Jenny Tennant, Author at Tasez

TASEZ and NAACAM sign a Memo of Agreement with a special focus on training

By Mandla Mpangase Forming a significant partnership in the automotive manufacturing sector, the Tshwane Automotive Special Economic Zone (TASEZ) has signed a memorandum of agreement with NAACAM (the National Association of Automotive Component and Allied Manufacturers). The key areas of focus are around skills development and training, supply, small medium and micro enterprise (SMME) support, localisation and innovation. TASEZ CEO Dr Bheka Zulu referred to the signing of the memorandum of agreement as a milestone for Africa’s first automotive city, adding: “This must be a living document.” The two parties have a synergy that will help transform the automotive manufacturing sector in tangible ways. “This partnership is one that we’ve been speaking about for some time, but I think it’s a really concrete and focused one for us,” said NAACAM CEO Renai Moothilal. TASEZ was established to promote employment growth and productivity, contributing to South Africa’s socio-economic development and competitiveness, while NAACAM is recognised as the voice of the South African automotive component industry both domestically and internationally. “NAACAM, as you know, is the mandated voice of auto component,” said the organisation’s CEO Renai Moothilal. NAACAM, as a member-driven organisation, is positioned at the forefront of industry leadership, representation, and stakeholder engagement for automotive component manufacturers. “We also are excited about the opportunity to partner with yourselves on areas around export market development, township economy revitalisation, and, of course, wider industry events and other engagement platforms,” Moothilal said. The TASEZ hub accommodates mainly automotive component manufacturers, but not exclusively so. However, most of the tenants in TASEZ belong to NAACAM. Dr Zulu noted: “This is a great moment because we, as TASEZ, stand for the people; creating jobs, adding economic value, and skills development.” Dr Zulu pointed to the many strategic partnerships TASEZ has. “We stand for economic growth for Tshwane, for the province and for the region. We stand for economic growth for the country and for the continent.” As a special economic zone (SEZ), TASEZ is part of the 240 plus SEZs in Africa. “It means we are a continental player.” TASEZ is also part of the 5 000 plus SEZs across the world. The SEZ is in a position to open avenues and engagements with different stakeholders from an African footprint. “We are about facilitating trade and investment, and you are a partner that produces components that are needed by the industry, by the continent, by the world,” Dr Zulu noted. Africa, he added, is a big market. “If you look at the African continent, with its population sitting at 1.3 billion, that’s an area where you can make an impact, because all your components will fit into the livelihoods of people on a daily basis.” As its Phase 2 rolls out, TASEZ is looking to offer a diversity of appropriate land uses and other economic activities. Of particular importance to TASEZ’s Phase 2 development is supporting black industrialists and small, medium and micro enterprises (SMMEs). In doing so TASEZ is also focused on developing programmes geared to providing skills for both the needs of the industry and those of the communities surrounding the project. It is with this in mind that the SEZ has set up a training academy, part of making sure Phase 2 delivers on becoming a centre of excellence for the industry. “This is our second passion,” Dr Zulu. On 5 March 2025 the two organisations agreed to collaborate in areas of special interest, with a particular focus on transforming the economy. The memorandum of agreement covered a wide-range of issues, including: The concept of localisation is of particular importance to TASEZ and NAACAM. “Not only do we want to see greater traction in reports, but we want to see it unfold with greater component production, especially in a facility such as the one that you manage,” Moothilal said. “That is why we are so passionate about having government policies and programmes and facilities such as TASEZ, which ultimately supports competitiveness of the whole value chain and then grows localisation.” Dr Zulu expressed his delight at having a partner that also focuses on innovation. “Innovation is one of the things we drive. Research and development is a stumbling block for many SMMEs, so we want to come into research and development.” TASEZ was busy setting up a research chair with this in mind and is working with the Tshwane University of Technology and the CSIR (Council for Scientific and Industrial Research) to do so. “We want to see innovation, change and global competitiveness,” Dr Zulu said. “For us, we see our collaboration as something that talks to our long-term impact – the socio-economic impact we are hoping to make here in the city, nationally and internationally,” said Dr Zulu.

