institutions. As investors look to destinations that have demonstrated resilience in the face of increasingly volatile global financial conditions, South Africa presents a favourable proposition. We are Africa’s largest economy with a diversified industrial base. Since we began our first R1,2-trillion investment mobilisation drive in 2018, we have secured investment pledges in mining, healthcare, automotive, food and beverage and others, reflecting the sophistication of our economy.  South Africa is also the leading destination for renewable energy investment on the continent, with these investments making up a considerable share of the total pledges made at previous conferences. We have a sound policy and regulatory environment, offering certainty to investors at a time when we are just one of many emerging markets across the globe vying for capital. We are also a gateway for businesses looking to set up or expand their operations in Africa. Through this conference, as well as the five preceding ones, we will be seeking to build even greater confidence in our country as an investment destination, and to demonstrate our commitment to structural reform, policy certainty and policy execution. The green shoots of economic recovery we are experiencing further bolster our position. The macroeconomic outlook has improved. We experienced four consecutive quarters of growth by the end of 2025, national debt has stabilised, and more jobs are being created. Last year, our sovereign rating was upgraded for the first time in 17 years, and we were removed from the Financial Action Task Force grey list. The structural reform agenda being driven through Operation Vulindlela has unlocked progress in electricity, freight logistics, water, telecommunications, and the visa system. We have brought load-shedding to an end and are creating a new, competitive electricity market that will ensure energy security and attract investment. The country’s logistics sector is being rapidly modernised, and we are enabling private investment in port and rail operations. Among the projects for which we have initiated a Private Sector Participation (PSP) process are the Ngqura Manganese Export Corridor in the Eastern Cape and the Richards Bay Dry Bulk Terminal in KwaZulu-Natal. Last year we also signed a 25–year concession for the Durban Container Terminal Pier 2, representing R11-billion in private investment. A system for third-party access to the freight rail network is in place, and 41 freight rail slots have been allocated to private companies. We have implemented reforms to the visa regime to attract new skills and promote tourism. These include operationalising the Remote Work Visa, introducing a Trusted Employer Scheme to support major investors, and piloting an Electronic Travel Authorisation system. By showcasing the progress and durability of the reform agenda, our goal is to grow the pool of inward investment from businesses and countries that will ultimately be a bridge to new markets, technologies and networks for South Africa. This year’s conference has to date attracted more than 1 000 delegates from more than 50 countries. At the end of our first five-year investment mobilisation drive in 2024, we exceeded our target by 26%, securing pledges valued at R1,57-trillion. Over 300 projects were initiated, and to date, 161 of these have been finalised or are under construction. The pledges have not been merely vague commitments and promises, but have materialised as tangible, brick-and-mortar projects that are creating jobs for our people. Last year I opened the Platreef Mine in Mokopane in Limpopo, which is positioned to play a leading role in the production of sought-after critical minerals for the energy transition. This facility that employs more than 2 000 workers from the local community and is partly owned by a community trust emanated from a R2,8-billion investment pledge by Ivanhoe Mines at the South Africa Investment Conference in 2022. Last year, I also visited the BMW plant in Rosslyn in Tshwane, where the automotive giant has invested R4,2-billion for the electrification of its only plant on the continent that will be producing the BMW X3 Plug-in Hybrid electric vehicle. This was also an investment pledged at the SAIC. By showcasing our unique and favourable proposition as an investment destination of choice, we have set ourselves the goal of mobilising R2-trillion in new investments by 2028. As we strive to achieve growth that creates jobs for our people, this next phase will move from pledges towards implementation. This year’s investment conference stands at the crossroads of opportunity and ambition. The clear message we will be delivering is that we remain committed to staying the course on fiscal discipline, to accelerating the momentum of the reform agenda – and to leveraging investment to build an economy that is inclusive, transformed and that benefits all.

