Trade and Industrial Policy Strategies Archives

Milestones, meetings, momentum and meaningful growth: 2025, the year that was

As 2025 draws to a close, the Tshwane Automotive Special Economic Zone looks back on a year that truly defined Africa’s first automotive city. It was a year of bold steps forward, strengthened partnerships, international visibility and a deepening role in South Africa’s industrialisation agenda, writes TASEZ CEO Dr Bheka Zulu. From breaking ground on new infrastructure to hosting high-level national events, TASEZ continued to prove why it is the country’s leading special economic zone (SEZ). Breaking new ground: Phase 2 takes off One of the standout highlights of the year was the sod-turning ceremony for Phase 2 of the TASEZ development, involving the Gauteng Premier, Panyaza Lesufi, TASEZ board members and anchor tenant Ford. The event signalled the start of an ambitious expansion designed to support South Africa’s next wave of automotive and component manufacturing investment. Phase 2 introduces new industrial platforms, expanded capacity for suppliers, and opportunities for medium, small, and micro enterprise (MSME) participation. It positions TASEZ to meet growing global demand, particularly in new energy vehicles (NEVs), and strengthens its integration into Tshwane’s industrial and logistics corridors. This moment marked a powerful step into the future and demonstrated the commitment from government, industry and local partners to drive sustainable, job-rich economic growth. An historic first: Hosting the State of the Province Address In February, TASEZ made history by becoming the first government institution to host a State of the Province Address (SOPA). This landmark moment brought South Africa’s leadership, the diplomatic community, the automotive sector and media into the heart of the SEZ. Hosting the SOPA showed that TASEZ is not only a centre of production, but a national platform for dialogue, policy direction and public accountability. The event showcased the SEZ’s impressive infrastructure, operational readiness and central role in the province’s economic plans. For many South Africans watching or attending, TASEZ became synonymous with Gauteng’s vision of a modern, industrial, investment-ready economy. Expanding global reach: TASEZ heads to China and hosts SADC International engagement was a defining feature of 2025. This was reinforced by a successful business mission to China, where TASEZ leadership met with major automotive manufacturers, potential investors and technology partners. The visit focused on: With China leading global NEV production and innovation, this mission placed TASEZ firmly on the radar of companies looking for a strategic African manufacturing base. In addition, in yet another first for a South African SEZ, TASEZ welcomed the heads of mission from the Southern African Development Community (SADC) to share information and talk about unlocking opportunities for economic growth in the region. The TASEZ team, headed by CEO Dr Bheka Zulu, rolled out the red carpet for the distinguished SADC delegation – ambassadors, high commissioners, and chargés d’affaires – along with representatives from the Department of International Relations and Cooperation and the Department of Trade, Industry and Competition, Brand South Africa, and Trade and Investment KwaZulu-Natal. This gathering was not just a simple meeting – it was a deliberate step toward weaving stronger ties between neighbours, aligning with the goals of SADC, the Southern Africa Customs Union, and the African Continental Free Trade Area. Strengthening policy alignment: Visits from TIPS and Parliament Two significant engagements this year reinforced TASEZ’s role as a strategic player in South Africa’s industrial development landscape: a visit by the parliamentary portfolio committee for trade, industry and competition, followed by a visit from TIPS (Trade and Industrial Policy Strategies). The parliamentary visit highlighted TASEZ’s importance in national oversight and industrial planning. Members engaged with management, toured facilities and assessed the SEZ’s socio-economic impact. The research institution visited the SEZ to assess its contribution to localisation, job creation and competitiveness. Their findings helped strengthen policy alignment and opened discussions on future collaboration. Both visits affirmed that TASEZ is not just delivering – it is taking the lead. Governance excellence: Five clean audits in a row In a year filled with milestones, one achievement stands out for its consistency and integrity: TASEZ received its fifth consecutive clean audit. This accomplishment highlights: At a time when transparent and ethical public administration is more important than ever, TASEZ continues to demonstrate what professional, compliant, high-performing institutions can achieve. A strong industry presence: Naacam and naamsa conferences TASEZ strengthened its industry footprint this year by participating in two major automotive forums: the Naacam Show held in Gqeberha in August 2025 – engaging component manufacturers and showcasing localisation opportunities; and naamsa’s Auto Week that also took place in Gqeberha, but in October 2025 – networking with OEMs and industry leaders while promoting TASEZ’s investment-ready platforms These conferences reinforced TASEZ’s growing reputation as a critical hub for automotive manufacturing, innovation and supplier development. Driving the future: Co-hosting the first NEV Summit TASEZ took centre stage in South Africa’s transition to electric mobility by co-hosting the inaugural New Energy Vehicles Summit held at the Gallagher Convention Centre in late October 2025. The summit brought together policymakers, OEMs, suppliers, researchers and energy experts to map out the country’s role in the global NEV shift. TASEZ’s involvement sent a strong message: the SEZ is ready to become South Africa’s home of NEV manufacturing. The summit provided a platform to discuss infrastructure needs, workforce readiness, supply-chain adjustment and opportunities for new investment. Looking ahead to 2026 If 2025 was a year of bold advances, 2026 promises to be a year of consolidation and delivery. With major construction underway, new investment discussions progressing, and a clear national mandate to support industrial growth, TASEZ is set to play an even bigger role in shaping the country’s economic future. TASEZ enters the new year with momentum, credibility and a clear vision to be Africa’s premier automotive manufacturing destination.

