President Cyril Ramaphosa Archives - Page 2 of 2

A key lesson from the G20: Industrialisation must power SA’s economic growth

As South Africa concludes its historic G20 Presidency, the first hosted on African soil, a clear message has emerged: the world is ready to recognise Africa as a central engine of shared prosperity, writes the chairperson of the Tshwane Automotive Special Economic Zone, Maoto Molefane. We must make the most of the momentum. Over 22 and 23 November 2025, the G20 global leaders gathered in Johannesburg to endorse commitments that speak directly to the continent’s long-standing aspirations: equitable development, sustainable industrialisation, resilient economies, and fair participation in global trade. For South Africa, and for advanced industrial platforms like the Tshwane Automotive Special Economic Zone (TASEZ), this moment is far more than diplomatic symbolism; it is about accelerating economic growth to combat poverty and inequality, with industrialisation as a key driver of inclusive growth, job creation, and global competitiveness. The G20 2025 mandate President Cyril Ramaphosa’s closing message from the G20 Summit underscored the stakes. South Africa’s development needs – jobs for young people, robust infrastructure, energy security, thriving export industries – require global stability, inclusive growth and a level playing field. The G20 outcomes align directly with South Africa’s industrial ambitions: These are not abstract policy wins. They reshape the environment in which industrial zones like TASEZ operate: they unlock space for growth that is sustainable, technologically advanced and globally aligned. As President Ramaphosa said: “Together, we must accelerate progress towards the 2030 Sustainable Development Goals and the Pact for the Future. We have laid the foundation of solidarity. Now we must build the walls of justice and the roof of prosperity.” Industrialisation as an engine for growth Given that the 2025 G20 provided a strong voice for Africa, it must be noted that the continent has anchored the world’s supply chains for far too long without capturing its share of industrial value. “The greatest opportunity for prosperity in the 21st century lies in Africa,” President Ramaphosa said in his closing remarks. He described the continent as a driving force for future growth, innovation, mineral beneficiation, climate resilience and energy transition. The 2025 G20 Declaration calls for structural reforms, investment mobilisation, and digital transformation that place industrialisation at the heart of global development priorities. What this means for South Africa is that the country must build, manufacture, innovate, export, and compete. This is the work TASEZ – Africa’s first automotive city – was created to do. Based in the country’s capital city, TASEZ is demonstrating what coordinated industrial policy can achieve: TASEZ is not just an industrial hub; it is a catalyst for economic resilience and can serve as a model for the equitable, future-oriented development highlighted in the G20 Declaration. Beneficiation is a must The global commitment to fair critical mineral development provides South Africa a generational opportunity: to build integrated value chains centred on electric vehicles, battery manufacturing, renewable energy components and advanced materials. As the President noted, minerals must become “a source of prosperity and sustainable development in the countries that produce them”. This aligns perfectly with South Africa’s automotive transition strategy and TASEZ’s expansion into green manufacturing, downstream processing and high-value production clusters. The President called the 2025 summit the People’s G20, characterised by the engagement of business, labour, youth, scientists, mayors and civil society. This spirit of collaboration is the very essence of industrial and special economic zones, which rely on coordinated action between government, investors, communities and workers. South Africa’s G20 success, combined with improving economic indicators and growing confidence in our reform programme, demonstrates that the country is ready for a new industrial chapter based not on extractive development, but on shared value, skills development, innovation, and sustainable manufacturing. Looking ahead As global leaders return home, the world’s attention shifts from diplomacy to delivery. For TASEZ, the task is to translate the political momentum of the G20 into practical industrial capacity. The Johannesburg G20 summit marks a critical turning point for global industrialisation, especially for Africa. The commitments around infrastructure, climate transition, and inclusive development resonate deeply with our vision to build a sustainable, high-tech automotive hub that benefits local communities, talents, and small industrial players. However, for this to be more than rhetoric, the world must translate pledges into concrete investment, local value-chain development, and support for medium, small, and micro enterprises. The timing could not be better, as TASEZ ratchets up its Phase 2 developments. TASEZ will be focused on: The G20 Summit has shown the world what South Africa can achieve when united by purpose. As President Ramaphosa said: “Let us move forward together, demonstrating to the world that we have the capacity to confront and overcome the world’s challenges. Through partnerships across society, and by remembering our common humanity, we can create a more secure, a more just and a more prosperous world. Together, we can ensure that no one is left behind.” Now, industrialisation must carry that momentum forward. TASEZ stands ready to be part of that charge.