FER designates gain insight into TASEZ’s catalytic role in driving economic growth

By Mandla Mpangase Foreign Economic Representative (FER) designates in South Africa were given an on-the-ground look at one of the country’s most strategic industrial assets during a site visit to the Tshwane Automotive Special Economic Zone (TASEZ) on Monday, 23 March 2026. The visit highlights the zone’s growing role as a catalyst for investment, trade and industrial expansion. FERs provide direct access links to foreign markets for South African businesses, spot and recruit foreign direct investment into South Africa, gather foreign market intelligence, and assist South African and foreign businesses in accessing the Department of Trade, Industry, and Competition’s (the dtic) various programmes. They play a central role in marketing South Africa internationally and are essential for attracting foreign investment and ensuring that South African businesses can access international markets. Monday’s visit to TASEZ formed part of the dtic’s FER Capacity Building Programme, which is aimed at equipping South Africa’s economic diplomats with the tools and insights needed to position the country competitively in global markets. TASEZ, South Africa’s flagship Special Economic Zone, is driving a new model of integrated, export-oriented industrial development anchored in the automotive sector. “Our vision is to be the benchmark for SEZs in South Africa while contributing to the growth of the automotive sector, to be a major creator of new businesses and contributor to employment, transformation, and socio-economic development,” TASEZ CEO Dr Bheka Zulu told the designates. Located adjacent to the Ford Motor Company’s Silverton assembly plant in the City of Tshwane, the zone has become an important node in South Africa’s automotive value chain, linking manufacturers, component suppliers and logistics infrastructure. For FER designates, the visit underscored the importance of SEZs as practical instruments of economic policy, not simply as investment destinations, but as places that enable scale, efficiency and global competitiveness. The programme emphasises the role of provincial investment promotion agencies and SEZs in attracting foreign direct investment, facilitating trade and supporting exporters. Through exposure to projects like TASEZ, designates are able to see for themselves how economic policy converts into investment assets that appeal to international investors. During the visit, participants were introduced to the operational aspects of the zone, including its infrastructure offering, investor incentives and sectoral focus. The experience provided insight into how TASEZ is addressing key investor requirements such as proximity to original equipment manufacturers (OEMs), access to logistics corridors, and a supportive regulatory environment. “We see TASEZ as an engine for growth, an engine for development and an engine for innovation,” Dr Zulu told the visitors. In addition to its location in the country’s economic hub of Gauteng, TASEZ is also positioned as a catalytic project within the province’s broader industrial strategy – demonstrating how public-private partnerships can unlock large-scale investment and stimulate downstream economic activity. The site visit also highlighted the importance of aligning national economic diplomacy with provincial growth strategies. The on-site visit allows FER designates to identify investment opportunities and facilitate trade partnerships in their respective markets. As South Africa intensifies its efforts to attract investment and expand exports, initiatives such as the FER Capacity Building Programme, coupled with exposure to high-impact projects like TASEZ, are working hard to strengthen the country’s ability to compete globally.

