Tasez

Ford

TASEZ makes an impact beyond SA’s borders

By Mandla Mpangase In a first for a South African special economic zone, the Tshwane Automotive Special Economic Zone (TASEZ) welcomed the heads of mission from the Southern African Development Community (SADC) to share information and talk about unlocking opportunities for economic growth in the region. On Monday, 1 July 2025 the TASEZ team, headed by CEO Dr Bheka Zulu, rolled out the red carpet for the distinguished SADC delegation – ambassadors, high commissioners, and chargé d’affaires – along with representatives from the Department of International Relations and Cooperation and the Department of Trade, Industry and Competition, and Brand South Africa and Trade and Investment KwaZulu-Natal. This gathering was not just a simple meeting – it was a deliberate step toward weaving stronger ties between neighbours, aligning with the goals of SADC, the Southern Africa Customs Union, and the African Continental Free Trade Area. TASEZ gave the delegation a front-row seat to South Africa’s important automotive manufacturing industry and the exciting opportunities for partnerships and investments that could uplift not just South Africa, but the entire SADC region. Welcoming the SADC delegation to Africa’s first automotive city, Dr Zulu provided a telling context for their visit: TASEZ has a footprint beyond South Africa. “We are part of the 244 plus SEZs that exist in the African continent, and we’re part of the 5 000 plus that exist globally.” Driving industrial growth SEZs are seen as economic and infrastructural drivers. TASEZ was set up to enhance a significant investment from the Ford Motor Company – bringing component manufacturers closer to the Ford factory in Silverton, ensuring a streamlined just-in-time and just-in-sequence provision of essential parts for the Ford Ranger. Critical to the success of TASEZ was the joint strategic partnership between all three tiers of government via the Department of Trade, Industry and Competition, the Gauteng Department of Economic Development, and the City of Tshwane along with catalytic partnerships with the private sector. Over the five years TASEZ has been in development, is has seen 8 000 direct jobs and 15 000 indirect jobs created in the value chain. In addition, the SEZ has provided R1.7-billion towards small, medium, and micro enterprise (SMME) projects. “We’ve been a catalyst for about R30-billion investment to date,” Dr Zulu. He noted that none of this would have happened if it were not for the facilitation of the diplomats. Dr Zulu emphasised the lessons learnt by TASEZ during its development, offering to share the hard-earned knowledge with SADC. “We have a test case, a real case that has worked in the short time of five years … TASEZ has been a game-changer in an industry that contributes 5.3% to the country’s gross domestic product (GDP). “The contribution of TASEZ with its partners within for Ford, we are looking at having contributed 1% to the GDP,” Dr Zulu noted. Cross-border partnerships However, regional integration was important to the SEZ. “We cannot grow alone as a country; we need to grow with our brothers and sisters within the south and the continent.” Manufacturing development in Africa is viewed as an opportunity to lessen dependence on commodities and engage in economic diversification as way to boost competitiveness in the region. Despite this, the continent still accounts for a very low share of global manufacturing and global manufacturing exports. Recent research indicates that economic development requires structural change from low to high productivity activities and that the industrial sector is a key engine of growth in the development process, most particularly the growth of manufacturing development. Diplomatic missions play a crucial role in facilitating investment flows and promoting economic cooperation between countries. They serve as an important conduit for information sharing, networking, and advocacy on behalf of their countries. The goals of the joint meeting were: SADC’s Vision 2050 Andrew Maswanganyi, from the Department of International Relations and Cooperation’s Directorate: Economic Integration and Infrastructure, pointed out that regional integration was about “the small things we do”. He noted that SADC’s Vision 2050 was an important strategy looking to create a region where its people have food security, are healthy and educated. SADC’s Vision 2050 aims to create a peaceful, inclusive, and competitive region that is middle-to high-income industrialised, where all citizens enjoy sustainable economic well-being, justice, and freedom. It is built on the three pillars of industrial development and market integration, infrastructure development, and peace, security, and good governance. The meeting at TASEZ was “an opportunity for South Africa and its sister countries to cement strong bonds of friendship”, Maswanganyi said. The chairperson of the SADC group, Zimbabwe’s ambassador David Hamadziripi voiced appreciation of the opportunity witness first-hand what is being done in South Africa in its push for industrialisation. The visit by the delegation “not only deepens our understanding of South Africa’s industrial strategy but also speaks to the spirit of regional cooperation in shared development”, Hamadziripi said. Some of SADC’s member states were grappling with the imperative of industrialisation, job creation and inclusive economic transformation. SEZ’s as catalysts for growth “This special economic zone is a testament to how targeted investment, infrastructure development and strategic collaboration between government, the private sector and local communities can create a dynamic industrial hub with strong linkages to both domestic and global value chains.” TASEZ offers important lessons on how SADC can leverage special economic zones to drive manufacturing innovation and trade competitiveness, while also building infrastructure, promoting SMMEs, building critical skills and creating opportunities for young people. “Special economic zones can serve as a model or as model platforms for collaboration with the potential to align such initiatives with cross-border supply chains, promote investment partnerships and share these practices across our member states.” Hamadziripi added: “We are also cognisant that industrialisation can be driven by a combination of factors, including policy coherence, skills development, innovation and infrastructure investment.” The visit to TASEZ was not just about observing, but also about learning and exploring how SADC can replicate and adapt these lessons to their respective countries. The automotive sector has

