South Africa builds investment momentum through manufacturing growth

Chinese vehicle manufacturer Chery has added further momentum by acquiring Nissan's former Rosslyn manufacturing facility in Gauteng.

South Africa is seeing growing signs that investment commitments are turning into real economic activity, with major manufacturing projects expanding production, supporting jobs and strengthening the country's industrial base. Recent developments in the automotive sector and the continued growth of Special Economic Zones (SEZs) show that investment is becoming visible in factories, supply chains and export-focused industries rather than remaining at the announcement stage.

Manufacturing investments drive industrial expansion

The strongest example is Toyota South Africa Motors' R10.4 billion investment at its Prospecton plant in eThekwini, where the company is preparing to produce the ninth-generation Hilux. The project will modernise production facilities, expand manufacturing capacity, retain thousands of skilled workers and create new opportunities for training, making the plant more competitive in both domestic and international markets.

The automotive industry continues to play a major role in South Africa's economy, contributing around five percent of the country's gross domestic product while supporting more than 115,000 direct manufacturing jobs. Every expansion in vehicle production also creates demand for local suppliers, transport companies, engineering services and small businesses that form part of the wider manufacturing ecosystem.

Chery strengthens confidence in South Africa

Chinese vehicle manufacturer Chery has added further momentum by acquiring Nissan's former Rosslyn manufacturing facility in Gauteng. The company plans to retain 692 employees while creating nearly 3,000 direct and indirect employment opportunities across manufacturing, logistics and supply chains. Its plans extend beyond vehicle assembly, with the Rosslyn operation expected to develop into a regional centre for manufacturing, exports, research, development and skills training. The investment reflects growing confidence in South Africa as a production base serving both local and African markets.

Special Economic Zones support business growth

Government says Special Economic Zones continue to provide an important platform for attracting investment by offering serviced industrial sites, supporting infrastructure and business-friendly incentives that help companies establish and expand operations.

The country's SEZ network now hosts 224 companies with investments worth about R31.7 billion and has supported more than 28,000 direct jobs. These zones are helping manufacturers lower operating costs, strengthen supplier networks and improve export capacity while encouraging more businesses to invest in strategic industrial locations.

Focus shifts to long-term competitiveness

Government believes maintaining investor confidence will depend on reliable infrastructure, efficient logistics, predictable policies, faster approvals and continued investment in workforce skills. Strong partnerships between the public and private sectors will also remain essential for creating an environment where businesses can continue expanding.

With projects from companies such as Toyota and Chery already moving forward, South Africa is looking to build a stronger manufacturing sector that creates jobs, supports exports and increases the country's competitiveness across regional and global markets.