President Cyril Ramaphosa has welcomed Mercedes-Benz’s R10 billion investment into its Eastern Cape plant.

According to Ramaphosa the cash injection into South Africa is proof of the automakers confidence in the economy.

“It is a statement about the skills that are available in South Africa and those that can be developed,” said the President.

Committed to South Africa

The investment will see the car manufacturer produce its latest range of the luxury C-Class cars.

Markus Schäfer, Member of the Divisional Board of Mercedes-Benz Cars, Production and Supply Chain, explained that the R10 billion investment will be used to expand the manufacturer’s plant in East London as well as equip it for the future.

“The decision to have the new generation of the C-Class built in East London re-affirms the plant and Mercedes-Benz South Africa. The investment is also a sign of our commitment to South Africa and efforts to revive economic growth as well as the socio-economic development of the East London region,” he added.

Fertile ground for investment

President Ramaphosa said the Mercedes-Benz investment should send a clear signal to investors around the world that South Africa is “more than capable of sustaining an advanced manufacturing sector” and doing so profitably and sustainably.

“We are making regulatory processes simpler, faster and more efficient, and as part of preparations for our Investment Conference in October, we are strengthening our investment promotion and facilitation capacity,” he concluded.