Logistics roundtable sets stage for 2026 Gauteng Investment Conference

By Mandla Mpangase “The opportunity is not ahead of us – it is here,” the head of the Gauteng Department of Economic Development, Motlatjo Moholwa, told participants at a high-level roundtable on logistics in Pretoria on 19 March 2026. With Gauteng contributing approximately 34% of South Africa’s GDP and more than 45% of its manufacturing output, Moholwa used the platform to reinforce the province’s position as the country’s industrial powerhouse and a prime destination for investment. The roundtable, convened by the Automotive Industry Development Centre (AIDC) and the Tshwane Automotive Special Economic Zone (TASEZ), forms a key part of the build-up to the 2026 Gauteng Investment Conference taking place on 9 April 2026 It brings together senior representatives from government, state-owned entities, logistics operators, manufacturers and investors to align on priorities that will shape Gauteng’s investment pipeline. “This roundtable is more than a conversation,” Moholwa said. “It is a strategic platform feeding into the Gauteng Investment Conference, where we will showcase bankable projects and present Gauteng as an investment-ready destination.” Driving toward an investment-ready province At the heart of discussions is the need to strengthen Gauteng’s logistics ecosystem to support industrial expansion, particularly in the automotive sector, where the province hosts a dense network of component manufacturers and OEM-linked operations from Rosslyn in the west to Silverton in the east, and across the broader Tshwane corridor. Participants are focusing on practical reforms to: These interventions are expected to play a key role in attracting private sector participation and ensuring that infrastructure development aligns with the province’s broader industrial strategy ahead of April’s conference. Localisation and industrial growth A major theme emerging from the roundtable is the importance of component localisation in deepening Gauteng’s manufacturing base. “With its well-developed industrial infrastructure, access to skilled and semi-skilled labour, and strong technical training institutions, Gauteng is not just participating, it is a leading component manufacturing. “This makes the province an ideal destination for investment,” Moholwa said. Moholwa highlighted opportunities in import replacement, the growing automotive aftermarket, and export expansion through the African Continental Free Trade Area (AfCFTA). He also pointed to the rise of green mobility as a new frontier for investment, particularly in electric vehicle components and advanced materials. However, he stressed that unlocking this potential will require deliberate action, including stronger supplier development programmes, improved access to finance, and greater coordination between OEMs and local suppliers. Infrastructure is the foundation Infrastructure remains a central pillar of Gauteng’s investment drive. The roundtable discussions are exploring how enhanced road and rail integration, coupled with targeted infrastructure investment, can reduce inefficiencies and improve the movement of goods across key corridors. With established industrial zones, specialised facilities such as the Automotive Supplier Park, and incentives offered through special economic zones like TASEZ, Gauteng is positioning itself as a globally competitive manufacturing hub. “Manufacturers benefit from market access to the SADC region, an established industrial base that reduces the cost of entry, and dedicated facilities such as the Automotive Supplier Park and Special Economic Zones like TASEZ, which offer world-class infrastructure, incentives, and streamlined regulatory processes. Public-private partnerships and government commitment further strengthen the province’s investment readiness,” Moholwa added. Countdown to 9 April As the province prepares for the conference, engagements like today’s roundtable are helping to refine its investment narrative to one based on infrastructure development, industrial expansion and localisation. “Scaling localisation requires deliberate action,” he said. “We must strengthen supplier development programmes to build technical capability and quality standards, improve coordination across OEMs and suppliers, and invest in skills development, technology adoption, and industrial infrastructure. “Equally important is enhancing access to finance and markets for emerging manufacturers and providing policy certainty that encourages local production.” The head of the province’s Department of Economic Development issued a three-fold challenge to the participants at the roundtable: “We call on industry to invest, expand, and partner locally. We call on government and agencies to enable, support, and accelerate. And we call on all stakeholders to collaborate in building a globally competitive, locally anchored manufacturing ecosystem.” Moholwa’s call to action was unequivocal: collaboration between government, industry and institutions will be essential to translate plans into tangible investment outcomes. With just weeks remaining before the conference, Gauteng is not only making its case to investors, it is also shaping the conditions needed to secure long-term, inclusive economic growth.

Logistics roundtable to shape investment agenda ahead of Gauteng Investment Conference

By Mandla Mpangase As Gauteng gears up for the highly anticipated Gauteng Investment Conference (GIC) on 9 April 2026, government and industry are intensifying efforts to position the province as a leading investment destination, with infrastructure, manufacturing and the automotive sector at the centre of that strategy. A key step in this journey is an upcoming high-level Logistics Roundtable, convened by the Automotive Industry Development Centre (AIDC) and the Tshwane Automotive Special Economic Zone (TASEZ). The engagement will bring together senior representatives from government, state-owned entities, logistics operators, manufacturers and investors to address one of the most critical enablers of economic growth: an efficient, modern logistics ecosystem. The roundtable is not a standalone event, but a precursor to the GIC, designed to ensure that the province’s investment propositions are cemented in practical, bankable solutions. By tackling structural bottlenecks and identifying opportunities for reform, the session will help shape the infrastructure and logistics priorities that will be presented to investors in April. At the heart of discussions will be the urgent need to strengthen freight and corridor efficiency, a longstanding constraint on South Africa’s industrial competitiveness. Stakeholders will explore ways to improve the integration of road and rail networks, reduce congestion, and unlock the full potential of Gauteng as a logistics hub for both domestic and regional trade. Equally important is the focus on infrastructure investment. With growing demand for reliable transport networks, energy systems, and industrial facilities, the roundtable will seek to identify projects that are not only viable but also capable of attracting meaningful private-sector participation. These projects are expected to form part of a broader investment pipeline to be showcased at the conference. The manufacturing sector, particularly automotive production, will feature prominently in the discussions. As one of Gauteng’s key economic drivers, the automotive industry holds significant potential for job creation, industrial expansion and export growth. The roundtable will examine how improved logistics and infrastructure can enhance the competitiveness of manufacturers operating within the province, including those in strategic hubs such as TASEZ. A highlight of the programme will be a panel discussion on component localisation, a key issue for the sustainability of South Africa’s automotive value chain. Panellists will assess how increasing the local production of automotive components can strengthen domestic supply chains, reduce import dependency, and create new opportunities for local manufacturers. However, the discussion will also address the practical challenges of localisation, particularly logistics inefficiencies and infrastructure limitations. Addressing these constraints will be key to ensuring that localisation efforts translate into tangible economic gains. Ultimately, insights from the Logistics Roundtable will feed directly into the Gauteng Investment Conference, helping to align industrial development priorities with the province’s broader investment strategy. By ensuring that policy, infrastructure and industry needs are closely coordinated, Gauteng aims to present a compelling, investor-ready narrative. As the countdown to 9 April continues, the message to potential investors is clear: building a competitive economy requires more than ambition; it demands coordinated action, strategic investment, and a logistics system capable of supporting growth at scale.