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‘Take up space’: Women in automotive sector demand more than talk in push for real inclusion

By Lesego Nong In an industry that has long run on horsepower and male dominance, a powerful engine of change is finally revving. At the first-ever Women in the Automotive Sector Roundtable held on 7 June 2025, women across the automotive value chain came together, not just to talk, but to push hard against systemic exclusion, calling for deliberate and actionable transformation. Held at the Automotive Industry Development Centre (AIDC) in Rosslyn, in the City of Tshwane, and coordinated under the theme “Accelerating Women Success in the Automotive Industry”, the event did not mince words. It was a statement: women are here, they are done waiting, and they are taking up space. Organised by Women in Automotive South Africa (WASA) and supported by the Tshwane Automotive Special Economic Zone (TASEZ), the AIDC, the Tshwane Economic Development Agency (TEDA) and the Retail Motor Industry Organisation (RMI), the discussion drew women from all corners of the sector, from technicians and HR leads to entrepreneurs and executives – united by one goal: to dismantle barriers that keep women on the fringes of the industry. “Belonging goes beyond diversity numbers or inclusion statements,” said Pamela Xaba, a transformation strategist and keynote speaker. “It is the lived experience of being seen, heard, and valued – not despite our differences, but because of them.” Xaba did not sugarcoat the realities: despite decades of industry growth, women still make up a meagre 10–20% of the sector’s workforce. That is not representation – that is tokenism. And it is unacceptable in a sector contributing 5.3% to South Africa’s GDP. She challenged the audience to move beyond lip service and token initiatives. “No matter how tough it gets, do not waste your privilege,” she urged. “We must not only talk mentorship but normalise sponsorship.” Founder of WASA, Yandiswa Madlose, shared that the creation of this platform was deeply personal: a response to her own search for healing and belonging in a sector where women often feel invisible. “We created this space not just to empower women, but to liberate them,” Madlose said. “We are not asking for inclusion. We are taking it.” Breaking through the noise The urgency was clear throughout the day. In a panel titled Driving Belonging from the Top, industry insiders laid out blunt truths. AIDC executive for business development Andile Mzinyati dismissed the idea that gatekeeping was the problem. “The door is there,” he said. “Opportunities are there. People aren’t grabbing them. It’s not about who you know anymore, it’s about what you do.” But the women in the room wanted to know why are women still stuck at entry level, if the doors are open? If opportunities abound, why is the representation gap still gaping? Panelist Esther Buthelezi, government affairs and transformation director at the Ford Motor Company of Southern Africa, took a more strategic tone: “You cannot copy predecessors. That saturates the market. “Innovate. Do the research. Know your commodity. Know your ROI. In other words: stop begging for scraps. Own the factory.” Building from the bottom up It is not just high-level change that matters. As TASEZ Business Development Executive Msokoli Ntombana noted, transformation must occur on every level, from entry-level workers to industry leaders. He highlighted the TASEZ Training Academy as a practical intervention to uplift women at the grassroots, through technical training and access to real opportunities. “We must build ecosystems of belonging. From entry-level to executive. From shop floor to boardroom,” he said. This roundtable was more than just a conversation. It was a declaration: a demand for structural change in an industry that has for too long clung to patriarchal traditions under the hood of innovation. And as the inaugural roundtable closed, one thing was clear: the women in South Africa’s automotive sector are not asking politely anymore. They are designing their own future – welding, wiring, and willing it into motion.