TASEZ and parliamentary committee talk localisation and stimulating manufacturing

News / By Jenny Tennant

By Mandla Mpangase The state of the automotive sector took centrestage during a visit by the portfolio committee on trade, industry and competition to the Tshwane Automotive Special Economic Zone (TASEZ) at the end of February 2025. TASEZ welcomed the committee to the special economic zone on 27 February 2025. The Department of Trade, Industry and Competition (dtic) is one of TASEZ’s key shareholders, so the oversight visit was greatly appreciated. “This is an important engagement,” CEO Dr Bheka Zulu noted, where the role of the automotive manufacturing sector and SEZs can be interrogated in depth. South Africa’s automotive sector currently contributes 5.3% to the GDP, however, it is facing challenges and seeing a 3% decline and facing stiff competition from the markets in China. The committee, chaired by Mzwandile Collen Masina, raised the need for a comprehensive industrial policy to transform South Africa’s economy, with a particular focus on localisation and stimulating local manufacturing. The TASEZ executive team, led by chairperson Lionel October and CEO Dr Zulu, provided the committee with insights into the progress of Africa’s first automotive city, including its economic impact both locally and nationally. The committee was told that TASEZ was a newcomer in terms of South Africa’s SEZs, set up in an innovative and unique way: supported by all three tiers of government. Along with the dtic, the Gauteng Province and the City of Tshwane contribute towards the success of TASEZ. TASEZ, in the capital city of Tshwane, sits in the logistics crossroads of the country, reaching east and west, north and south, with access to the neighbouring states as well as globally through rail and port connections to the Durban Port. The SEZ is also supporting the creation of a rail link to Gqeberha, in the Eastern Cape. “What makes us unique and special is that our core focus is in the automotive sector, and that’s where we’ve made an impact,” Dr Zulu said. The automotive industry is an important contributor to the country’s economy, with more than 500 000 employed across its value chain. “TASEZ has been able to design a world class automotive manufacturing hub providing a conducive environment for investors, where they can harness their potential of economic growth,” the CEO said, adding that the contribution to the GDP from within the hub was 1%. TASEZ’s Phase 1 economic impacts: Ford, the anchor tenant of TASEZ, has managed to expand its production by 40 000 units a year, up from 160 000 to 200 000. “What this means is that one car is produced every minute because of the components manufactured in our hub. By the end of today, more than 720 cars will have been manufactured.” Transformation of the economy is crucial to the committee. As portfolio chairperson, Masina, said: “We have to ensure there is real transformation in South Africa.” All involved agreed that there is a need for innovative ideas that could change the course of development in South Africa. A committee member noted: “We have got to invest in building black industrialists.” The committee also discussed the need for a comprehensive industrial policy to transform South Africa’s economy, focusing on localisation and stimulating local manufacturing. The targets set in the South African Automotive Master Plan 2035 featured strongly in the discussions; with the aim of increasing South Africa’s global automotive manufacturing footprint to 1%, increasing the local content in South African manufactured or assembled vehicles to 60%, doubling employment in the automotive value chain, improving the industry’s competitiveness to that of leading international competitors, the transformation of the industry, and deepen the value addition within the automotive value chains. Masina noted that the Black Economic Empowerment scorecard currently in use, does not effectively promote real transformation. The two teams spoke about shifting the focus from Level 1 status to ownership and control. Concerns were also raised about the current tariff regime’s impact on local growth and the need for innovative strategies to support black industrialists. The committee emphasised the importance of aligning incentives and legislation to foster local industry development. “How do we create our own original equipment manufacturers without over-reliance on foreign direct investments? We’ve got to stimulate our economy through direct investment in this country,” a committee member observed. The discussion also highlighted the need for skills development, job creation, and the role of SEZs and SMMEs in driving economic growth within the automotive manufacturing sector. The development of TASEZ’s Phase 2 provides some answers to the questions on skills development, job creation and support for SMMEs. Phase 2 will expand the SEZ and attract an investment of R6.1-billion from private sector investment, and R3.9-billion from government partnerships. This phase will see the creation of 6 150 jobs, and, like Phase 1, SMME procurement spend has been ringfenced to the amount of R1.1-billion. Its particular focus is on including black industrialists into the SEZ. A key feature in Phase 2 is the setting up of a centre of excellence that will answer to the growing need to upskill, reskill and prepare South Africa and its communities, for the advancement of technology. With the move to NEVs, new skills and a new way of doing business will be required.