TASEZ calls on youth to ‘wake up’ to jobs and training opportunities

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) has issued a strong call to young people in Mamelodi, Eersterust and surrounding communities: opportunities exist, but initiative is essential. Speaking on Poort FM on 3 March 2026, TASEZ Stakeholder Engagement Manager Khutso Semetjane urged residents, particularly the youth, to actively pursue training and employment prospects linked to the automotive hub anchored by Ford Motor Company. 9 440 direct jobs, thousands more indirect Semetjane detailed the measurable economic impact of the special economic zone (SEZ) since its establishment. On the construction side alone, TASEZ has created over 6 000 jobs. Within the zone, more than 3 400 permanent jobs have been created by operational investor companies. “When you calculate indirect employment,” he explained, “for every job inside the SEZ, roughly three more are created outside.” That includes supply chain businesses such as paint manufacturers, logistics operators and component suppliers servicing vehicle production, including the Ford Ranger and Everest lines assembled in Tshwane. In total, the broader ecosystem linked to the SEZ supports more than 10 000 direct jobs and an estimated 40 000 indirect jobs. However, Semetjane acknowledged current pressures in the automotive sector, including job losses linked to global market adjustments. He confirmed that TASEZ has temporarily suspended its general labour database due to reduced hiring activity, but will reopen it as Phase 2 construction begins and new investors come on stream. 70% of construction jobs reserved for locals A key highlight of the interview was TASEZ’s commitment to local economic inclusion. For Phase 2 construction, 70% of jobs will be allocated to residents from surrounding communities, including Mamelodi, Eersterust, and Nellmapius. The remaining 30% will be sourced externally. Similar targets apply to permanent jobs, except where highly specialised skills are unavailable locally. “We are intentional about inclusion,” Semetjane said. “But we also have to protect the investment. Investors must have confidence in the environment.” Training that leads to work, not just certificates TASEZ has prioritised practical, industry-aligned training to ensure meaningful employment outcomes. Among the interventions are: Semetjane stressed that some programmes require minimum qualifications, often Grade 10, while others are open to participants without formal schooling. Importantly, he said, training is designed with an “exit plan” to connect graduates to real opportunities. In one recent example, a TLB (tractor, loader, backhoe) trainee secured employment within a month of completing training. The SEZ also works closely with TVET (technical and vocational education and training) colleges, including Tshwane North TVET College, from which 16 of the 23 current interns and graduates placed at TASEZ originate. A formal memorandum of understanding is being finalised. In addition, the TASEZ Training Academy bridges the gap between classroom learning and industry readiness, addressing investor concerns that some graduates lack practical competence. Youth readiness a growing concern While emphasising opportunity, Semetjane raised concerns about youth preparedness. He cited instances where job applicants: “There is a serious need for non-financial intervention,” he said. “We must engage youth about professionalism, research, digital literacy and self-development.” He encouraged matriculants to prioritise mathematics and science if they wish to enter the automotive or engineering sectors, noting that these subjects significantly improve competitiveness. Community access points TASEZ has appointed nine community liaison officers (CLOs), one for each ward in its catchment area, to serve as the first point of contact for employment and training enquiries. Semetjane urged community members to: CSI and community projects On corporate social investment, Semetjane said TASEZ facilitates partnerships between investors and local non-governmental organisations. However, he cautioned that due diligence is essential after instances of misrepresentation by some organisations. Community groups are encouraged to submit proposals well in advance, as investor approvals can take months. Let success be visible In closing, Semetjane made a heartfelt appeal to beneficiaries of SEZ opportunities. “When people succeed, they disappear,” he said. “We need those success stories to come back and inspire others. It builds confidence that this project is real.” As Phase 2 expansion begins, TASEZ leadership is positioning the zone not merely as an industrial hub but as a catalyst for inclusive economic transformation. “More investment means more jobs,” Semetjane concluded. “But we must act responsibly and seize the opportunity when it comes.”

