German cash to boost EC industry

Six automotive component manufacturers concluded investment deals worth more than R1billion with the Nelson Mandela Bay Logistics Park (NMBLP) in Uitenhage yesterday.

Six automotive component manufacturers concluded investment deals worth more than R1billion with the Nelson Mandela Bay Logistics Park (NMBLP) in Uitenhage yesterday.

The move will see a total of 2530 people employed between this month and mid-2010 and increase the total number of investors operational in the park to nine by March.

These investments come after the Coega Development Corporation (CDC) signed a 50-year lease agreement with the Nelson Mandela Bay Municipality and took control of the park last year.

The CDC is now responsible for the management and further development of the automotive supplier park in close cooperation with relevant stakeholders.

CDC spokesman Ongama Mtimka said the names of the six investors could not be made public because the corporation was "sworn to secrecy". However, he conceded that most of the investors were from Germany.

CDC marketing and communications manager Senzeni Ndebele said the new investors would manufacture components to be used by existing car makers in the region.

The Eastern Cape already accounts for 27percent of South Africa's output in the automotive sector with four car makers and more than 100 component manufacturers calling the province home. - Staff Reporter

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