A new joint venture between Toyota Tsusho Africa (TTAF), Ogihara (Thailand) Corporation (OTC), and Toyota South Africa Motors (TSAM) is set to create 250 jobs in South Africa’s automotive sector by 2026. This venture supports the South African Automotive Masterplan (SAAM) 2021-2035, which aims to enhance the country’s global vehicle production ranking and double employment in the automotive sector to 240,000 jobs.
Announced at a ground-breaking event at the Dube Trade Port in Durban on the 22 August 2024, this collaboration will inject over R1.1 billion into the local economy, focusing on the production of essential automotive components. TSAM will contribute R545 million, while the TTAF-Ogihara joint venture will invest R630 million.
The initiative, part of the broader South African Automotive Masterplan (SAAM) 2021-2035, aims to enhance local manufacturing capabilities, significantly increase TSAM’s local procurement ratio, and support the country’s goal of becoming a global leader in vehicle production.
Speaking at the event, Andrew Kirby, CEO and President of TSAM, highlighted that this initiative will create new job opportunities and enhance local production capabilities. He said: “This joint venture marks a significant step towards our Local Value Addition (LVA) improvement strategy, by localising the production of these critical components. The inclusion of Ogihara SA in our local manufacturing ecosystem will not only create new job opportunities but will also enhance
our capabilities in producing high-quality body parts for the automotive industry. This collaboration exemplifies our commitment to localisation and underscores the possibilities for growth and development in the KZN province.”
Minister Parks Tau of the Department of Trade, Industry and Competition, who attended the event, praised the partnership for its alignment with national objectives to attract investment, create jobs, and drive economic transformation in the automotive sector.
Production is scheduled to commence in July 2025, with the new facility expected to bolster local industry by sourcing additional press parts currently imported.
