The East London Industrial Development Zone (ELIDZ) announced a new R180 million investment for the zone in Port Elizabeth today.
The company, Friedrich Boysen GmbH Co. KG, originally from Germany, is the second multi-million automotive investment to be announced by the ELIDZ this year. Friedrich Boysen is an international company that originally pioneered the modern silencer technology and specialises in exhaust technology.
The company has a wide product range for the automotive sector including exhaust manifolds, catalytic converters, diesel particulate filters and silencers. They have manufacturing presence in Germany, the United State of America, India, China, Egypt and France. Their plant in the ELIDZ will be their first plant in South Africa.
The plant will be manufacturing complete exhaust systems for Mercedes-Benz South Africa for the new C-Class and will create 70 direct jobs by 2014. The envisaged production start date for this massive project is April 2014 and the company will produce 90 000 units per annum.
According to ELIDZ CEO, Simphiwe Kondlo, the company is an ideal investment for the ELIDZ. “It is a renowned international company with an extensive global footprint, that will introduce new technology to South Africa and deepen the region’s automotive value chain, and the project underlines the ELIDZ commitment into strengthening foreign investment and creating jobs in the country,” he said.
This announcement coincides with the extension of the ELIDZ’s 16ha Automotive Supplier Park (ASP), which is one of the original anchor facilities in the zone. The ASP was custom-designed to meet the specific production needs of its OEM supplier tenants, and has distinguished itself as a highly efficient, world-class facility.
“Currently, the ASP houses eleven first and second tier suppliers that produce a wide range of components for both the local and export market, including fuel tanks, brake and fuel pipes, suspension components, polypropylene impact dampers, wheelhouse liners, tyres and rims, boot liners and seat components,” said Kondlo, adding that the ELIDZ had embarked on an extensive marketing drive to attract more suppliers to the ELIDZ.
According to Kondlo, the ASP’s dedicated utilities and services, as well as its shared logistical and supply chain solutions, drive productivity and cost-effectiveness, two cornerstones of sustainability which have proven particularly attractive to potential investors.