TASEZ launched Phase 2 ahead of hosting SOPA 2025

News / By Jenny Tennant

By Mandla Mpangase Africa’s first automotive city, the Tshwane Automotive Special Economic Zone (TASEZ) marked a significant milestone with a sod-turning ceremony, unveiling Phase 2 of its development, prior to hosting the 2025 State of the Province Address. This event, held on 23 February 2025, underscored TASEZ’s role in Gauteng’s economic growth and job creation strategy. On a small, cleared patch of land, three yellow earth-moving excavators raised their buckets in salute at the arrival of Gauteng Premier Panyaza Lesufi. The premier joined the shareholders and executives of TASEZ to ceremonially turn the soil to signify the start of development. Lesufi was joined by the TASEZ chairperson Lionel October, and CEO Dr Bheka Zulu. Others in attendance at the event included: TASEZ board members Susan Mangole and Vuyo Zitumane; the CFO Rebecca Hlabatau; the Speaker of the Gauteng Provincial Legislature Morakane Mosupyoe along with the Deputy Speaker Nomvuyo Mhlakaza-Manamela; Gauteng Provincial Legislature Chair of Chairs Rev Dulton Adams; the City of Tshwane’s Deputy Mayor Eugene Modise; President of the Ford Motor Company of Southern Africa Neale Hill; and Ford’s Corporate Transformation Manager for South Africa Esther Buthelezi. The small gathering belied the significance of the moment: the youngest of South Africa’s special economic zones was growing up. Zitumane told the gathering that Phase 2 of TASEZ is set to attract R6.1-billion in private sector investment, a crucial injection into the province’s economy, and will create more than 6 000 jobs in construction and permanent employment. In addition, like in Phase 1, Phase 2 will see an investment by TASEZ into small, medium and micro enterprises of R1.1-billion. Most importantly, Phase 2 also sees the creation of a centre of excellence for the automotive manufacturing sector, with the TASEZ Training Academy providing skills for the future, including for the emergence of new energy vehicles. Lesufi emphasised the transformative impact of these developments: “This is real economic transformation in action, where factories rise, businesses grow, and communities thrive.” TASEZ is solidifying its position as a key driver of Gauteng’s economic vision. The zone’s focus on automotive manufacturing and innovation aligns with the province’s broader strategy to boost economic growth and address unemployment. With Phase 2 underway, TASEZ is poised to further enhance its contributions to the city’s, the province’s and the country’s economy, solidifying its status as a vital economic hub.

TASEZ – it’s time for the lions to tell their story

News / By Jenny Tennant

By Mandla Mpangase By hosting the opening of the Gauteng Provincial Legislature and the State of the Province Address at the Tshwane Special Automotive Zone on 24 February 2025, the provincial government – one of TASEZ’s shareholders – acknowledged how far the special economic zone has come in opening up the economy. Premier Panyaza Lesufi took the opportunity to talk about the impact TASEZ has had in its short existence as he began his speech. “Five years ago, where we are now, there was nothing but empty ground. Today, as we hold this State of the Province Address in this facility, we can show how we are moving forward, helping drive South Africa – the future of manufacturing starts here.” TASEZ – Africa’s first automotive city – sees the production of more than 700 cars every day, 200 000 annually thanks to the component manufacturers based in the special economic zone, next to Ford’s Silverton plant. The premier referenced the proverb “until the lions have their historians, tales of the hunt shall always glorify the hunter” pointing out that today, the lions are telling their story. “We are ready to tell our story,” he said, adding that the venue of the State of the Province Address stood as testament to the things that are being done in South Africa. “We have 8 000 people who were unemployed three years ago, that have jobs today.” Gauteng was proud to be the home of Africa’s first automotive city. Lesufi pointed out that TASEZ grew out of a multi-tiered partnership between the Gauteng Province, the national Department of Trade, Industry and Competition, and the City of Tshwane – and of course, the drive from the investment made by the Ford Motor Company of Southern Africa in expanding its plant. Phase 1 of TASEZ saw a total investment of R26-billion, with more than 8 000 jobs created in construction and permanently. “This innovation has also brought opportunities for 229 small businesses to work within the zone. They benefitted from R1.7-billion set aside for procurement packages from small, medium and micro enterprises (SMMEs).” Attention was paid to women, youth and people with disabilities in particular. “This special economic zone is a demonstration of what can be done by other special economic zones to create opportunities.” Premier Lesufi told the legislature that earlier in the day he had attended a sod-turning ceremony to mark the start of TASEZ’s Phase 2 development. Phase 2, the premier noted, will expand the SEZ and attract an investment of R6.1-billion from private sector investment, and R3.9-billion from government partnerships. This phase will see the creation of 6 150 jobs, and, like Phase 1, SMME procurement spend has been ringfenced to the amount of R1.1-billion. “We don’t want to simply build cars, we want to transfer these skills to our young people,” Lesufi said. “We are proud that Phase 2 is going to include an academy to train the young people for the future.” Reflecting on the fact that TASEZ was chosen to host the 2025 State of the Province Address, CEO Dr Bheka Zulu said: “History has been rewritten here, not with a pen, but with the presence of the people.” TASEZ is the first SEZ to host such a significant event. “Scores of people from all walks of life came to be part of this event,” Dr Zulu added. “For us, that is a significant indication that we are an organisation of choice.” The lions have told their story.

