Business case still being finalised for local production of new Nissan bakkie

26th June 2015 By: Irma Venter - Creamer Media Senior Deputy Editor

The new Nissan Navara has been launched onto the global market, but Nissan South Africa (NSA) will only know in August whether the local Rosslyn plant will assemble the one-ton pick-up.

The NSA plant currently produces the old NP300 Hardbody one-ton bakkie, as well as the NP200 half-ton pick-up.

NSA MD Mike Whitfield tells Engineering News that NSA and its Japanese parent company are working towards “finalising the business case” for production of the new Navara range in South Africa.

“This decision is a global decision and should be made clear around August. At this stage, it is looking positive. It is a massive project and would result in fairly significant investment.”

Should NSA be given the go-ahead for production of the new Navara, assembly will start late in 2017, says Whitfield.

Another option also being considered for the plant is the continued production of the current NP300 bakkie as a value-for-money pick-up alongside the new Navara.

Production of the NP200 was set to continue either way, notes Whitfield.

“The NP200 is a key part of our overall commercial vehicle strategy.”

Whitfield says Nissan has “no intention” of not using the Rosslyn plant.

“The question is how to use the plant, not whether it will be used.”

Whitfield adds that NSA is not looking at contract manufacturing for other vehicle brands to bridge the gap to 2017.

Without the new Navara in its production line-up, NSA will struggle to meet the target of assembling 50 000 units a year in order to qualify for selected government incentives under the Automotive Production and Development Programme.

While sales of the current NP300 in Africa and South Africa are still “going well”, export opportunities are diminishing as the new Navara is launched across the globe, says Whitfield.