Eastern Cape Scores Big as New R740 Million Isuzu-Linked Plant Powers Jobs and Local Manufacturing

The Eastern Cape has secured a major industrial boost with the opening of a R740 million metal-pressing plant that will play a central role in producing body panels for the next-generation Isuzu D-Max. The new VSL Manufacturing facility in Struandale, Gqeberha, marks a significant step in strengthening local automotive manufacturing, creating new jobs and cutting South Africa’s reliance on imported components.

VSL Manufacturing, a majority Black-female owned company founded in Komani, has evolved into one of Isuzu’s most important local partners. The new plant will produce exterior metal panels such as hoods, doors and load-box components for Isuzu’s forthcoming bakkie models. These parts were previously imported, which contributed to long lead times and added pressure on South Africa’s automotive supply chain.

The facility has already created 52 permanent jobs, with expectations that employment will rise to roughly 120 positions in the next three to five years as production expands. The company highlights that one of its key goals is to open pathways for young people, especially women, to enter the automotive sector and build long-term technical careers.

The project was made possible through a collaboration between the Automotive Industry Transformation Fund, the Industrial Development Corporation, the Black Industrialists Scheme, ABSA and Isuzu Motors South Africa. This blend of private investment and public-sector support reflects a commitment to expanding industrial transformation and empowering Black-owned suppliers in a sector that has long struggled with inclusivity.

For Isuzu, the investment forms part of a wider localisation drive. By shifting the production of critical body panels to South Africa, the company can reduce costs, stabilise its supply chain and strengthen the competitiveness of the local D-Max for export markets. Executives at the launch described the plant as a milestone that positions the Eastern Cape more firmly as the heart of the country’s automotive manufacturing industry.

Provincial leaders have also welcomed the development. Eastern Cape Premier Oscar Mabuyane praised the investment as a much-needed injection of confidence into the regional economy. He emphasised that projects like this not only create jobs but also help build manufacturing resilience at a time when global markets are volatile and supply chains continue to face disruptions.

Beyond the immediate economic impact, the plant represents a strategic shift in how South Africa builds its industrial base. It advances localisation, deepens supplier development and offers a pathway for Black-owned companies to play a meaningful role in complex manufacturing ecosystems. For the Eastern Cape, which remains heavily dependent on the automotive sector for economic activity, the facility signals long-term stability and growth.