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Business Chamber welcomes R11 billion BAIC investment at Coega IDZ

Aug 19, 2016
Business Chamber welcomes R11 billion BAIC investment at Coega IDZ

The Nelson Mandela Bay Business Chamber on Friday welcomed the announcement regarding a massive R11 billion automotive investment by Beijing Automobile International Corporation (BAIC) at the Coega Industrial Development Zone in Nelson Mandela Bay.

"We are in particular excited about the 2 500 direct employment opportunities this investment is expected to create, with an indirect job creation prospect of 10 500," said Kevin Hustler, CEO of Nelson Mandela Bay Business Chamber.

"An investment of this scale, reported to be the largest single investment in Africa in decades, is expected to be a major catalyst for the region’s economy."

He said that Nelson Mandela Bay certainly makes the most sense as an investment destination for the Chinese vehicle manufacturer, because the region already has four multinational vehicle manufacturers operating in our region.

"This enables the region to have a shared skills pool of qualified labour, as well as a diversified and strong local supplier base, off which the new vehicle manufacturer could most certainly leverage and benefit," Hustler added.

"The automotive sector is a priority sector of the Nelson Mandela Bay Industrial Development Strategy and forms the backbone of our regional economy. The positioning of Nelson Mandela Bay as an attractive destination for international investment is vital to the building of a competitive and sustainable city."

He further said that with the automotive industry recognised as the anchor industry of the Bay’s economy, investments into this sector are especially welcome to strengthen and sustain our economic foundation.

"We also welcome the strengthening in relations between China and South Africa, leading to an increase in economic activity between the two countries."