The green shoots of an economic recovery

Thought leaders / By Tasez

In his weekly newsletter published on 17 November 2025, President Cyril Ramaphosa wrote that in the week of the G20 Leaders’ Summit – the first to be held on African soil – South Africa is able to showcase a country and an economy on the rise. In the week that we prepare to host the first summit of the G20 on African soil, we are able to showcase a country and an economy on the rise. A number of key economic indicators and developments in the past week point to the green shoots of an emerging economic recovery. Unemployment is down. Data from Statistics South Africa show that the official unemployment rate fell to 31.9% between July and September this year, down from 33.2% recorded in the previous quarter. Nearly 250 000 more people were in employment in the third quarter. Of these, around 130 000 were added in the construction sector. The Medium-term Budget Policy Statement delivered last week points to a sustained turnaround in government finances. We are on track to achieve a third consecutive primary budget surplus. This means that, excluding interest payments on our debt, we are collecting more in revenue than we are spending. This is a sign of prudent financial management, giving us space to steadily reduce our debt to sustainable levels. Also last week, our sovereign credit rating was upgraded by S&P. This is the first such upgrade from the agency in nearly two decades. An improved rating generally leads to lower borrowing costs, which allows for more funds to be invested in the economy and in meeting social needs. Among the factors S&P cited for the positive outlook were Eskom’s improved performance, strong tax collection, and the broad structural reform momentum having ‘picked up pace’. When we established Operation Vulindlela in 2020 as a government coordinating mechanism to implement transformative reforms and boost economic growth, the initial focus was on the network sectors as well as immigration reform. We are seeing steady progress in the logistics sector, notably with respect to improved performance at our ports. Measures to allow private sector companies to operate on the national freight rail network are also at an advanced stage. The most noteworthy improvements have been witnessed in the energy sector, with Eskom now on the road to recovery, massive investment in renewable energy generation, and vastly improved electricity supply. In support of South Africa’s ratings upgrade, S&P cited the recently launched Phase II of Operation Vulindlela, which is focusing on changes in local government, digital transformation, visa regimes, spatial inequality and others. Modelling from the University of Stellenbosch’s Bureau of Economic Research (BER) has estimated that the potential impact of the Operation Vulindlela reforms could lift South Africa’s long-term growth rate by as much as 3.5% when fully implemented. In citing this modelling, the analyst JP Landman writes that “the reforms are a journey, but they have started working. Step by step, South Africa is opening its economy, modernising infrastructure and rebuilding credibility”. Despite considerable headwinds that have included a global pandemic, a debilitating energy crisis and more recently, a difficult global trade environment, we have stayed the course on economic recovery and are now seeing this pay off. Following a ruinous period of economic stagnation and capture of the state, we have been able to achieve sustained progress in a relatively short period of time. This is in no small part owing to the strength of the partnerships forged between government, business, labour and civil society. These far-reaching economic changes have a direct and material impact on the lives of every South African, on their ability to lead dignified lives, to access public services, to secure employment, and to provide for their families. We are determined to sustain the momentum of this economic recovery, so that we can drive inclusive growth, create jobs and improve the lives of our citizens.

