The Coega Development Corporation has signed a historic R11-billion investment with the Beijing Automobile International Corporation (BAIC).
The deal is being lauded as the biggest automotive investment in Africa in the last 40 years, according Trade and Industry Minister Rob Davies.
The investment will see a completely knocked down (CKD) automotive manufacturing plant built in the Coega Industrial Development Zone.
Davies said the investment is significant and deepens the country’s economic relationship with China.
“The size of this investment demonstrates confidence by China and confidence in South Africa as an investment destination. The investment is strategic and is a major project in terms of our bilateral relationship and a key project supported by the Inter Ministerial Committee on Investment”, he said.
Davies said the project positions the Eastern Cape as an automotive hub and has the potential of deepening the component supply chain, job creation and economic development.