TASEZ enterprise development driving MSME growth and job creation

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) is intensifying its focus on enterprise and supplier development as a key lever for inclusive industrialisation, with focused training programmes, support for medium, small and micro enterprises (MSMEs), and value-chain integration already translating into jobs and business growth. Speaking in a radio interview on Poort FM on 24 February 2026, Senior Manager Enterprise Development, Sibusiso Khuzwayo, said the TASEZ enterprise and supplier development programme is designed to create practical opportunities for MSMEs across the automotive ecosystem, from construction and maintenance to long-term automotive black industrialist participation in the automotive industry. “Our enterprise and supplier development is fundamentally about creating opportunities for MSMEs within the automotive sector,” Khuzwayo said. “As a Special Economic Zone, we create opportunities during construction, during the operational phase and after market, importantly, through our tenants, including OEMs and tier-one suppliers within the Zone and other industries in the automotive sector, so that small businesses can participate in the full value chain.” Construction to operations Khuzwayo highlighted that TASEZ’s Phases 1 and 1a have already delivered significant employment impact, particularly during infrastructure construction. “During Phase 1, more than 3 500 jobs were created in construction, and thousands more people benefited directly from employment opportunities within the zone,” he said. “We also issued over 260 work packages to more than 220 MSMEs, which is critical because it spreads economic benefit beyond the industrial site.” The next phase, he explained, is ensuring MSMEs continue to benefit during construction in Phase 2, particularly through maintenance contracts, technical services and supplier opportunities linked to automotive production. “That is where sustainable job creation really happens, when MSMEs are integrated into ongoing operations,” he said. Bridging the gaps A major challenge facing small businesses entering the automotive sector is the gap between what they can produce and what large manufacturers require in terms of quality, compliance and consistency. “You may have an MSME that can produce a product, but the question is whether they can meet the standards required by the end user,” Khuzwayo said. “Our role is to bridge that gap through training, partnerships and mentorship so that MSMEs can reach the level required by industry.” This includes collaboration with industry bodies, development agencies and automotive support organisations to prepare businesses for tier-one supplier opportunities — a long-term ambition that includes developing black-owned component manufacturers. Training MSMEs and youth for future industries Skills development is central to the strategy. TASEZ has established a dedicated training academy aimed at aligning education outcomes with industry demand, working with universities, Technical and Vocational Education and Training (TVET) colleges and Schools of Specialisation. “We want to ensure that when investors come to South Africa, they do not say there are no skills available,” Khuzwayo said. “Our responsibility is to help create that skills pipeline, from school level through to specialised automotive training.” The initiative also targets young people early to spark interest in engineering, robotics and emerging automotive technologies, including electric vehicles (EVs). Last-Mile project demonstrates growth potential. One of the most successful interventions has been the “last-mile delivery” project, which trained around 100 young people in electric mobility logistics. Twenty participants received starter packs to launch delivery businesses using electric scooters. “The results have been encouraging,” Khuzwayo said. “Some participants have significantly increased their turnover – in one case from about R100 000 to over R1-million – showing the real impact of targeted support.” Beyond logistics, the project has created opportunities in other EV solutions, such as charging infrastructure and maintenance services, linking MSMEs to the green economy transition. Addressing finance barriers Access to working capital remains a major obstacle for emerging suppliers, particularly when they secure contracts but cannot finance delivery timelines. Khuzwayo said TASEZ is working to establish partnerships with funders that can provide fast, affordable financing backed by confirmed contracts from the zone. “We want MSMEs to access funding within days, not months, and at reasonable rates,” he said. “Otherwise, opportunities meant to empower them can actually leave them worse off.” Women, youth and persons with disabilities The enterprise and supplier development programme also prioritises inclusion, with targeted initiatives for women-owned enterprises, youth entrepreneurs and businesses led by persons with disabilities. “We cannot leave anyone behind,” Khuzwayo said. “We are partnering with organisations that specialise in these sectors so that we can identify opportunities and support businesses more effectively.” Preparing for Phase 2 opportunities With TASEZ preparing for further expansion, Khuzwayo encouraged businesses to ensure compliance documentation, certifications and collaboration partnerships are in place. “Opportunities will not come to you; you must prepare and go out to find them,” he said. “Engage with us, watch our platforms and get ready for Phase 2.” He added that while the zone is still developing, stakeholder feedback is essential. “Reshaping the future of automotive excellence does not mean we will not make mistakes,” he said. “We are open to engagement. Tell us what is working and what is not – that is how we improve.” Industrialisation with local impact TASEZ, Africa’s first automotive city, aims to position South Africa as a continental leader in automotive manufacturing while ensuring local communities benefit through jobs, skills and enterprise development. “What we are building is not just an industrial zone,” Khuzwayo said. “It is a platform for businesses to grow, for people to work and for transformation to become real.”

