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KEY DEVELOPMENTS AND VISION FOR THE SECTOR IN THE KZN AUTO HUB

KEY DEVELOPMENTS AND VISION FOR THE SECTOR IN THE KZN AUTO HUB. ANDREW VELLEMAN Chairman Durban Automotive Cluster. INDUSTRY OVERVIEW. One Third of South Africa’s Automotive M anufacturing A ctivity T akes p lace in KwaZulu Natal:.

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KEY DEVELOPMENTS AND VISION FOR THE SECTOR IN THE KZN AUTO HUB

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  1. KEY DEVELOPMENTS AND VISION FOR THE SECTOR IN THE KZN AUTO HUB ANDREW VELLEMAN Chairman Durban Automotive Cluster

  2. INDUSTRY OVERVIEW • One Third of South Africa’s Automotive Manufacturing Activity Takes place in KwaZulu Natal: • 65 – 80 KZN Automotive Suppliers Span a Wide Range of Manufacturing Activities. • The APDP Administration System shows that 32% of Value Addition in the SA OEM Supply Chains Takes Place in KZN. • The Supply Base Provides Important Inputs Into the OEM Production Hubs in KZN, the Eastern Cape and Gauteng. • KZN is the Home of Toyota SA Motors, SA’s Largest OEM. • Medium and Heavy Commercial Production is Undertaken by Toyota SA Motors, MAN Truck & Bus and Bell Equipment. • KZN Automotive Suppliers are Supporting All of the OEM’s within South Africa.

  3. INDUSTRY OVERVIEW(Continued) • Port (Ocean Freight) - The Proximity to the Durban Port is an Advantage for the Regional Sector in Terms of Material Inputs and Access to Export Markets. A New Port is Also Planned to Increase Competitive Advantage. • Rail and Road - Sound Road and Rail Infrastructure Provides Strong Logistical Linkages to Gauteng and the Eastern Cape. • Airport (Air Cargo) - The DubeTrade Port Has Been Established and Is Intended to be Approved as a Special Economic Zone (SEZ). • Supplier Park - KZN is in the Process of Establishing a Supplier Park Increasing the Competitive Advantage for the Automotive Industry.

  4. DURBAN AUTOMOTIVE CLUSTER OVERVIEW • The DAC is a Public-Private Partnership (PPP) Between the Automotive Industry in KZN and the eThekwini Municipality that was Initiated in 2002.

  5. STRATEGIC FRAMEWORK Growth in Manufacturing Value Addition (MVA) Enabling Infrastructure Competitively priced input materials Competitively Priced Input Materials

  6. INSTITUITIONAL FRAMEWORK Alignment and Collaboration Enabled Via: • Local Government – Representation on Executive Committee. • NAACAM – Executive Director Attendance at Executive Committee Meetings and Alignment of Regional Meetings. • DTI, NAAMSA, NUMSA – Via Representation on ASCCI, Which is Constituted as a Partnership Between Suppliers and All Stakeholders. • xx

  7. HIGHLIGHTS

  8. VISION

  9. THE WAY FORWARD…

  10. THANK YOU ANDREW VELLEMAN Chairman Durban Automotive Cluster

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