VW invests heavily in SA
With the launch of its new Polo, VW has completed its R6.1 billion SA investment programme.
Volkswagen Group South Africa’s R6.1 billion South African investment programme, which began in 2015, has come to an end; marked by the launch of its latest Polo model. According to the automotive manufacturer, the bulk of the investment went to capital expenditure for production facilities, local content tooling, quality assurance, and manufacturing equipment, along with IT upgrades.
Thomas Schäfer, VWSA chairman and managing director, speaking at the Uitenhage launch of the Polo, said:
“The automotive sector of the South African economy accounts for approximately 7.4 percent of the GDP and accounts for the direct employment of 113,000 people. I am convinced that the next phase of the APDP (Automotive Production and Development Programme) will continue in the same vein and allow for continued automotive investment.”
According to the Group, it produced 110,000 cars last year, though it says this will increase to 133,000 for 2018. Some 83,000 of these vehicles will be exported.