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MEC tours TASEZ, sees firsthand how SEZs can help accelerate reindustrialisation

Special economic zones (SEZs) are ideally placed to help accelerate the country’s much-needed industrialisation, securing foreign direct investment that can be used to create jobs, develop infrastructure and boost local economies. Africa’s first automotive city, the Tshwane Automotive Special Economic Zone, is one of these key drivers. SEZs are viewed as key instruments to making South Africa an attractive option for foreign direct investments. SEZs are important instruments in advancing the country’s strategic objectives of industrialisation, regional development, the promotion of exports and job creation. Tuesday, 16 July 2024 saw the Gauteng MEC for economic development and treasury, Lebogang Maile, visit three of the 12 factories currently based in the SEZ – Ford Frame, Feltex, and Sodecia – to see for himself what the zone provides. TASEZ was established through a committed investment and against a very tight deadline – and during Covid 19 – setting the bar for the development of new SEZs in South Africa. From its beginnings in the dusty veld on the outskirts of Silverton in 2020, to seeing the first cars come off the production line in November 2022, TASEZ has shown just what can be achieved with a solid investor and strong leadership from all three tiers of government. Looking to expand, Ford Motor Company of Southern Africa committed to a R16-billion investment to produce an extra 40 000 vehicles a year, moving from 160 000 units to 200 000 units annually. Supporting Ford’s investment was the political will to drive the project and ensure its success. All three tiers of government become equal shareholders, each with clearly defined roles. The factories based in the SEZ all produce components for Ford, with a focus on just-in-time and just-in-sequence systems. The first phase of TASEZ’s development saw the creation of 3 244 permanent jobs within the zone, with more than 65% from the surrounding communities: 32% going to women and 65.4% by the youth. In addition, more than 5 071 construction jobs were created. “This is in line with the department’s objective of strengthening access into the economy for marginal communities,” Maile noted. “This brings the total of direct jobs created through SEZ to over 8 000 direct jobs resulting in more than 18 396 indirect jobs.” TASEZ CEO Dr Bheka Zulu said: “We are aware of the important role SEZs play in helping to accelerate reindustrialisation of our economic hubs.” He added: “TASEZ is well-placed to help create jobs, support our local communities and boost their economies, and share knowledge and skills.” TASEZ’s Phase 1 also saw 256 opportunities ring-fenced for small, medium and micro enterprises, totalling R1.7-billion in procurement spend. The SEZ is now focusing on its Phase 2 development, and embracing the challenges the South African automotive manufacturing sector faces, in growing the sector, creating jobs, providing access to skills development, ensuring materials and jobs are localised, and including the requirements need for the era of new energy vehicles (NEVs). Over the next two years, Ford will be investing an additional R5.2-billion for the production of the first-ever Ranger plug-in hybrid electric vehicle (PHEV).

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TASEZ features on Power FM business programme

