The launch of the VSL Manufacturing factory in Struandale, Gqeberha, which represents a major investment in our economy, is a strong statement of confidence in the Eastern Cape and her people, and firms up collaborative work by the government and private sector in pursuit of our shared future.
We are a province of contrasts, a place of deep history, boundless potential and a strong work ethic that contributes to various industries and unyielding resilience.
We carry the legacy of SA’s liberation struggle, and yet we also bear the scars of a deeply divided past and fragmented socio-economic fabric.
Guided by the Eastern Cape Vision 2030, we continue rewriting that story by building a province defined not by its limitations, but by its potential, a growing, inclusive and equitable economy that unlocks opportunities across all regions, urban and rural.
Our province continues to benefit from the Black Industrialists programme funded by the government and other transformation funding instruments, making it possible for entrepreneurs such as Vuyo Skweyiya and Deon van Zyl to set up factories providing services and goods to leading businesses like Isuzu.
I share Skweyiya’s sentiments that their factory is industrialisation, globalisation, transformation and supplier development in action.
We are diversifying our industrial base, strengthening our infrastructure and investing in human capability because the prosperity of this province rests in the hands of its people.
We are turning this province into a region of production, innovation and enterprise, where factories and ports are efficient and communities thrive.
Nowhere is that vision more evident than in our automotive sector, the backbone of our provincial economy and one of the great success stories of post-apartheid SA.
This sector contributes more than 40% of the country’s total vehicle production, employing thousands of workers and supporting an extensive network of suppliers, logistics operators and service providers.
I welcome the statement by Isuzu SA president Billy Tom that: “When others are disinvesting, Isuzu is investing, when others are closing manufacturing plants, retrenching workers, Isuzu is expanding capacity, localising and creating jobs.”
For us to grow, develop and transform our economy, we need business leaders and companies that think like Tom and his Isuzu colleagues, who show their commitment by supporting enterprises and opening their supply chain to be a market of those enterprises.
When Isuzu acquired the assembly plant in 2018, at a time when many questioned the future of local manufacturing, they made a powerful choice, to stay, to invest and to grow with SA.
Since then, Isuzu has not only stabilised operations but has expanded its investment footprint through supplier development, local component manufacturing and job creation.
The R750m VSL Manufacturing investment we are celebrating will localise more than R1bn worth of vehicle components, a perfect example of how localisation and industrial development can transform our economy.
From Gqeberha’s Struandale to East London’s West Bank motor precinct, the automotive industry drives the economy of our metros and radiates growth throughout our rural towns.
Its value chain has become a model for how global competitiveness and local empowerment can coexist, through technology, skills development and long-term investment.
We are proud that the Eastern Cape remains home to major original equipment manufacturers such as Isuzu, whose impact anchors our position as SA’s automotive capital.
Over the past term, we have made various commitments on critical transport and economic infrastructure.
The Gauteng-Eastern Cape High-Capacity Rail Corridor has now received budget allocation towards realising the dedicated rail corridor for automotive volumes between Gauteng and the Eastern Cape.
I know Isuzu has its manufacturing facilities here in the province, but its distribution hub is in Gauteng.
Connecting manufacturing to distribution will enhance export capacity and reduce reliance on road transport, driving economic efficiencies and profitability.
By deepening local content, we retain more value within our province. Every locally produced component means more business for small suppliers, more jobs for local artisans and greater resilience in our manufacturing ecosystem.
As global supply chains become more fragile, localisation is not only an economic strategy, but also an insurance policy for stability and sustainability.
The establishment of VSL Manufacturing right next to the Isuzu assembly plant ensures world-class quality control, improved efficiency and a significant reduction in carbon emissions from logistics.
But perhaps most importantly, this project supports the growth of a black industrialist — a 51% black female-owned company based in Komani, which has been supplying Isuzu with skin panels since 2021.
This is the kind of inclusive industrialisation our province envisions, one that grows wealth while broadening participation.
The company’s commitment to transformation and localisation has made it a benchmark for corporate citizenship in our province.
Through initiatives such as VSL Manufacturing, Isuzu is helping us achieve the Vision 2030 goals.
As the provincial government, we are deeply aware that investment flourishes only when the environment is right.
The story of VSL and Isuzu is the story of the Eastern Cape’s future, a story of collaboration, courage and capability.
It shows what can be achieved when global vision meets local excellence, when government and industry work together, and when transformation becomes a shared value rather than an obligation.
As we look to 2030 and beyond, our ambition is clear: to build a province that is industrialised, inclusive and globally competitive; a province that contributes meaningfully to SA’s growth and Africa’s development.
As the government of the Eastern Cape, we pledge our full partnership in ensuring that your investment continues to grow, your supply chains continue to thrive and your confidence in this province continues to be rewarded.
As partners, we will continue to drive forward the promise of an industrial Eastern Cape, a province that truly works, for business, for workers and for all its people.
Lubabalo Oscar Mabuyane is premier of the Eastern Cape and ANC provincial chair
The Herald