Collaboration and partnerships key to development

News / By Jenny Tennant

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) has signed a Memorandum of Understanding with the Gauteng Provincial Legislature ahead of hosting the official opening of the legislature and the 2025 State of the Province Address next week. TASEZ CEO Dr Bheka Zulu and the Gauteng Provincial Legislature Acting Secretary Linda Mwale ceremonially signed the document during a media briefing at the Gauteng Provincial Legislature offices on 20 February 2025. Prior to the signing, members of the media were told of the strong partnership between the Legislature and TASEZ. The legislature’s Chair of Chairs, Bishop Dulton Adams said that holding the official opening of the legislature and State of the Province Address at TASEZ was of particular importance. “This is not just a venue. It is a symbol of economic transformation, industrialisation and investment driven growth.” The official opening of the legislature and the delivery of the State of the Province Address takes place in the TASEZ hub on 24 February 2025. TASEZ, he said, boosts Gauteng’s automotive industry, driving investment in economic growth, creating jobs and developing skills, and positioning Gauteng within the African and global trade environment. “This is a milestone moment for TASEZ,” the CEO told the media. Dr Zulu explained that TASEZ, known as Africa’s first automotive city, was a new kid on the block in terms of South Africa’s special economic zones (SEZs), but it was punching above its weight. The SEZ was supported by all three tiers of government: the Gauteng Province; national government, through the Department of Trade, Industry and Competition; and local government, through the City of Tshwane. “All these shareholders contribute to us, as an organisation, changing the landscape of SEZs and the automotive sector.” TASEZ, in the capital city of Tshwane, sits in the logistics crossroads of the country, reaching east and west, north and south, with access to the neighbouring states as well as globally through rail and port connections to the Durban Port. The SEZ is also supporting the creation of a rail link to Gqeberha, in the Eastern Cape. “What makes us unique and special is that our core focus is in the automotive sector, and that’s where we’ve made changes,” Dr Zulu said. The automotive industry an important contributor to the country’s economy. In 2024 the industry’s entire value chain contributed 5.3% to the GDP. The industry also employees more than 500 000 people across its value chain. “TASEZ has been able to design a world class automotive manufacturing hub providing a conducive environment for investors, where they can harness their potential of economic growth,” the CEO added. “With the global shift towards sustainable practices of a greener future, TASEZ has embraced a number of green energy solutions centred on solar power.” This was part of the SEZ’s cleaner strategy. “One of the reasons for this,” Dr Zulu said, “is that 65% of the products manufactured in TASEZ are for export.” These products reach more than 100 countries around the world, including Europe, where the continent has set 2035 as the deadline for a net zero carbon footprint. Dr Zulu also pointed out that the industry was moving towards new energy vehicles, which will require new skills and a new way of doing business. He took the media through the economic impacts TASEZ had made during it Phase 1 development: TASEZ spent R1.7-billion on construction procurement from small, medium and micro enterprises (SMMEs) – 43% of the total construction budget, well above the national target of 30%.Some 229 SMMEs benefitted, with 6.2% of the procurement spend going to women-owned businesses, 18% to youth-owned businesses, and 2% to people with disabilities.The SMME beneficiaries are based in the local communities of Eersterust, Mamelodi and Nellmapius. Some 5 500 jobs were created in construction, with 18% of the jobs going to women, 60% to youth, and 0.86% to people with disabilities. The SEZ created 3 311 permanent jobs, with 32% going to women, 65.47% to youth, and 0.83% to people with disabilities. Ford, the anchor tenant of TASEZ, has managed to expand its production by 40 000 units a year, up from 160 000 to 200 000. “What this means,” Dr Zulu said, “is we produce a car every minute. By the end of today, more than 720 cars will have been manufactured.” As TASEZ beings to unroll its Phase 2 development is has set up a center of excellence “because there is a growing need to upskill, reskill and prepare us, and our communities, for the advancement of technology”. TASEZ has raised additional funding specifically for skills development. “That’s how serious we are in terms of transforming and innovating this country – we can’t grow without our people. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.