The secret to the success of the Tshwane Automotive Special Economic Zone lies in its partnerships, says board chairperson Lionel October. He was speaking to Power FM’s Noluthando Mthonti-Mlambo during the business focus on 25 October 2023. TASEZ is based on partnerships between SEZ and the communities of Mamelodi and Eersterust, the Ford Motor Company of Southern Africa and its international component manufacturers that come from Thailand, Portugal, Brazil, as well as South Africa, and government. “If the three partners work together the community gets real benefits – [jobs and skills development], government provides the world-class infrastructure required, and the private sector creates the jobs and brings the technology, creating our export platforms that is the secret to success,” October said. TASEZ is one of 10 SEZs set up in South Africa to help grow the South African economy. SEZs are geographically designated areas set aside for distinct economic activities and are supported by special arrangements and systems that are often different from those that apply in the rest of the country. They are seen as engines that can propel government’s strategic objectives of industrialisation, regional development, and employment creation forward through attracting Foreign Direct Investment and exporting value-added commodities. Looking at the impact of TASEZ on the South African economy, October pointed out that it is a relative newcomer to the SEZ space, being built in record time, in two years and during Covid-19. This was thanks to strong leadership from the president, the Minister of Trade, Industry and Competition and the provincial and local governments, October said. In addition, Ford invested R16-billion into expanding their plant in South Africa. “They are now producing the new Ford Ranger vehicle in one of the biggest plants in their stable, exporting to over 100 countries.” Ford’s investment has seen the creation of highly skilled jobs – 2 000 created by Ford and 3 200 created by TASEZ. “This development has really been beneficial to the local economy.” Considering how South Africa’s SEZs measure up globally, October looked to China and the Asian Tigers, pointing out that their success can be attributed to SEZs. “While they obviously provide tax incentives and import incentives, but the real winning proposition that we see from China is power, land and logistics.” It is important to provide a proper logistics system, rail and road; to provide regular and consistent electricity; and to provide a well-developed zone in which to base the manufacturing businesses. In the case of TASEZ, the partnership with the City of Tshwane ensures consistent power to the zone, October said. “We’re working on a railway link between Tshwane and Gqeberha to use Port Elizabeth as an export port.” Added to this is the world-class infrastructure provided within the TASEZ hub.

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TASEZ hosts Smarter Mobility Africa Summit delegates

Participants at the 2023 Smarter Mobility Africa Summit toured the factories based at the Tshwane Automotive Special Economic Zone on 4 October 2023 to get a glimpse into the future of the automotive industry. The group, who attended the annual summit, were looking at how the automotive industry is adapting to new, innovative and technologically driven developments. The summit, now in its fifth year, takes place at the start of national Transport Month held every October. This year’s theme for Transport Month is Siyakhe – we are building. According to the Department of Transport, the month draws attention to the multiple transport infrastructure services from aviation and maritime to public transport and roads. It is also a time to highlight South Africa’s road safety campaigns and create awareness of the economic benefits of the sector. The focus for the month is on how the country can build a better transport infrastructure to grow South Africa together. The delegates toured the Ford plant, looking at what the future holds in terms of new energy vehicles. Welcoming the visitors to TASEZ – Africa’s first automotive city – the acting CEO, Rebecca Hlabatau emphasised how important the automotive industry is to growing South Africa’s economy and tackling the country’s triple threats of poverty, inequality and unemployment. “Integrated smarter mobility is central to growing our economy, creating decent jobs, increasing equality, and protecting the environment,” she noted. TASEZ has a very important role in this regard as a special economic zone focused on supporting the transformation and development of the sector, Hlabatau added. “We hope you have gained some insight into the enormity of the projects going on in the sector during your tour this morning, including seeing a glimpse at what TASEZ offers its investors.” While creating an enabling environment for the manufacture of top-quality vehicles is crucial to what TASEZ offers, equally important is the creation of jobs for local communities. The SA Automotive Masterplan This is all in accordance with the South African Automotive Masterplan 2035. The plan has stipulated that the automotive industry must have made significant changes to ensure that South Africa can be a global role player. Key to the Masterplan is a globally competitive and transformed industry that actively contributes to the sustainable development of South Africa’s productive economy, creating prosperity for industry stakeholders and broader society. With this in mind, the objectives identified in the Masterplan include South Africa producing 1% of the world’s vehicles, using 60% local content, and making sure that 100% of those employed by the manufacturers are South African. “As we answer to those objectives, it is crucial for TASEZ to support young, emerging entrepreneurs to find ways to use their innovative and creative skills to come up with unexpected but relevant solutions to the changes in the sector.” Although a relative newcomer to the special economic zones space, TASEZ has been playing an important role in making sure the Automotive Masterplan targets will be met. By the end of 2022/23, TASEZ saw a total of R4,6-billion invested, against a forecast of R3,4-billion. During this same time, the investors employed 2 425 people against a target of 1 688, bringing the total number of people currently employed within the zone to 3 028. More than 65% of these jobs come from the surrounding townships and consist of 39% woman and 52% youth. “And like Smarter Mobility Africa, we too believe that together we will be able to build a better transport system in South Africa that will grow the economy and create jobs,” Hlabatau concluded.

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