TASEZ shows TIPS delegation what is possible in turning policy into reality

News / By Tasez

By Mandla Mpangase Hosting a group of government officials from across a range of economic-linked departments, the Tshwane Automotive Special Economic Zone used the time to provide insights into what it takes to build a successful special economic zone in South Africa. The delegation, organised by the Trade and Industrial Policy Strategies (TIPS), undertook a community of practice visit to Africa’s first automotive city on 12 March 2025, where they engaged with the TASEZ executive team, led by CEO Dr Bheka Zulu. The visit allowed for the sharing of knowledge and learnings from TASEZ, as a newcomer to the SEZ space in South Africa. “What makes us unique is that our core focus is in the automotive sector, and that’s where we’ve made an impact,” Dr Zulu said. The automotive industry is an important contributor to the country’s economy, with more than 500 000 employed across its value chain. The community of practice process, which is facilitated by TIPS, aims to enhance best practices in relation to the implementation of industrial policy across government. The process is also used to build a more open and safe space for sharing experiences and learnings concerning industrial policy. Departments involved in the community of practice include the Presidency; the Department of Planning, Monitoring and Evaluation; National Treasury; the Department of Trade, Industry and Competition; the Department of Public Enterprises; the Department of Mineral Resources and Energy; the Department of Small Business Development; and the government organisations related to science, technology and innovation. About TASEZ Known as Africa’s first automotive city, TASEZ is a relatively new SEZ kid on the block, with the ability to punch above its weight. The SEZ was set up to boost South Africa’s automotive industry, drive investment in economic growth, create jobs and develop skills, alongside positioning the City of Tshwane, the Gauteng province, and the country, within the African and global trade environment. Established in 2020, Phase 1 of TASEZ’s development was galvanised by the need to expand the Ford Motor Company of Southern Africa’s production from 160 000 a year to 200 000. Ford’s component manufacturers are based in the SEZ, along with the Ford Frame plant. With a deadline to produce the next generation Ford Ranger within 18 months, TASEZ became the fastest SEZ developed from scratch in South Africa. It had 11 operational investors in less than two years. “Right now, 720 cars are produced every day because of what we’ve created in this zone,” Dr Zulu said. Driven by commitment Answering the reason why the TIPS team visited TASEZ was easy: establishing Africa’s first automotive city was about turning a vision into reality. “TASEZ has been able to design a world-class automotive manufacturing hub providing a conducive environment for investors, where they can harness their potential of economic growth,” said Dr Zulu. Ford had an investment ready and waiting, with a tight deadline and alternative locations, while South Africa needed the investment to drive industrialisation and economic transformation. The economic climate at the start of the project could not have been worse, with a global downturn amidst a pandemic, businesses closing their doors, jobs being lost, borders closing and the global focus on fighting an ever-evolving virus. Despite all of that, a team was put into place, each member with a role to play in the bigger picture of developing from scratch a dedicated automotive special economic zone made up of Ford component manufacturers. TASEZ showed the country – and the world – South Africa has what it takes to deliver a complex internationally recognised project that delivers on the mandate set out in the National Development Plan of tackling the triple challenges of poverty eradiation, social and economic transformation and creating jobs. Phase 1 economic impact Turning the policy set out in the Special Economic Zones Act into reality, TASEZ supports inclusive economic participation by broadening participation to include small, medium and micro enterprises (SMMEs) and promote skills development and technology transfer. During the development of its Phase 1, TASEZ made a significant economic impact on the local economy, on the provincial economy and on the country’s economy. “TASEZ contributed 1% to the national GDP (gross domestic product during Phase 1,” Dr Zulu notes, adding that he envisages doubling that number through the development of Phase 2. In Phase 1 TASEZ spent R1.7-billion on construction procurement from SMMEs – 43% of the total construction budget, well above the national target of 30%. Some 229 SMMEs benefitted, with 6.2% of the procurement spend going to women-owned businesses, 18% to youth-owned businesses, and 2% to people with disabilities. The SMME beneficiaries are mainly based in the neighbouring communities of Eersterust, Mamelodi, and Nellmapius. In addition, 5 500 jobs were created in construction, with 18% of the jobs going to women, 60% to youth, and 0.86% to people with disabilities. The SEZ also created 3 311 permanent jobs, with 32% going to women, 65.47% to youth, and 0.83% to people with disabilities. Concluding the visit to TASEZ, the TIPS team noted: “The visit provided some important insights for government officials as to how policy translates into reality and practice.”