BMW South Africa is not considering disinvestment from South Africa, the vehicle manufacturer and the Department of Trade and Industry (DTI) reiterated in a joint statement.
This followed a meeting, on Wednesday afternoon, between Trade and Industry Minister Dr Rob Davies and BMW South Africa MD Bodo Donauer to discuss how they could work together to create a sustainable investment environment for the vehicle manufacturer in the country.
The meeting was scheduled after BMW South Africa sent a letter to the Minister clarifying some of the incorrect remarks attributed to the company in recent media reports regarding its long-term investment plans for South Africa.
During the meeting, as well as in the letter, the vehicle manufacturer stated that it remained 100% committed to the ongoing production of the BMW 3 Series sedan at its Rosslyn facility and was in no way, shape or form threatening any disinvestment from the region.
However, Donauer did point out that the lengthy strike action in the automotive sector and the consequent nonsupply of 15.8% of yearly BMW 3 Series volumes, most of which was destined for major export markets, had cost the company an opportunity to compete for a potential second model.
If the contract had been awarded to South Africa, the model would have been produced alongside the BMW 3 Series sedan in a second production line.
During the meeting, Davies also reiterated that the DTI and government remained committed to supporting the development of motor manufacturing in South Africa, also discussing potential ways in which BMW South Africa and the department could work together to create a favourable environment for the company to compete for similar investments in future, should the opportunity arise.
Both parties committed themselves to participating in ongoing discussions with all stakeholders in the industry to create a climate to ensure continuing growth.
Therefore, they also welcomed the proposal for a further meeting with the CEOs of the major vehicle manufacturers, which would take place on the sidelines of the Johannesburg International Motor Show next week.