President doubles down on industrialisation, manufacturing and green growth in SONA 2026

By Mandla Mpangase President Cyril Ramaphosa used his 2026 State of the Nation Address (SONA) to place industrialisation, manufacturing and green growth at the centre of South Africa’s economic recovery agenda, outlining a sweeping strategy that positions the automotive sector – and hubs such as the Tshwane Automotive Special Economic Zone (TASEZ) – as catalysts for investment, jobs and technological transition. Speaking to a joint sitting of Parliament in Cape Town on 12 February 2026, President Ramaphosa said South Africa was entering a decisive phase in which it must pivot from exporting raw materials to producing high-value manufactured goods for global markets. “The biggest opportunity of all lies in green growth. We are pivoting our economy to be a leading supplier of the products which the world will rely on in decades to come,” he said. Manufacturing and green industrialisation The president confirmed expanded support for manufacturing, particularly export-oriented green industries such as fertiliser, jet fuel, chemicals and steel. For the automotive sector, the most significant announcement was the introduction of a 150% tax deduction for investment in new energy vehicles (NEVs) from March 2026, alongside government support for local battery production. This policy could accelerate investment in South Africa’s electric and hybrid vehicle value chain, with special economic zones such as TASEZ well-positioned to anchor new assembly lines, component manufacturing and battery-related industries. President Ramaphosa also highlighted R250-billion in international pledges to the Just Energy Transition Investment Plan, which will finance manufacturing, infrastructure and skills development – pillars for industrial hubs such as TASEZ that aim to integrate clean energy, logistics and advanced manufacturing. Critical minerals, beneficiation and the automotive value chain The president also underscored South Africa’s mineral endowment, with ore reserves valued at more than R40-trillion, and reiterated the government’s commitment to local beneficiation of critical minerals. This beneficiation push is expected to underpin domestic production of battery materials, catalytic converters, lightweight metals and other automotive components, strengthening localisation in zones like TASEZ. The Industrial Development Corporation’s R300-million investment in the Frontier Rare Earths Project was highlighted as a step towards building supply chains for lithium batteries and electronics – technologies increasingly integral to next-generation vehicles. Investment pipeline and industrial infrastructure President Ramaphosa said South Africa had secured R1.5-trillion in investment commitments through its first five investment conferences, with R600-billion already flowing into projects, including new factories and mines. Government is targeting R2-trillion in new investments over the next five years, with the next investment conference scheduled for 31 March 2026. Public infrastructure investment of more than R1-trillion over three years will underpin industrial growth, with energy, water, transport and digital infrastructure prioritised. Improved logistics, ports and rail corridors were flagged as critical to exporting manufactured goods from industrial zones such as TASEZ to global markets. Jobs, SMEs and inclusive industrialisation Job creation was framed as the ultimate goal of industrialisation. The president said if every small and medium enterprise (SME) employed one additional person, three million jobs could be created. Government will provide R2.5-billion in funding to 180 000 SMEs, extend R1-billion in guarantees, and prioritise women- and youth-led businesses. This is expected to support supplier development and localisation programmes linked to manufacturers operating in TASEZ and other SEZs. Public employment programmes will be expanded and better coordinated to provide skills development pathways into long-term industrial employment, particularly for young people and women. Skills development for a future automotive workforce Ramaphosa stressed that industrialisation depends on human capital, noting that a strong economy relies on a well-educated, capable and skilled population. The Youth Employment Service and South Africa Youth platform will be strengthened, while regulatory changes will make it easier for businesses to offer work experience opportunities. This could bolster talent pipelines for advanced manufacturing, engineering, robotics and electric mobility technologies in zones such as TASEZ. Protecting and transforming the automotive sector The president reaffirmed the government’s commitment to safeguarding and modernising the automotive industry, which employs hundreds of thousands of South Africans in high-quality jobs. Government is working with industry and labour to close tariff loopholes, protect domestic manufacturing and prepare the sector for the global shift to electric vehicles. TASEZ is well-positioned to play a central role in this transition by clustering OEMs, component manufacturers, logistics providers and research institutions. A strategic window for TASEZ and South Africa President Ramaphosa acknowledged persistent challenges, including unemployment and service delivery failures, but said energy reforms, rising investor confidence and infrastructure investment had created a critical opportunity for economic transformation. “We have a unique window of opportunity to translate these gains into sustained growth,” he said. For South Africa’s automotive sector and industrial platforms such as TASEZ, the 2026 SONA signals a renewed policy push towards localisation, electric mobility and high-value manufacturing, positioning the country to compete in global automotive value chains while driving jobs and inclusive growth at home.

