Isuzu devotes more resources and commits to local production, which will be a big boost for P.E. economy.

Isuzu is entrenching its local production capability with a substantial investment.

The Japanese company has confirmed that resources will be allocated to upgrade its Port Elizabeth facility with the aim of producing Isuzu’s next-generation D-Max in South Africa, for both domestic and export markets.

Isuzu has committed an initial investment of R1.2bn, securing 1000 local jobs at its Struandaleassembly plant. Although Isuzu currently fields the fourth best-selling bakkie model in South Africa, the Japanese diesel specialist is confident that its new D-Max will secure an even greater market share.

To ensure that demand for the new D-Max does not possibly overwhelm supply, Isuzu is now spending the required money to modernize and reequip its local industrial engineering operations. Isuzu South Africa also services most of the regional SADC markets, in addition toKenya, Mauritius, Senegal, Ghana and Ivory Coast.

In a country desperate for fixed investment, Isuzu’s latest announcement about its commitment to build new D-Max in the Eastern Cape is great news. What is perhaps even more heartening, is that beyond the R1.2bn investment Isuzu is making in its direct D-Max bakkie project, there is also the promise of releasingR2.8bnin supplier value.

All bakkie production in South Africa features strong localisation and 430 indigenous suppliers are estimated to gain in this newR2.8bn stream of business from the next-generationD-Max. Isuzu is planning for annual production volumes of 29000 units of D-Max.

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