TASEZ to host 2025 State of the Province Address

News / By Jenny Tennant

By Mandla Mpangase Africa’s first automotive city, the Tshwane Automotive Special Economic Zone (TASEZ) is hosting the official opening of the Gauteng Provincial Legislature and the State of the Province Address – the first special economic zone to do so. TASEZ being the venue for this year’s address is a powerful statement; it acknowledges the role the SEZ’s commitment to economic diversification and innovation. The SEZ, with its focus on the automotive industry and related sectors, represents a key driver of economic growth in Gauteng and hosting the event at TASEZ draws attention to the importance of the automotive manufacturing and technology sectors. Addressing a pre-State of the Province Address luncheon on 20 February 2025 the Speaker of the Provincial Legislation, Morakane Mosupyoe, explained why TASEZ had been selected to host this mammoth event. This special economic zone (SEZ) set up in the City of Tshwane was strategically positioned to support the expansion of the Ford Motor Company’s plan in Silverton assembly plant. “When the initial agreement was signed, I was MEC for economic development, so I was part of the team that was negotiating with Ford,” Mosupyoe said. “We had serious competition from Thailand by the way, so we fought for that investment to brought here, and ultimately we got it going.” Ford brought a R15-billion investment to the country to expand its South African manufacturing operations – one of the largest-ever investments in the local automotive industry. With that came further investments from component manufacturers, who were all based in the TASEZ hub, alongside the Ford assembly plant. The impact on the provincial and local economy was noticeable, with new jobs and business opportunities opening up for small, medium and micro enterprises – particularly within the communities surrounding the SEZ. With the first phase of TASEZ now complete – it was set up in a record 18 months, during a global economic crisis and a pandemic, the SEZ is now looking to the future. Premier Panyaza Lesufi decided that because TASEZ is going into its second phase, Gauteng should take the State Of The Province Address to the hub to highlight the work that has been going on there, the Speaker said. “I’m sure the premier will talk to the jobs that were created, as well as the many other impacts that came from the relationship.” Gauteng Province is one of the three strategic state partnerships that support TASEZ, with the other two being the Department of Trade, Industry and Competition, and the City of Tshwane. “We need to appreciate in these relationships boost the automotive manufacturing industry,” Mosupyoe said. TASEZ and its partners, including all its tenants, drive investment and economic growth, create jobs and it develop skills, she added. It positions South Africa as a gateway to Africa and global trade, speaks to infrastructure and economic development. The much-anticipated address takes place on Monday, 24 February 2025, under the theme “Harnessing Parliamentary Diplomacy for the Realisation of Global Solidarity, Equality and Sustainability”. The address is used by the premier to reflect on the provincial government’s achievements and challenges of the past year. It also serves as a platform to outline the province’s key priorities and plans for the year ahead. The State of the Province Address provides a crucial platform for the premier to communicate with the people of Gauteng, allowing for transparency and accountability as the provincial government outlines its key policy objectives and deliverables for this year. No doubt important topics such as economic growth, job creation, infrastructure development, and social service delivery will all fall under the spotlight.

