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FAW’s Coega commercial vehicle plant to start production in July

7th March 2014

By: Irma Venter

Creamer Media Senior Deputy Editor

  

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The first vehicles to be assembled at the 30 000 m2, R600-million FAW Trucks commercial vehicle plant, in Coega, are scheduled to roll off the assembly line in July.

The plant is expected to eventually produce 5 000 trucks a year.

Original planning saw the completion of the first trucks at the end of 2013.
The facility has now reached roof height, and plant and equipment are being installed.

The plant is financed by FAW China and the China-Africa Development Fund.

FAW says construction of the truck plant has already created 280 jobs, with an additional 500 opportunities to follow.

First Appearance

FAW Trucks first made its appear- ance in South Africa just on 20 years ago, when Richard Leiter, a local business entrepreneur, acquired the licence to import, distribute and sell FAW vehicles locally.

Today he still holds a minor share in the local arm of the Chinese entity, and serves as an executive director.

“We could have gone to Kenya, or Tanzania, where FAW has been present in sales and service for over 30 years but, in the end, we chose South Africa because of the infrastructure,” says Leiter.

“It then came down to a choice between East London and Coega. In the end, Coega was chosen because the infrastructure is perfect.”

The Coega assembly plant will supply trucks to the South African market, as well as to the rest of Africa, in right-hand- and left-hand-drive derivatives.

Distribution Centre

FAW South Africa’s existing assembly facility in Isando, Gauteng, will be transformed into a parts and distribution centre, while also serving as the FAW Isando service centre.

A new head office is being constructed in Isando to accommodate 120 staff, and was nearing completion.

The new 2 500 m2 building is set to form the base for the company’s activities in Africa.

“To date, we have been very successful within the construc- tion, agriculture and freight industry sectors, where our vehicles are well suited and well proved,” says Leiter.

“We will continue driving these sales. “The current economic climate, pertaining to the construction industry in particular, is looking very positive and we are confi- dent of further success in these areas.

“Our focus in 2014 continues with increasing brand awareness in the freight carrier market, where models have been developed to cater specifically for logistics requirements. “Our marketing efforts have been streamlined accordingly.”

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

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