An estimated 250 jobs are expected to be created by the recently launched joint venture between Toyota Tsusho Africa (TTAF), along with Ogihara Thailand Corporation (OTC) and Toyota South Africa Motors (TSAM), who proudly announced the formation, Ogihara South Africa (OSA), at a groundbreaking event in Durban’s Dube Trade Port recently.
The event was attended by the Minister for Trade, Industry and Competition, Parks Tau, who said: “The Department is focused on implementing and enhancing masterplans to boost key industries, attract investment, create jobs and drive transformation. Specifically, the automotive masterplan aims to make South Africa’s automotive industry globally competitive and sustainable, benefiting both industry stakeholders and society at large.”
This significant partnership represents an investment of over R1.1 billion into the production of essential manufacturing components, with TSAM contributing R545 million and the TTAF-Ogihara joint venture adding R630 million. Andrew Kirby, CEO of TSAM, highlighted that this venture aligns with their Local Value Addition (LVA) strategy, localising production of critical automotive components—ultimately creating new job opportunities and enhancing local manufacturing capabilities.
“The inclusion of Ogihara SA in our local manufacturing ecosystem will not only create new job opportunities but will also enhance our capabilities in producing high-quality body parts for the automotive industry. This collaboration exemplifies our commitment to localisation and underscores the possibilities for growth and development in the KZN province,” said Kirby.
With South Africa’s unemployment rate at 32.9% and a goal set by the South African Automotive Masterplan (SAAM) to manufacture 1.4 million vehicles annually by 2035, this joint venture is a vital step toward revitalising the country’s automotive industry.
“As a committed corporate citizen operating within South Africa, this collaboration not only aims to bring significant foreign direct investment to our country but will also create numerous job opportunities and further deepen localisation within our economy, in line with the objectives outlined by the South African Automotive Masterplan,” said Kirby.
Production for OSA is set to begin in July 2025, with expectations to increase TSAM’s local procurement ratio by 2%, translating into about R700 million in annual spending with 250 new jobs expected by 2026. Additionally, the venture will phase in locally sourced materials, such as steel sheets, previously imported, boosting local industry and fostering economic growth by increasing local steel procurement by 25 000 tons annually.