TASEZ welcomes the State of the Nation address

News / By Jenny Tennant

By Mandla Mpangase The Tshwane Automotive Special Economic Zone (TASEZ) takes careful note of the key messages raised by President Cyril Ramaphosa in this State of the Nation address in Cape Town last night, 6 February 2025. One of the issues he raised was the need to ensure that growth creates jobs for all, especially for young people. “We are going to answer that call,” says TASEZ CEO, Dr Bheka Zulu. “Our aim in the special economic zone is to encourage investment within the global automotive manufacturing sector and in so doing, create jobs for the people of the City of Tshwane in general and the local communities of Eersterust, Mamelodi and Nelmapius in particular.” The president noted that the success of the Presidential Employment Stimulus shows how public employment programmes can create meaningful work that generates a wider benefit and contributes to sustainable employment. “The employment stimulus has created almost 2.2 million work and livelihood opportunities through innovative models that provide high-quality work to participants.” One of the industries of the future is in the automotive manufacturing space, with the setting of limits to carbon emissions and the rise of new energy vehicles, particularly in the European market, something TASEZ is directly involved in monitoring and supporting. President Ramaphosa noted: “To create jobs, we must leverage our unique strengths and our unrealised potential to build the industries of the future – green manufacturing, renewable energy, electric vehicles and the digital economy.” His comments about finalising a modernised and comprehensive industrial policy that drives economic growth by “focusing on the opportunities in localisation, diversification, digitisation and decarbonisation” is of particular importance to the automotive manufacturing industry. The South African Automotive Masterplan 2030 has set targets to deal with all of these issues: Grow South Africa’s vehicle production to 1% of global output Increase local content in South African-assembled vehicles to up to 60% Double employment in the automotive value chain Improve automotive industry competitive levels to that of leading international competitors Transformation of the South African automotive value chain Deepen value addition within South Africa’s automotive value chains In addition, South Africa will be working towards the full implementation of the African Continental Free Trade Area (AfCFTA), “which will tear down the barriers to trade on our continent”, the president said. “As the most industrialised economy in Africa, we are positioning ourselves to be at the centre of this new and growing market.” As a global role player, this is of particular importance to TASEZ. South Africa has been a key player in the development of AfCFTA’s automotive framework, which aims to enhance trade within the continent. The automotive sector is one of the country’s largest economic sectors. According to the Automotive Business Council, naamsa, the automotive industry contributes 5.3% to GDP [3.2% manufacturing and 2.1% retail], with exports equating to 14.7% of South Africa’s total exports – reaching 148 international markets. The manufacturing segment of the industry employs 110 000 people across its various tiers of activity and combined with the industry’s strong multiplier effect, is responsible for 457 000 jobs across the South African economy. With the national goals of making the economy more inclusive, TASEZ focuses on empowering those who were “deliberately excluded from playing a key role in the economy of their own country”, to quote the president: black industrialists; small, medium, and micro enterprises (SMMEs); women; the youth; and people with disabilities. TASEZ, in its Phase 1 development supported SMMEs to the tune of R1.7-billion and created 5 500 construction jobs and 3 311 permanent jobs for people from the local communities. Of the construction jobs, 18% were women, 60% were youth, and 0.86% went to people with disabilities. Of the permanent jobs, 32% went to women, 65.47% to youth, and 0.83% to people with disabilities. “As we enter Phase 2 of our development, we remain committed to transforming the sector, opening opportunities for SMMEs and black industrialists, and helping train people for the future,” said Dr Zulu.

Skills training is able to change lives

News / By Jenny Tennant

By Mandla Mpangase Skills development is vital for the growth and transformation of South Africa’s economy – and is one of the core drivers of the Tshwane Automotive Special Economic Zone. On 29 January 2025, representatives from the Tshwane Automotive Special Economic Zone (TASEZ) and the TASEZ Training Academy attended a Services SETA monitoring session of one of their projects in Johannesburg, where they got the chance to meeting the 119 young people undergoing a learnership programme. The learners train under the auspices of Auvergne Designs, a factory that produces furniture for many of the country’s retailers. The learnership consists of 70% hands-on training, and 30% theoretical course work. At the end of 12 months, the participants graduate with the skills to enter the job market or even set up their own small business. “We are shaping the future of our youth,” says TASEZ Training Academy project manager, Ilse Immelman. The TASEZ Training Academy has three key components: skills development; entrepreneurial incubation; and high-performance programmes. “As a hub of innovation and growth in the automotive sector, our academy is dedicated to shaping the future of the automotive industry – and beyond – by nurturing talent, fostering entrepreneurship, and delivering high-performance education programmes.” Skills director for Auvergne, Phumla Stokwe, talks of the company’s vision of expanding their training offerings and developing a skills hub for the furniture industry. “We see the difference training makes in young people’s lives,” she says. Auvergne Designs co-owner Owen Drysdale is passionate about training the young cohort: “The youth are amazing. We recruit young people straight out of school and through the training are able to give them a solid foundation in furniture-making skills along with life skills like confidence and a level of self-esteem.” One of the young people on the learnership, 19-year-old Kutwano Motaung from Diepkloof Soweto, said he dreams of opening his own business in the future. By attending theoretical classes and then the practical work on the factory floor, Keagan Arends, from Noordgesig in Soweto, said the learnership was providing him with “workplace experience”. Auvergne Designs has been in operation for 25 years, but it was the Covid pandemic that breathed new life into the company: allowing it to change its approach from focusing on high-end products to retail furniture. This was possible thanks to the government funds provided during the pandemic and the partnership with the Services SETA, which offers a stipend for the young people undergoing the learnership programme. “It is through education, that we can create jobs,” Drysdale offers. The factory currently has 450 employees who work as frame cutters, seamsters, upholsterers, and quality controllers. Every item in the factory is hand-crafted using local materials. And the quality more than holds its own with international competition. Auvergne Designs is able to produce some 8 000 chairs every month. The TASEZ Training Academy appointed We Invest Africa as the project manager for the Auvergne Designs learnership programme. Director of We Invest Africa, Wisani Mathye, describes the project as an important one, giving the young people on the learnership the chance to change their lives. “On completing this year-long learnership, they will be able to find jobs and event start up their own businesses.” Natalie Ford from the Gauteng office of the Services SETA explained the importance of learnerships in opening doors to opportunities. The programmes sits on a number of pillars: employability; experience; knowledge acquisition; networking opportunities; and access to permanent jobs. South Africa has 21 SETAs (Sector Education and Training Authorities) covering key economic industries, including in agriculture, chemical, construction, finance and insurance, manufacturing, and wholesale and retail. Each SETA is responsible for managing and creating learnerships, internships, unit-based skills programmes, and apprenticeships within its industry.

