Speaking at the Eastern Cape Export Symposium and Exhibition on August 20, Trade, Industry and Competition Minister Parks Tau called for support for the implementation of the South African government’s national strategy, which will focus on diversification, decarbonisation and digitalisation to attract investment in the Eastern Cape’s automotive sector.

He noted that a coordinated approach to address local government issues, some of which are systemic and structural, will accelerate diversification and drive the implementation of decarbonisation measures, including the planning, development and operationalisation of renewable-energy and information and communication technology infrastructure, to sustain critical industries.

“Our new Industrial Development Strategy places decarbonisation, diversification and digitalisation at its centre, and we are working with the Industrial Development Corporation and international partners on a Steel Decarbonisation Roadmap covering hydrogen-based production pilots, renewable-energy integration and a just transition for workers,” Tau added.

The Department of Trade, Industry and Competition (dtic), Tau noted, is also strengthening the Export Credit Insurance Corporation of South Africa’s mandate to serve emerging exporters directly and reviewing the National Exporter Development Programme to help build the next generation of South African exporters.

This will be done in partnership with the Eastern Cape provincial government, economic development agency the Eastern Cape Development Corporation (ECDC), the special economic zones and industry partners to translate investment and production opportunities into increased exports and jobs.

According to Tau, there is an urgent need to adapt to global trade measures – such as the EU’s Carbon Border Adjustment Mechanism – as well as a need to make proactive decisions, as failure to adapt could lead to dire consequences.

“There is a need to transform our automotive sector’s current difficulties into opportunity by developing an end-of-life vehicle policy and positioning the province in decarbonisation . . . making the industry competitive in the current environment,” Tau stated.

Increasing Export Support

The three-day symposium and exhibition, hosted from August 19 to 21, focused on export competitiveness, market access, investment promotion and strategic partnerships to expand export opportunities for South African businesses, and was a collaboration between the dtic and the ECDC.

The symposium enhanced collaboration between national and provincial institutions while increasing awareness and uptake of the dtic’s export support programmes and services.

Tau pointed out that the Eastern Cape remains one of South Africa’s leading export regions, with internationally competitive businesses.

“The Eastern Cape sits at the centre of our industrialisation and export diversification agenda. Its automotive, agroprocessing and ocean economy sectors, anchored by industrial infrastructure such as the Coega Special Economic Zone and East London Industrial Development Zone, give the province the depth to compete globally,” Tau explained.