Chinese vehicle manufacturer First Automobile Works (FAW) announced that they have appointed WBHO Construction for the design and construction of its vehicle and truck assembly plant in Zone 2 of the Coega Industrial Development Zone (IDZ).
In a statement issued last week Friday, the company said 1,000 jobs will be created during the R200-million construction phase of the new plant, which will commence in November. The plant is expected to be completed by December 2013.
Overall, FAW will invest R600-million in the Coega IDZ, through joint funding provided by FAW and China-Africa Fund.
Zhao Dan, FAW Project Manager for FAW Africa Investment, said the vehicle manufacturer looked forward to commencing production.
“After a long period of tough discussions . . . FAW finally concluded its negotiations with various construction companies and decided to appoint a contractor to design and construct the FAW Coega Assembly Plant. We are eager to turn the investment into reality,” said Zhao Dan.
Once completed, the truck assembling facility is expected to produce 5 000 trucks annually, and create over 1 000 jobs, with further job creation opportunities evolving when FAW starts production of an additional 30 000 passenger vehicles annually during the second phase of the development.
During the 2011/12 financial year, seven new investors, including FAW, committed to the Coega IDZ. The others include GDF Suez (energy) R2,7-billion; EAB (renewable energy) R270-million; DCD Dorbyl (energy – component manufacturer) R100-million; Tyre Energy Extraction (logistics) R30-million; OSHO Cement (metals) R380-million and Newco Cheese Factory (agro-processing) R30-million.