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Nissan all-new Navara production project, South Africa – update

9th April 2021

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Nissan all-new Navara production project.

Location
Rosslyn, Pretoria, South Africa.

Project Owner/s
Nissan South Africa (SA).

Project Description
Nissan is preparing its Rosslyn facility to produce the NEXT-generation Nissan Navara pickup, including the single- and double-cab models.

The Navara will join the NP200 model, which are built at Rosslyn, and sold in the domestic market and up to 42 Pan-African countries.

The investment in Navara production will result in further modernisation of the Rosslyn plant, including a new, flexible production line and additional facilities.

The new Nissan Navara will boost the Rosslyn facility’s production to more than 35 000 cars, in the first year with further export opportunities under study.

Potential Job Creation
In terms of skills development, about R190-million has been invested in reskilling and training employees, such as the development of trial engineers who received virtual training for three months from Nissan Japan on implementing the new model in South Africa.

Nissan South Africa has also incubated eight new component manufacturers and associated companies from their Broad-Based Black Economic Empowerment (BBBEE) startup programme and identified a further 15 that can assist with components for the new Navara.

Capital Expenditure
R3-billion.

Planned Start/End Date
Covid-19 realities impacted on local production timelines. As part of Nissan’s promise to keep customers appraised of its developments, the start-of-sales for the Nissan Navara has been postponed to June 2021 for South Africa.  The original launch date of the Navara was the first quarter of 2021.

Latest Developments
The Nissan Navara forms part of the Nissan NEXT journey, which is a four-year global strategy to transform Nissan and lay the foundation for sustainable, long-term growth by rationalising structure, costs and efficiencies, as well as prioritise and focus on core products and technologies while restoring the company’s unique culture or ‘Nissan-ness’.

This is anchored by Nissan’s plan to roll out five new models in 18 months in South Africa, and seven new models in sub-Saharan Africa, of which the Navara is one. Globally, Nissan is rolling out 12 new models in 18 months.

A key part of Nissan’s growth strategy locally is to strengthen its light commercial vehicle base to become the manufacturing base for the newly formed Africa regional business unit. The restructure of the previous Nissan Group of Africa region follows the announcement that Nissan globally reduced from seven regions to four, with Nissan Africa forming part of the Africa, Middle East, India, Europe & Oceania, or AMIEO, region.

This announcement came as a natural progression, in line with the Nissan NEXT principles; it will also enable the business to drive forward its strategy in Africa. This includes enhancing its focus on the customer with increased authority and autonomy, continuing the development of manufacturing capabilities across the continent, streamlining their shared services for operational excellence and giving employees more room for growth.

Africa is a critical region for Nissan and is one of the fastest-growing territories for the company globally in terms of total industry volume, with an estimated potential for about 500 000 units in the next five years . Nissan South Africa will continue to enhance its product offering through vehicles, such as the Navara, and expand its footprint throughout the region.

The first Navara trial units have rolled off the production line at the Rosslyn plant.

The local-parts content of the vehicle is currently at about 50%, with the aim to increase this as production reaches maturity.

The local arm of the Japanese manufacturer is working to secure Navara export markets outside Africa, though the target markets are yet to be confirmed by Nissan South Africa.

The Navara will be produced alongside the NP200 half-ton bakkie. The NP300 one-ton bakkie has, however, come to the end of its production life. The production of this model at the Rosslyn plant will most likely end in November 2021.

Nissan SA will, however, continue to support NP300 customers for at least another ten years.

Key Contracts and Suppliers
None stated.

Contact Details for Project Information
Nissan South Africa MD Stefan Haasbroek, tel +27 12 529 6000 or email infodesk@nissan.co.za.

 

Edited by Creamer Media Reporter

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