EARLIER this year, President Jacob Zuma told audiences in the Eastern Cape his government was totally committed to supporting and growing the automotive industry.
It is centred in that province, one of South Africa’s poorest and worst governed. The international motor companies in that area include Mercedes-Benz, Volkswagen and General Motors.
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What makes Zuma’s undertaking all the more interesting is that barely three weeks ago Mercedes-Benz CE Martin Zimmerman revealed that no steel manufacturer in South Africa can supply the type of steel his company requires.
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He was speaking at the country’s Automotive Week in Port Elizabeth, and added that this was making it impossible for his company to grow.
Until the mid-1990s Mercedes-Benz was able to use South African steel products. Since then, however, it has moved to lighter steels in its pursuit of energy-friendly vehicles. These steels aren’t produced here.
This was part of Zimmerman’s plea for the restructuring of certain strategic industries integral to the business of beneficiating more of the country’s mineral products. Another example is the problem of catalytic converters.
Read More: bdlive.co.za/opinion
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