And the third model line GMSA plans to build in South Africa is… the Chevy Spark! President and managing director Edgar Lourencon announced on Thursday that the new Spark, launched earlier this year and currently imported from Korea, would go into local production at the company's Struandale Plant in Port Elizabeth by the end of next year.
It will be built alongside the next Isuzu KB and next Chevrolet Corsa Utility as part of a line-up that will achieve a joint annual production figure of 60 000 units by 2013. In terms of the Automotive Production and Development Programme, due to come into force that year, manufacturers have to build at least 50 000 vehicles a year to qualify for incentives.
Lourencon said winning the contract was an indication of the regard in which the local operation is held within GM. The Spark is currently built in Korea and will soon be produced in India and Mexico as well. In the first year SA will build 15 000 new Sparks, half of which will be exported to Australia and New Zealand. He thanked the Department of Trade and Industry and minister Rob Davies, who was present at the announcement, for their assistance in motivating and compiling GMSA's application.
Mr Lourencon also announced that, in terms of a new agreement concluded with Isuzu, the nex KB would be exported to Sub-Saharan Africa. The current model is only distributed in our immediate neighbouring states.
Minister Davies commended GMSA for deciding to remain a local manufacturer.
The Spark project will necessitate double shifts at Struandale and create 500 new core jobs apart from jobs at suppliers. Minister Davies said GM's investment of R1 billion in the three new platforms brought total new investment by manufacturers over the past 18 months to R9 billion.
In addition, component suppliers, assisted by the state's Automotive Investment Scheme, had invested R4 billion and created around 20 000 jobs. All this, he said, was commensurate with the motor industry's position as the largest manufacturing sector in South Africa.