Industrial Development Corporation Automotive &

Transcript:Industrial Development Corporation Automotive &:
Industrial Development Corporation Automotive & Transport Equipment Unit Finance for Rail Projects Transnet Suppliers-Workshop IDC Building – Sandton 15 October 2015 Joseph Sithole Industry Development Manager: Automotive & Transport Equipment SBU Sectors supported by the IDC Metals Basic Metals and Mining Machinery and Equipment Automotive and Transport Equipment Chemicals and Textiles Basic and Speciality Chemicals Chemical products and Pharmaceuticals Clothing and Textiles Agro-Processing Agro-Processing and Agriculture Value Chains New Industries Industrial Infrastructure Our focus areas Control or >50% shares Strategic leadership Operational involvement Jobs created Jobs saved 25% plus owned Government procurement Inputs into infrastructure 25% plus owned Automotive & Transport Equipment SBU: What do we fund? Improved trade balance A competitive local automotive and transportation industry that manufactures and/or assembles a significant portion of automotive and transportation equipment in SA for the domestic and export market, and is a key global player for select components Our planned impact – Automotive and transport equipment Industry develop-ment goal Increase GDP Impact Planned impact on GDP in Automotive and equipment by 2025: R4.9 billion – increase in value add (at 2010 prices) compared to baseline 8.7% – Targeted value add in excess of baseline forecast (2014-2025) Planned impact on trade by 2025: R15.2 billion – improvement in trade balance compared to baseline 18% – improvement in trade balance compared to baseline A competitive local automotive and transportation industry that manufactures and/or assembles a significant portion of automotive and transportation equipment in SA for the domestic and export market, and is a key global player for select components Our planned impact – Automotive and transport equipment (2) Industry develop-ment goal Increased levels of employment Impact Planned impact on employment in metal products by 2025: 15 500 more people employed in target compared to baseline 13% more people employed in target compared to baseline Our Strategy towards developing the Rolling Stock Industry Getting in early – participating in early stage feasibility funding in support of rail and rolling stock projects in the continent. Regional Integration – promoting the integration of the SA rail industry into the Rest of Africa to create export opportunities for South Africa’s railway goods. Influencing Government Policies - promote policies that deepen industrialisation such as localisation, preferential procurement, sector-designation etc. Supporting and developing a strong competitive supplier base - providing competitive and tailor made funding packages to 1st and lower tier component suppliers. Co-operation with key industry stakeholders – cooperation