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Tshwane Automotive Special Economic Zone, South Africa – update

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25th November 2022

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Tshwane Automotive Special Economic Zone (TASEZ).

Location
Adjacent to the Ford Motor Company of Southern Africa (FMCSA) plant, in Silverton, Tshwane, in Gauteng, South Africa.

Project Owner/s
The SEZ is a public–private partnership between the Department of Trade, Industry and Competition (DTIC), the Gauteng provincial government and the City of Tshwane, in partnership with original-equipment manufacturer FMCSA.

The Coega Development Corporation (CDC), developer and operator of the Coega SEZ, in the Eastern Cape, has been appointed as the implementing agent to develop and operate the TASEZ.

Project Description
The TASEZ is an automotive components supplier industrial park that will play a significant role in bolstering further investment and job creation in the local economy. It will also be instrumental in allowing for the future expansion of Ford’s local operations, in which it plans to invest more than $1-billion.

The TASEZ will cover 204 ha and is driven by automotive manufacturing and suppliers of various vehicle components.

The project will be completed in phases. The first phase accommodates ten suppliers, with later phases to include residential and retail components.

Potential Job Creation
A total of 4 848 construction jobs (12% women and 53% youth) have been created.

Capital Expenditure
The project is a R3.4-billion investment between government and FMCSA.

Planned Start/End Date
The TASEZ entered operation in 2022.

Latest Developments
The TASEZ officially entered into full operation on November 21, with all ten automotive component manufacturing companies in the SEZ having started full production.

This follows the FMCSA starting production of the next-generation Ford Ranger on November 14.

The investment made by the ten suppliers within the zone is currently R3.62-billion against an overall projected investment of R4.2-billion. The total number of permanent jobs created by these suppliers is currently t 1 259 jobs (76% youth and 32% women) against a projected target of 2 080 to be made available during the production ramp-up.

The TASEZ also participates in driving inclusive economic growth and meaningful economic opportunities through empowering small-, medium-sized and microenterprises in townships.

Within the FMCSA’s facilities, 1 200 additional jobs have been created, bringing its total workforce to 5 500. An estimated 10 000 new jobs have been created across Ford’s local supplier network. 

Key Contracts, Suppliers and Consultants
Moago Construction (short-term contract – bulk earthworks).

Contact Details for Project Information
TASEZ, email msokolin@tasez.co.za.

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