SONA 2026: A TASEZ wish list for South Africa’s industrial reset

By TASEZ CEO Dr Bheka Zulu As South Africa prepares for the 2026 State of the Nation Address by President Cyril Ramaphosa on 12 February 2026, the Tshwane Automotive Special Economic Zone (TASEZ) – Africa’s first automotive city – is hoping to see an emphasis being placed on putting manufacturing at the centre of the country’s economic strategy. Manufacturing remains one of the few sectors capable of creating large-scale employment, driving exports and anchoring technology transfer. Yet, despite its strategic importance, South Africa’s manufacturing sector continues to underperform relative to its potential, constrained by energy insecurity, logistics inefficiencies and policy uncertainty. Special Economic Zones (SEZs) are among the most effective tools available to reverse this trend. Zones such as TASEZ have demonstrated that targeted infrastructure, incentives and policy alignment can crowd in private investment and build globally competitive industrial clusters. SONA 2026 is an opportunity to scale this model. From a TASEZ perspective, there are several policy signals we would like to hear. First, a credible manufacturing growth pactSouth Africa needs a clear, time-bound commitment to manufacturing expansion, aligned with the Industrial Policy Framework, the Automotive Masterplan and the transition to new energy vehicles (NEVs). This should include measurable localisation and export targets, backed by regulatory certainty. Investors require predictability; industrial policy cannot shift with every political cycle. Second, a competitive SEZ incentive regimeSEZs compete globally. Countries such as Morocco, Vietnam and Egypt have built industrial bases by offering compelling fiscal incentives, streamlined customs processes and reliable infrastructure. South Africa must remain competitive. Enhanced incentives, faster approvals and dedicated industrial energy solutions would materially improve the country’s investment proposition. Third, explicit positioning of SEZs as anchors of the green and automotive transitionThe global automotive sector is undergoing a structural shift towards electrification, batteries and smart mobility. South Africa risks being locked out of future value chains if it does not act decisively. SEZs should be designated as production hubs for NEV (new energy vehicle) assembly, battery manufacturing and hydrogen-related industries, supported by targeted incentives and infrastructure. Fourth, localisation that delivers for MSMEsLocalisation policy must translate into real procurement opportunities for South African firms, particularly black-owned and township-based enterprises. Stronger localisation thresholds in public procurement, integrated with SEZ supplier development programmes, can help domestic firms integrate into global value chains rather than remaining peripheral participants. Fifth, infrastructure as an industrial enablerIndustrial policy without reliable infrastructure is aspirational at best. Manufacturing requires predictable electricity supply, efficient rail and port logistics, and high-quality digital connectivity. Commitments to stabilise industrial energy supply and modernise logistics networks would significantly improve South Africa’s industrial competitiveness. Sixth, blended finance to bring in private capitalIndustrial projects are capital-intensive and long-term. Development finance institutions can play a catalytic role by de-risking SEZ-based projects through blended finance structures. Public capital, concessional funding and private investment must be combined at scale to accelerate industrial development. Finally, a national skills pipeline for advanced manufacturingFuture factories require technicians, engineers and digital specialists. Coordinated partnerships between industry, TVET (Technical and Vocational Education and Training) colleges, universities and SEZs could position South Africa as a manufacturing talent hub on the continent. SONA 2026 comes at a defining moment. Global supply chains are fragmenting, the energy transition is reshaping trade patterns, and the African Continental Free Trade Area offers an unprecedented market for manufactured goods. South Africa has the industrial base, institutional capacity and geographic advantage to benefit – but only if policy ambition is matched by execution. SEZs such as TASEZ are platforms for a new economic narrative: one where South Africa builds, makes and exports at scale. If SONA 2026 delivers a bold and credible manufacturing and SEZ agenda, it could mark the beginning of a long-overdue industrial reset.

