http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.14Change: -0.15
R/$ = 12.05Change: -0.20
Au 1200.03 $/ozChange: -6.12
Pt 1139.50 $/ozChange: -16.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Oct 01, 2012

Toyota parts centre leads new round of investment from manufacturer

Back
TSAM president and CEO Dr Johan van Zyl discusses the significance of the company's new parts distribution centre. Camerawork: Nicholas Boyd. Editing: Darlene Creamer. Recorded: 01.10.12
 
 
 
DURBAN|Engineering|Africa|Components|Engines|Environment|Motors|Platinum|Projects|Storage|Toyota South Africa Motors|Africa|Europe|Algeria|South Africa|Durban Plant|NEW PARTS DISTRIBUTION WAREHOUSE|Prospecton Plant|Toyota Plant|Automotive|Motors|Service|Infrastructure|Johan Van Zyl|Motors|Motors|South Africa
Engineering|Africa|Components|Engines|Environment|Motors|Platinum|Projects|Storage||Africa||||Automotive|Motors|Service|Infrastructure|Motors|Motors|
durban|engineering|africa-company|components|engines|environment|motors-company|platinum|projects|storage|toyota-south-africa-motors|africa|europe|algeria|south-africa|durban-plant|new-parts-distribution-warehouse|prospecton-plant|toyota-plant|automotive|motors-industry-term|service|infrastructure|johan-van-zyl|motors-person|motors|south-africa-region
© Reuse this



Toyota South Africa Motors’ (TSAM’s) new R363-million parts distribution warehouse was the first big money spent in a fresh multibillion-rand investment cycle by the Japanese manufacturer, said TSAM president and CEO Dr Johan van Zyl on Monday.

“We will be looking at investing into the production of new models at the plant again, and expanding our business,” he told Engineering News Online at the opening of the parts centre, located in Ekurhuleni.

TSAM currently assembles the Hilux, Fortuner and Corolla models at its Prospecton plant, in Durban, which has the capacity to produce 220 000 units a year. It also assembles the Quantum minibus in a new investment programme announced earlier this year, set to expand soon.

“We’ll be making announcements as the projects come to fruition,” said Van Zyl.

He added that government’s new Automotive Production and Development Programme (APDP), active from 2013, provided a stable backdrop for TSAM’s investments, but that political and economical stability also played a role.

Van Zyl noted that recent labour unrest at the Marikana platinum mine, in which 46 people died, had tarnished South Africa’s image abroad.

“We have to ensure that we manage this situation well, and that we do not create a negative environment for investors.”

He added that Toyota remained positive about South Africa, and and that it would continue its investment programme into the country.

MUST INCREASE LOCAL CONTENT
While the APDP was a “good programme”, it was necessary to increase the local content in South African vehicles built for the local and export markets, said Van Zyl.

“When we review the APDP, we’ll have to look at how we can improve local content and how we can build in more benefits for component manufacturers.

“We’ll have to look at engines and gear boxes, which would, of course, require large investments. And, we require these additional investments as the component sector is where the most jobs are created.”

Current local content on the Corolla was around 40%, and 60% on the Hilux.

Van Zyl said exports of these models from the Toyota plant were progressing steadily, with an improvement expected on last year’s numbers.

While debt-ridden Europe was proving a challenging market, Africa was growing steadily in its take-up from the Durban plant.

“Algeria will sell more than 400 000 vehicles this year,” noted Van Zyl.

“Africa’s middle class is starting to grow, and it is no longer only the State and semi-State institutions buying vehicles,” he adds.

NEW PARTS DISTRIBUTION WAREHOUSE
TSAM’s new parts distribution centre was built and equipped in 15 months, and was designed to serve the company’s Southern African Toyota, Lexus and Hino dealer network with daily deliveries. It would also support 70 international destinations where South African-built Toyota vehicles were found.

The new facility had 39 000 m2 of storage space and a further 3 000 m2 of office space. This area hosted the company’s customer service and logistic support divisions.

In the second phase, Toyota would add a further 38 000 m2 of warehouse space, making this facility the largest of its kind on the African continent.

Until this second phase was completed – expected in 2015 - the new facility would be supported by the company’s existing warehouse infrastructure of 22 000 m2 located in Sandton.

The new warehouse carried 2.2-million parts pieces of 110 000 different parts and components, valued at more than R350-million.

* There are currently 108 Japanese companies active in South Africa, creating 15 000 jobs.

 

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Automotive News
KPMG International’s latest Global Automotive Executive Survey, which canvassed 200 automotive executives, shows that short-term market issues are taking precedence over strategic innovations. The document, the sixtheenth survey, notes that respondents view market...
There is a disparity in government funding provided to integrated transport networks – bus rapid transit (BRT) networks ¬¬– and that given to conventional bus services, says Putco executive director Thys Heyns. “We have neglected and strangled conventional bus...
Automotive component manufacturer and distributor Metair is centralising its research and development (R&D) work in Turkey, in an attempt to bolster the company’s ability to produce affordable start/stop batteries. The new R&D centre is part of an expansion plan in...
More
 
 
Latest News
Two influential US senators, central to the so-called ‘chicken war’, have announced their intention to pursue amendments to the African Growth and Opportunity Act (Agoa) to secure greater access for US poultry into the SA market. “We believe passionately in Agoa’s...
The Independent Communications Authority of South Africa (Icasa) on Friday published the findings of a discussion document on South Africa’s television and radio local content environment. Icasa last year requested industry input as it reviewed and revamped...
Buying the catering unit of cash-strapped state airline South African Airways (SAA) could work for Bidvest Group, its chief executive said on Friday. SAA is considering selling some of its units including its inflight and airport lounge catering business, Air Chefs,...
More
 
 
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
 
 
 
 
 
This Week's Magazine
Today’s organisations execute projects within increasingly complex environments – particularly in the engineering sector. The ability to successfully execute these projects is what drives the realisation of successful projects and, ultimately, the achievement of...
SMART DISTRIBUTION Providing funds to introduce smart grid technologies in the absence of a clearly defined strategy will not result in the desired outcome
South Africa’s distribution grid is a twentieth-century relic, which must be changed to serve the country’s modern electricity needs, says South African National Energy Development Institute (Sanedi) Smart Grid Programme manager Dr Minnesh Bipath. “What we are...
There is a disparity in government funding provided to integrated transport networks – bus rapid transit (BRT) networks ¬¬– and that given to conventional bus services, says Putco executive director Thys Heyns. “We have neglected and strangled conventional bus...
The Johannesburg Social Housing Company (Joshco) is building 502 rental housing units, valued at R200-million, in Dobsonville, Soweto, which are scheduled for completion in June 2016.
Automotive component manufacturer and distributor Metair is centralising its research and development (R&D) work in Turkey, in an attempt to bolster the company’s ability to produce affordable start/stop batteries. The new R&D centre is part of an expansion plan in...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96