A world-class Automotive City
our Strategic overview
TASEZ’s journey began in 2016 when the Automotive Industry Development Centre (AIDC) was developing a masterplan to set up the Rosslyn precinct as a smart Automotive City (Tshwane Automotive City) in the Northern part of the City of Tshwane. To support Ford Motor Company of South Africa’s growth plans, a concept masterplan for Silverton Industrial and Retail Part (incorporating Ford Development Programme), was developed in 2017 for a precinct in the Eastern part of the City of Tshwane, where Ford is located, after which the then Department of Trade and Industry agreed to develop it as a Special Economic Zone.
The SEZ, which is the result of a well-thought out and widely consulted plan, was launched by President Cyril Ramaphosa in November 2019.
As South Africa’s first SEZ, dedicated to the automotive industry, it was legally established following a 2020 Intergovernmental Relations Agreement between what is now the Department of Trade, Industry and Competition (the dtic), the Gauteng Department of Economic Development and the City of Tshwane (CoT).
tasez development trajectory
The innovative TASEZ, which commenced with a R3.4 billion budget and is the first vehicle park of its kind, will contribute vastly to the socio-economic ecosystem of the local community. It created some 8,700 jobs during the construction phase, while 2,100 permanent jobs will be generated by the time it is fully occupied and running, which is planned for 2023.
During 2020/21, 3,348 construction jobs were filled, with 67% of construction employees (against a planned 70%) residing in neighbouring communities. Within the zone itself, 603 operational (automotive jobs) have already been created by investors.
Thousands of additional jobs will be added as it evolves into a multi-faceted hub designed to bolster South Africa’s automotive manufacturing capacity and global competitiveness, while also creating skills in addition to benefitting the local economy. Foreign and local investment is being attracted, with Ford having already committed, as our anchor tenant, to R15.8 billion in investment.
We anticipate staff employed at the hub to require housing, shops, and local government services such as hospitals, and police stations. Such infrastructure will benefit the local community, and spur on regional development surrounding the park.This will provide a much-needed boost to residents in and around Mamelodi.
This SEZ will have 47% small-, medium-, and micro enterprise (SMME) economic participation, aiding South Africa’s need to build an economy that creates more small businesses owned by black people and women as well as giving young people opportunities through providing training and entrepreneurial skills so they can set up their own business.
Skills will be transferred through mentorship programmes that will give people essential competences and technological abilities, allowing them to find decent work beyond the construction phase. A jobs portal has also been added for individuals wishing to apply for career opportunities.
With billions to be invested in this region, we will see the broadening and participation of SMMEs from the surrounding communities and bring the much-needed stimulation of our economy.
The economic empowerment of local communities is one of the overarching principles of the Tshwane Automotive SEZ, and the board, which settled in during March 2020, has established a comprehensive community engagement framework to drive this process.