TASEZ CEO positions automotive city as engine for jobs, skills, and inclusive growth

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) is emerging as one of South Africa’s most significant industrial infrastructure projects, with the potential to accelerate manufacturing growth, deepen localisation and drive inclusive economic participation, according to TASEZ CEO Dr Bheka Zulu. Speaking in an interview with Poort FM on Tuesday, 10 February 2026, Zulu said the special economic zone had become a critical growth engine for the City of Tshwane, Gauteng and the national economy, particularly through its role in supporting the automotive sector. “It brings an engine for growth, an engine for development and an engine for innovation,” Zulu said. “It has been a pillar of employment for the city, especially for communities such as Mamelodi and surrounding areas.” Boosting manufacturing and exports Zulu highlighted TASEZ’s role in supporting the expansion of automotive manufacturing, citing the Ford investment at the adjacent Silverton plant, which has increased production capacity and strengthened South Africa’s export footprint in more than 100 global markets. He said government and industry aim to raise South Africa’s share of global vehicle production to above 1%, which would require output of about 1.4 million vehicles annually. “Part of our role is to support OEMs that have been in this country for decades, and ensure increased capacity, sustainability and meaningful jobs,” he said. Africa’s first automotive city TASEZ markets itself as “Africa’s first automotive city,” a concept Zulu described as a fully integrated ecosystem combining industrial, residential and social infrastructure. “It’s about bringing industry closer to where people live and play,” he said, adding that the automotive city model includes training, services, affordable business infrastructure and incentives to support investors and workers. Zulu said the vision is to position Tshwane as a globally competitive automotive hub, leveraging South Africa’s long history in vehicle manufacturing and attracting new original equipment manufacturers (OEMs). Focus on meaningful jobs and STEM skills Zulu emphasised that job creation must be linked to skills development, particularly in science, technology, engineering and mathematics (STEM). “Meaningful jobs are permanent jobs that bring innovation and future development,” he said. TASEZ has established the TASEZ Academy to train and reskill young people from surrounding communities, working with sector education and training authorities (SETAs) and other institutions to align training with industry needs. SMME development and inclusive procurement Zulu said small, medium and micro enterprises (SMMEs) are central to TASEZ’s development model, with incubation, mentorship and enterprise supply development programmes designed to integrate local firms into the automotive value chain. He noted that TASEZ has set a minimum target of 30% procurement spend for SMMEs and aims for 60% township procurement in line with Gauteng’s Township Economic Development Act (TEDA) framework. “We’ve injected more than R2-billion into local SMMEs, and we are still growing,” he said, adding that procurement targets prioritise black-owned businesses, women, youth and people with disabilities. Driving transformation and localisation Zulu acknowledged that transformation in the automotive sector has been slow, particularly in localisation and black industrialist participation, but said TASEZ is guided by the South African Automotive Masterplan 2035. The sector aims to increase local content in vehicle production from around 30-40% to 60% and raise black participation in the industry, which remains below 3%. “It’s a competitive world, and we need all hands on deck, government, industry and communities, to reach these targets,” he said. Preparing for electric vehicles and new technologies Zulu said the global shift toward electric and new-energy vehicles presents both risks and opportunities for South Africa, urging industry and policymakers to adapt quickly. “The reality is that we need to wake up and embrace new energy vehicles, automation and green manufacturing,” he said, adding that TASEZ plans to roll out charging infrastructure and is seeking partners with innovative technologies. Message to youth and entrepreneurs In closing, Zulu encouraged young people and entrepreneurs to engage with TASEZ, bring innovative ideas and participate in skills programmes and supplier opportunities. “Don’t lose hope. We are your partner. Knock on our door with your ideas, and we will help you grow,” he said.