Rosslyn: Deputy President Paul Mashatile has called on Chinese vehicle manufacturer Chery International to prioritise local suppliers and youth-owned businesses as it establishes its first vehicle assembly plant in South Africa. Mashatile made the call during the Chery International Factory Acquisition Celebration in Rosslyn, Tshwane, describing the investment as a vote of confidence in South Africa's economy and manufacturing sector.
According to South African Government News Agency, the Deputy President said the government expects the investment to create jobs, strengthen local supply chains, and drive inclusive industrialisation. He emphasized the importance of a strong supplier base for the automotive sector, urging Chery to work with the government to identify and promote local suppliers, particularly those led by young entrepreneurs.
Mashatile noted that incorporating township suppliers into the automotive value chain would not only bolster Chery's operations but also extend the benefits of industrialisation to nearby communities. He stressed the necessity of providing local suppliers with capacity building, mentorship, and market access, and highlighted opportunities for youth-owned enterprises in logistics, components, services, and technology.
The acquisition of the Rosslyn factory follows a government-led engagement with Chery during a working visit to China in November 2023, aimed at promoting South Africa as an investment destination and strengthening local automotive manufacturing. Mashatile pointed out that the investment signifies enduring international confidence in South Africa despite global economic challenges.
He highlighted the automotive industry's significant contribution to the economy, supporting numerous jobs, driving exports, and developing technical skills. Mashatile also welcomed Chery's commitment to new energy vehicles, emphasizing the need for South Africa to align with global shifts in automotive manufacturing to stay competitive.
The Deputy President reiterated the government's commitment to creating an enabling environment for investment while balancing foreign investment with measures to protect and strengthen domestic manufacturing. He underscored the importance of industrialisation directly benefiting communities surrounding manufacturing hubs, such as Mabopane, Soshanguve, Ga-Rankuwa, and Hammanskraal.
Mashatile also called for greater investment in skills development, apprenticeships, and technical education to prepare young South Africans for advanced manufacturing and technology-driven industries. In conclusion, he reaffirmed the government's dedication to attracting investment and expanding the economy, underscoring South Africa's openness to investment and commitment to building an inclusive economy.