Deputy President Paul Mashatile has reassured executives of Isuzu Motors Limited in Japan that South Africa is actively addressing its port and infrastructure issues, which have led to significant congestion, equipment failures, and disruptions in both import and export operations.
“I am pleased to report that we have resolved the energy issues that had previously impacted our economy,” Mashatile said during his visit to the Isuzu Fujisawa Plant on Monday.
He is in Japan with a delegation of ministers, deputy ministers, and senior government officials to strengthen cooperation between the two nations.
Isuzu Motors, a major Japanese automobile manufacturer specializing in commercial vehicles, diesel engines, and automotive parts, has a significant presence in South Africa.
Mashatile highlighted that Isuzu’s South African Struandale Plant in Gqeberha, Eastern Cape, is the first fully owned plant outside Japan, demonstrating the company’s confidence in the country’s skilled workforce.
“This shows great confidence in our people and their ability to produce high-quality trucks and bakkies,” he said.
The Struandale Plant produces 28,500 vehicles annually and has a network of dealerships across 26 African countries.
Mashatile noted that the African Continental Free Trade Area (AfCFTA) has created new opportunities for Isuzu to expand its exports and operations across 54 African nations.
The AfCFTA represents the largest free trade area in the world, with a market of 1.3 billion people and a GDP of $3.4 trillion.
In addition to its African operations, Isuzu exports to the European Union (EU) under the Southern African Development Community-EU Economic Partnership Agreement.
“South Africa is truly a gateway to the continent and the world, including Japan under the Generalized System of Preferences,” Mashatile remarked.
Mashatile commended Isuzu for being a model investor in South Africa, contributing to job creation, skills development, and enterprise growth.
He also noted that Isuzu works with 107 local suppliers and has localized over 700 parts in South Africa, some of which are integrated into Isuzu’s global supply chains.
The company has achieved Level 1 Broad-Based Black Economic Empowerment (BBBEE) status.
During his visit, Mashatile and his delegation will engage with the Japanese business community to further economic ties, focusing on sectors such as manufacturing, mining, energy cooperation, the automotive industry, and market access for South African agricultural products.
On Monday, Mashatile is set to meet Dr. Akihiko Tanaka, president of the Japan International Cooperation Agency (JICA), which is involved in development projects in South Africa.
On Tuesday, he will visit Prime Minister Ishiba Shigeru and the Meiji Jingu Shinto Shrine.