TASEZ shows how SA can build an economy that works for all

News / By Tasez

By Mandla Mpangase Every South African knows that when infrastructure fails, life becomes harder. Jobs disappear. Businesses relocate. Communities lose hope. But when infrastructure works, everything else begins to work too. Factories stay open. Investors arrive. That is the import of the speech given today by President Cyril Ramaphosa at the National Construction Summit held in Kempton Park, Ekurhuleni. “We are gathered here not just to talk about building an industry, but to build a nation,” the president said, adding: “We are gathered here to share a dream and determination to build a country that works for all its people. South Africa’s national economic drive has never been only about building structures; it has always been about building a country that gives every person a fair chance – something clearly articulated in the National Development Plan (Vision 2030). And the message has been clearly stated through the years of democracy. “From a social development perspective, infrastructure provides people with what they need to thrive,” President Ramaphosa told the summit participants. “It improves the quality of life and can play a key role in reducing inequality. Through reliable infrastructure, we can boost productivity and reduce the costs of living.” It also provides countries with what they need to grow and develop. “Infrastructure facilitates trade and commerce. When we boost infrastructure through the construction industry, we attract investment.” And few places capture this mission more clearly than the Tshwane Automotive Special Economic Zone (TASEZ). Where infrastructure becomes industrial strength “Infrastructure is the backbone of development because, among many other reasons, it bolsters economic competitiveness and sustainability. Without infrastructure, economic growth slows down, inequality deepens, and the quality-of-life declines,” Ramaphosa said. For years, underinvestment in roads, rail, and logistics has held back the key sectors of mining, agriculture, and manufacturing. But South Africa is now shifting course. As the president pointed out: “Infrastructure is poised to once again become the flywheel of the economy. Infrastructure investment is one of the most effective levers for stimulating economic activity.” This is evident in the employment figures released by Statistics SA earlier this week. The latest Quarterly Labour Force Survey released by Statistics South Africa in November 2025 indicates a decrease in the official unemployment rate from 33.2% in the second quarter of this year to 31.9% in the third quarter. Employment increased by 248 000 in the third quarter, with construction the largest contributor with 130 000 new jobs. This is not an accident. It is the result of a deliberate national effort to turn infrastructure into a growth engine. And TASEZ is one of the clearest examples of what that looks like in practice. The special economic zone (SEZ) is proof that when investment is made in the right infrastructure, such as reliable power, efficient logistics, and modern digital systems, further investment is made, jobs are created, and industrial capability is strengthened. TASEZ is where South Africa’s automotive future is being built, factory by factory, with global manufacturers choosing the Tshwane SEZ because the fundamentals are already in place. A model for inclusive growth The zone is succeeding not only because of its industrial strength but because of its social impact. It is bringing economic activity to communities long left on the periphery. It is creating opportunities for young people entering technical fields. It is giving small businesses a stake in a globally competitive value chain. As TASEZ CEO, Dr Bheka Zulu, notes: “When we talk about spatial redress, this is what it looks like: development that doesn’t speak about communities but works with them.” Towards investment Government has committed R1-trillion in infrastructure spending over the medium term, alongside reforms to unlock greater private investment. Procurement war rooms, new public-private partnership guidelines, and accountability frameworks are designed to ensure that projects do not stall but move quickly from planning to ground-breaking. As the world prepares to join South Africa for the G20 Leaders’ Summit, the country is showing what renewal looks like on the ground. Roads are being rebuilt. Industrial zones like TASEZ are expanding. If this momentum is sustained, TASEZ will not be the exception but the blueprint, demonstrating what is possible when strong infrastructure, a capable state, and committed investors come together.

TASEZ welcomes the State of the Nation address

News / By Tasez

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) takes careful note of the key messages raised by President Cyril Ramaphosa in this State of the Nation address in Cape Town last night, 6 February 2025. One of the issues he raised was the need to ensure that growth creates jobs for all, especially for young people. “We are going to answer that call,” says TASEZ CEO, Dr Bheka Zulu. “Our aim in the special economic zone is to encourage investment within the global automotive manufacturing sector and in so doing, create jobs for the people of the City of Tshwane in general and the local communities of Eersterust, Mamelodi and Nelmapius in particular.” The president noted that the success of the Presidential Employment Stimulus shows how public employment programmes can create meaningful work that generates a wider benefit and contributes to sustainable employment. “The employment stimulus has created almost 2.2 million work and livelihood opportunities through innovative models that provide high-quality work to participants.” One of the industries of the future is in the automotive manufacturing space, with the setting of limits to carbon emissions and the rise of new energy vehicles, particularly in the European market, something TASEZ is directly involved in monitoring and supporting. President Ramaphosa noted: “To create jobs, we must leverage our unique strengths and our unrealised potential to build the industries of the future – green manufacturing, renewable energy, electric vehicles and the digital economy.” His comments about finalising a modernised and comprehensive industrial policy that drives economic growth by “focusing on the opportunities in localisation, diversification, digitisation and decarbonisation” is of particular importance to the automotive manufacturing industry. The South African Automotive Masterplan 2030 has set targets to deal with all of these issues: Grow South Africa’s vehicle production to 1% of global output Increase local content in South African-assembled vehicles to up to 60% Double employment in the automotive value chain Improve automotive industry competitive levels to that of leading international competitors Transformation of the South African automotive value chain Deepen value addition within South Africa’s automotive value chains In addition, South Africa will be working towards the full implementation of the African Continental Free Trade Area (AfCFTA), “which will tear down the barriers to trade on our continent”, the president said. “As the most industrialised economy in Africa, we are positioning ourselves to be at the centre of this new and growing market.” As a global role player, this is of particular importance to TASEZ. South Africa has been a key player in the development of AfCFTA’s automotive framework, which aims to enhance trade within the continent. The automotive sector is one of the country’s largest economic sectors. According to the Automotive Business Council, naamsa, the automotive industry contributes 5.3% to GDP [3.2% manufacturing and 2.1% retail], with exports equating to 14.7% of South Africa’s total exports – reaching 148 international markets. The manufacturing segment of the industry employs 110 000 people across its various tiers of activity and combined with the industry’s strong multiplier effect, is responsible for 457 000 jobs across the South African economy. With the national goals of making the economy more inclusive, TASEZ focuses on empowering those who were “deliberately excluded from playing a key role in the economy of their own country”, to quote the president: black industrialists; small, medium, and micro enterprises (SMMEs); women; the youth; and people with disabilities. TASEZ, in its Phase 1 development supported SMMEs to the tune of R1.7-billion and created 5 500 construction jobs and 3 311 permanent jobs for people from the local communities. Of the construction jobs, 18% were women, 60% were youth, and 0.86% went to people with disabilities. Of the permanent jobs, 32% went to women, 65.47% to youth, and 0.83% to people with disabilities. “As we enter Phase 2 of our development, we remain committed to transforming the sector, opening opportunities for SMMEs and black industrialists, and helping train people for the future,” said Dr Zulu.

