Friday, April 26, 2024
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HomeEconomyMercedes announces R3 billion investment for East London plant

Mercedes announces R3 billion investment for East London plant

The investment is set to create jobs and grow the local economy.

At the launch of the plant, Mercedes-Benz also announced that it will be investing a further R3-billion into the East London plant. The latest initiative follows a R10 billion investment first announced by the group in 2018, which saw the East London plant go through numerous upgrades in preparation for the production of the new model.The newly launched plant has created 600 new jobs which have added to the existing workforce of 4,000.

A further 2,000 jobs have been created at suppliers. Mercedes-Benz also says the plant has more than 500 automated robots in the new body shop.

At the launch of production, Mercedes-Benz said it will make an additional R3 billion investment as part of its commitment to the revival of the South African economy, and the socio-economic development of the East London region.

“South Africa is an important location in our global Mercedes-Benz production network. The team in East London made a remarkable contribution to the international ramp-up of the new C-Class that we produce through efficient, flexible, digital and sustainable operations,” said Jörg Burzer, member of the board of Mercedes-Benz Cars, responsible for production and supply chain  anagement.

“With our additional invest of R3 billion in the East London plant, we underline our commitment to contributing to the South African economy and the Eastern Cape region.”

Minister of Trade, Industry and Competition, Ebrahim Patel, said the investment positions Buffalo City and the rest of Eastern Cape to continue its legacy of advanced manufacturing.

Secretary-General of the National Union of Metalworkers of South Africa, Irvin Jim said, “in the value chain, why would we not set up a company that supplies components for all of these companies Mercedes-Benz, VW, where workers would have shares, individuals who are black can invest in that particular company”.

He added that NUMSA remains convinced that manufacturing and industrialisation driven in an inclusive economy with ownership involving workers and Black business who are skilled and professional is the future for SA”.

Mercedes announces R3 billion investment for East London plant
Caleb Tayi
Caleb Tayi
I'm a critical reader and a lover of words. As the ECToday Editor my job is to polish and refine a story or an article, check facts, spelling, grammar, punctuation, etc.
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