WEF report highlights urgent need for new skills

News / By Jenny Tennant

By Mandla Mpangase Every year the who’s who of the global political, research and business worlds gather together in Switzerland to discuss issues and shape industrial, environmental and social programmes. The annual meeting of the minds, held under the auspices of the World Economic Forum (WEF), took place from 20 to 24 January 2025 in Davos-Klosters. WEF has published a research document called The Future of Jobs Report 2025, ahead of the gathering, highlighting the “technological change, geoeconomic fragmentation, economic uncertainty, demographic shifts and the green transition” that are expected to shape and transform the global labour market by 2030. The report reveals that some 22% of jobs globally will face disruption by 2030. The figures show that 170-million (14% of today’s total employment) new jobs are likely to be created, while 92-million jobs (8% of today’s total employment) will no longer exist within the next five years. The findings are of particular interest to the Tshwane Automotive Special Economic Zone (TASEZ) as one of South Africa’s key investment instruments as a special economic zone (SEZ). Known as Africa’s first automotive city, TASEZ focuses on supporting global, regional and local investors in the automotive manufacturing industry. As such, the SEZ is ever aware of ongoing and rapid developments on the automotive manufacturing industry, including the development of new energy vehicles (NEVs) and the associated research and development required for that. TASEZ itself is also impacted by ever-evolving technological changes, the importance of embracing the green transition and the need to address economic transformation within South Africa. The WEF report brings together “the perspective of over 1 000 leading global employers – collectively representing more than 14 million workers across 22 industry clusters and 55 economies from around the world – to examine how these macrotrends impact jobs and skills, and the workforce transformation strategies employers plan to embark on in response, across the 2025 to 2030 timeframe”. A major area of focus is the broadening the digital access which is expected to transform the way business is conducted and includes the use of advanced technologies such as AI and information processing; robotics and automation; and energy generation, storage and distribution. “These trends are expected to have a divergent effect on jobs, driving both the fastest-growing and fastest-declining roles, and fuelling demand for technology-related skills,” the report notes. One of the top trends identified is related to economic conditions; the report notes that businesses expect to see an increase in the demand for creative thinking and resilience, flexibility, and agility skills. Both these elements are important to TASEZ, which has set up a training academy to answer the future demands of the industry as well as to make a significant contribution to changing the economic face of South Africa by making the industry a more inclusive, localised one. “We believe that SEZs can become engines of skills development, as well as training. By focusing on skills development within SEZs, the government, in partnership with international and local businesses, can empower community members and others, create diverse job opportunities, and drive sustainable development,” says TASEZ CEO Dr Bheka Zulu. The Future of Jobs Report 2025 also notes that climate-change mitigation is the third-most transformative trend overall – “climate change adaptation ranks sixth with 47% and 41% of employers, respectively” It is not surprising that the report identifies these trends as “driving the demand for roles such as renewable energy engineers, environmental engineers and electric and autonomous vehicle specialists”. All three roles are in the top five fastest-growing jobs. The skills gap is considered the largest barrier to business transformation, with the need to upskill and reskill the workforce requiring urgent attention. Nearly 60% of the global workforce will require reskilling or upskilling by 2030, according to the report. “If the world’s workforce was made up of 100 people, 59 would need training by 2030. Of these, employers foresee that 29 could be upskilled in their current roles and 19 could be upskilled and redeployed elsewhere within their organisation. However, 11 would be unlikely to receive the reskilling or upskilling needed, leaving their employment prospects increasingly at risk,” the report suggested. The TASEZ Training Academy was set up with a set of clearly defined aims: to understand and respond to industry trends and community needs; to provide easy access to a range of much-needed development programmes; to build strong partnerships within government, the Sector Education Training Authorities (SETAs), higher education institutions, research bodies, and industry; and to be the go-to academy for South Africa’s automotive sector. “We want to play a significant role in shaping the future of automotive excellence in South Africa,” Dr Zulu concludes. Image: Media briefing on the Future of jobs report (World Economic Forum 2025)