SA determined to drive towards new energy vehicles

News / By Tasez

By Mandla Mpangase Consideration must be given to providing incentives for manufacturers as well as tax rebates or subsidies for consumers to accelerate the uptake of electric vehicles in South Africa. This statement by President Cyril Ramaphosa in his key note address at the South African Auto Week 2024 was greeted by much applause by the industry role players. Speaking at the high-level event in Cape Town on Thursday 17 October 2024, the president recounted the recent economic diplomacy efforts of government globally, including in New York, London and Beijing. “Our experience confirms a greater interest in South Africa’s prospects.” South Africa’s auto industry makes a significant contribution to the country’s gross domestic product, which currently sits at 5.3%, a fifth of the value add within local manufacturing comes from vehicle and component production. The auto industry accounts for around 15% of the country’s total exports. “[The industry] continues to blaze a trail in strategic economic markets on our continent, in North America, in Europe, as well as Indonesia.” It is also a major employer, collectively employing half a million people directly and indirectly across the value chain. Importantly, “the sector continues to actively support transformation”. The transformation targets have been set out in the South African Automotive Master Plan 2035. The plan sets out a number of targets: “The Automotive Industry Transformation Fund has supported a number of beneficiaries. It has facilitated market access for black-owned and female-owned firms to the value of R4-billion and supported thousands of jobs across the industry.” This year is a milestone for the automotive industry, marking 100 years of vehicle manufacturing in South Africa since the first Model T Ford rolled the assembly line of the Ford plant in Port Elizabeth (now Gqeberha). Industry leaders have shown great confidence in South Africa. Today the automotive manufacturing footprint has expanded exponentially, with international auto companies now major investors in the South African economy. “They have consistently featured prominently at the annual South African Investment Conference, which was inaugurated in 2018,” the president said, adding that “over the past few years, these companies have invested an average of some R8-billion rand a year.” Component suppliers have also invested a considerable amount into the South African economy – about R4-billion a year. However, the industry faces many challenges, including the transition towards decarbonisation, with a move to cleaner, more sustainable fuels and stringent regulations. “Even as the journey to net zero poses a challenge for the auto industry there is, at the same time, immense opportunity. The local automotive sector needs to position itself to take advantage for the demand of electric vehicles (EVs), new energy vehicles (NEVs) and sustainable fuels.” President Ramaphosa noted that this was a government priority. “The automotive industry has a critical role to play in achieving South Africa’s climate targets. We’re committed to working with the private sector to promote the production of NEVs and the development of the necessary infrastructure to support them.” This includes the beneficiation of critical minerals for the production of NEVs and their associated value chains, as well as the production of batteries and green hydrogen fuel cells for EVs. “We are working to finalise comprehensive NEV policy guidelines that include alternative technologies such as hybrids and plug in hybrids, so consideration must be given to incentives for manufacturers as well as tax rebates or subsidies for consumers to accelerate the uptake of EVs.” The president noted that this was not just about creating a greener future, but also about ensuring South Africa remains competitive in the global market. “This is a major industrialisation opportunity for our country and the region as well, particularly within the context of the African Continental Free Trade Area. This will position South Africa as a forward-thinking green economy.”