SOUTH AFRICA – President Cyril Ramaphosa has hailed Toyota South Africa Motors’ R10.4 billion investment in the production of the ninth-generation Hilux as a definitive vote of confidence in the national economy. During a virtual address at the official line-off launch of the vehicle at the Prospecton plant in eThekwini, the President emphasized that this milestone demonstrates South Africa’s proven ability to convert investment commitments into sustainable job creation, industrial growth, and export expansion.
President Ramaphosa stated that the event represents far more than the introduction of a new vehicle. He framed it as a testament to confidence in South Africa, the enduring value of long-term investment, and the strength of the nation’s workers, engineers, technicians, and entrepreneurs. He underscored a shared determination to build an economy that produces, innovates, exports, and creates jobs.
Reflecting on the vehicle’s legacy, the President noted that the Hilux has been integral to South Africa’s narrative for five decades. While it carries a globally respected automotive brand, it is proudly regarded as a South African vehicle, being designed for local conditions, built by South African hands, and exported from South African shores.
Coinciding with National Science Month, the launch of this new-generation hybrid vehicle highlights the expanding role of science, technology, and innovation within the country’s modern manufacturing sector. President Ramaphosa affirmed that the R10.4 billion Hilux programme represents the precise caliber of investment South Africa actively seeks to attract.
He stressed that the true value of this capital injection lies not in machinery or infrastructure, but in the tangible opportunities it generates. These opportunities support the thousands of South Africans whose livelihoods depend on the plant, foster continuous skills development among workers, enable supplier companies to expand production, and provide employment pathways for young people entering the labor market. This, he noted, is the definition of inclusive industrial development.
The President presented the launch as powerful evidence that South Africa can successfully translate investment commitments into concrete economic outcomes, highlighting the powerful multiplier effect of industrial investment. He revealed that approximately one-third of Toyota’s investment was directed toward strengthening local supplier capacity and tooling. In turn, supplier companies have invested an additional R2 billion to expand localisation. This collaborative approach, he explained, is how resilient industrial ecosystems are built, domestic manufacturing capabilities are deepened, small and medium enterprises grow, and sustainable economic development is achieved.
Reinforcing the macroeconomic importance of the sector, President Ramaphosa outlined that the automotive industry remains a foundational pillar of South Africa’s industrial economy. It contributes approximately 5% to the gross domestic product, supports more than 115,000 direct manufacturing jobs, and sustains over half a million jobs across the broader value chain.
To ensure the country remains globally competitive as the automotive sector transitions toward cleaner mobility and new technologies, the government is actively strengthening incentives for component manufacturing. Additional measures include supporting battery value chain development, promoting research, innovation, and skills development in new-energy vehicles, and providing the policy certainty required to encourage investment, localisation, and long-term growth.
The President also highlighted South Africa’s critical mineral resources as a strategic advantage in the global shift toward future mobility. By combining these natural resources with advanced manufacturing, local beneficiation, technological innovation, and world-class automotive production, South Africa is positioned to become a leading global hub for future mobility.
Addressing logistical enablers, President Ramaphosa stressed that improving logistics remains essential to unlocking further industrial growth. He welcomed recent improvements in freight rail and port performance, noting that in the ten months leading up to February, Transnet’s vehicle terminals in Durban, Gqeberha, and East London handled more than 792,000 fully built vehicles. This marks the highest productivity levels achieved in recent years. The government will continue to strengthen public-private partnerships in rail and ports to solidify South Africa’s position as a globally competitive export platform.
Concluding his address, President Ramaphosa extended his gratitude to Toyota South Africa Motors, government partners, organised labour, suppliers, and employees for their collective contribution to the investment. He paid special tribute to the workers at the Prospecton plant, stating that every Hilux leaving the production line carries their skill, discipline, craftsmanship, and pride.
He asserted that the new-generation Hilux should carry a broader message to the international community: South Africa is open for business, and South Africans possess the capability to compete with the very best in the world.