Teams from TASEZ and the City of Tshwane meet to find out how the special economic zone is developing

TASEZ hosts strategic partner City of Tshwane

News / By Jenny Tennant

By Mandla Mpangase Africa’s first automotive city, the Tshwane Automotive Special Economic Zone (TASEZ) has kicked off 2025 with a bang, hosting representatives of the City of Tshwane on a site visit of the hub. TASEZ is the creation of a strategic partnership between all three tiers of government: national, through the Department of Trade, Industry and Competition; provincial, through the Gauteng Provincial Government; and local, through the City of Tshwane. The members of the mayoral committee for economic development and spatial planning, Sarah Mabotsa, and for community and social development services, Kholofelo Morodi, and their team were welcomed by TASEZ CFO Rebecca Hlabatau, who emphasised the importance of the strategic partnerships that went into the creation of the special economic zone (SEZ). On Monday, 20 January 2025, the visitors were taken on a tour of a number of the factories on the site, including component manufacturers Automould, Thai Summit, Feltex and AIH Logistics. They are some of the TASEZ tenants that provide parts for the production of the Ford Ranger. TASEZ is anchored by the automotive manufacturing sector which is seen as a prime driver of socio-economic development. The automotive manufacturing sector is an important economic catalyst for the local economy; it accounts for 21.9% of the country’s manufacturing output, according to naamsa, the Automotive Business Council. The City of Tshwane has been involved in the development of TASEZ from the very beginning, providing the external bulk infrastructure to the Silverton-based hub. This covers the water and power supplies to the hub, along with the upgrading the road infrastructure to the hub. It was the result of a hefty investment from Ford to expand their output of vehicles from 160 000 a year to more than 200 000 annually, along with the three tiers of government that helped TASEZ become the fastest SEZ developed from greenfield in the country, with 10 operational investors – in less than two years. The private sector, including Ford Frame and the other 10 component manufacturers invested a total of almost R6-billion during the development of Phase 1. Government investment totalled R4.12-billion, with additional input in the form of political will, incentives and developmental support. Crucial to government’s strategic partnership was the fact that TASEZ exists to attract investment, create jobs and boost exports. Above this, TASEZ also focuses on building strong relationships with the wider community, ensuring it makes an impact beyond the automotive sectors. The City of Tshwane team were told that during Phase 1, TASEZ spent R1.7-billion on construction procurement from small, medium, and micro enterprises (SMMEs), some 43% of the total construction budget. Some 5 500 jobs were created in construction, with 3 311 permanent jobs created. “We are looking forward to building on our foundations as we gain momentum on our Phase 2 developments,” Hlabatau said. This phase will see more investments, and the creation of a centre of excellence which includes the TASEZ Training Academy. “It is important to us to support the goals set out in the South African Automotive Masterplan and in so doing support inclusive economic participation through skills development and technology transfer,” the CFO added. The TASEZ Training Academy has been established: to understand and respond to industry trends and community needs; to provide easy access to a range of much-needed development programmes; to build strong partnerships within government, the Sector Education Training Authorities (SETAs), higher education institutions, research bodies, and industry; and to be the go-to academy for South Africa’s automotive sector.