Name and Location
South African State-owned vehicle manufacturing plant project.
Client
The Industrial Development Corporation (IDC) and the Beijing Automotive Group Corporation (BAIC) signed an agreement in early December last year to build a car manufacturing plant in South Africa.
While the finer details have not yet been finalised, the planned investment will result in the IDC’s holding shares of between 20% and 35% in the project.
Project Description
The project aims to establish a new vehicle manufacturing facility in South Africa. While the exact location of the plant has not been decided, it is expected that it will be based in the Eastern Cape.
The plant will produce passenger, multipurpose and sports utility vehicles, as well as bakkies, and will be rolled out in phases. The plant will have an initial capacity of 50 000 vehicles a year, ramping up to 100 000 units a year.
The car manufacturer plans to export about two-thirds of its production, so access to harbours is critical.
Value
The investment is valued at R12-billion.
Duration
The BAIC manufacturing plant is expected to begin production by the end of 2017.
Latest Developments
None stated.
Key Contracts and Suppliers
None stated.
On Budget and on Time?
Not stated.
Contact Details for Project Information
IDC, tel +27 11 269 3000 or fax +27 11 269 3116.
BAIC, tel +86 10 56630185 or email haojinyi@baicintl.com.