SOUTH AFRICA – President Cyril Ramaphosa has commended Toyota South Africa Motors for its R10.4 billion investment dedicated to the production of the ninth-generation Hilux, framing the commitment as a robust endorsement of the nation’s economic trajectory. Delivering a virtual address during the official line-off launch at the Prospecton plant in eThekwini on Thursday, the President highlighted how this capital injection successfully translates investment pledges into tangible job creation, industrial expansion, and export growth.
According to President Ramaphosa, the milestone extends far beyond the unveiling of a new automobile. It serves as a testament to the enduring value of long-term investment and the resilience of South African engineers, technicians, entrepreneurs, and workers. He emphasized a collective resolve to cultivate an economy rooted in production, innovation, exportation, and employment generation.
Reflecting on the model’s half-century presence in the country, the President noted that while the Hilux bears a globally recognized automotive nameplate, it is fundamentally a South African product. It is specifically engineered for local terrain, assembled by domestic hands, and shipped from South African ports.
Aligning with National Science Month, the introduction of this new-generation hybrid model underscores the increasing integration of science, technology, and innovation within the country’s contemporary manufacturing landscape. The President affirmed that this R10.4 billion initiative perfectly aligns with the high-value investment profile South Africa actively aims to attract.
The administration stressed that the investment’s true worth transcends physical infrastructure or machinery. Its primary value lies in the opportunities generated for the workforce, supply chain partners, and youth entering the job market. This interconnected ecosystem represents inclusive industrial development in practice.
Highlighting the multiplier effect of industrial funding, President Ramaphosa pointed out that South Africa is successfully delivering on its promises to investors. Approximately one-third of Toyota’s capital was allocated to bolstering local supplier capacity and tooling. Consequently, these supplier entities have committed an additional R2 billion to further expand localisation efforts, demonstrating how resilient industrial ecosystems and domestic manufacturing capabilities are fortified to support small and medium enterprises.
The automotive industry continues to function as a cornerstone of South Africa’s industrial economy. It accounts for roughly 5% of the national gross domestic product, sustains over 115,000 direct manufacturing positions, and supports more than 500,000 jobs throughout the entire value chain.
To maintain global competitiveness amid the industry’s shift toward cleaner mobility, the government is actively enhancing incentives for component manufacturing. Strategic priorities include advancing the battery value chain, fostering research and skills development in new-energy vehicles, and ensuring policy certainty to drive long-term growth and localisation.
President Ramaphosa also identified South Africa’s critical mineral reserves as a distinct strategic advantage. By merging these natural assets with advanced manufacturing, local beneficiation, and technological innovation, the country is positioned to emerge as a premier global hub for future mobility solutions.
Acknowledging that optimized logistics are vital for sustained industrial growth, the President welcomed recent gains in port and freight rail efficiency. He noted that over a ten-month period ending in February, Transnet’s vehicle terminals in Durban, Gqeberha, and East London processed upwards of 792,000 fully built vehicles, marking the highest productivity rates seen in recent years.
Moving forward, the government intends to deepen public-private partnerships within the rail and port sectors to cement South Africa’s status as a highly competitive export platform. Concluding his remarks, President Ramaphosa expressed gratitude to Toyota South Africa Motors, organized labour, suppliers, government partners, and employees, paying special tribute to the Prospecton plant workforce. He affirmed that every vehicle produced reflects their craftsmanship and discipline, sending a clear global message that South Africa is open for business and capable of competing at the highest international standards.