Nelson Mandela Bay is pulling out all the stops to land one of the biggest industrial investments the metro has seen in years: a proposed R2 billion tyre manufacturing and recycling facility at the Coega Special Economic Zone, backed by global tyre giant Sailun Group.
Executive Mayor Babalwa Lobishe has reaffirmed the metro’s commitment to securing the deal, SAnews reports, following strategic engagements with the Coega Development Corporation and Sailun as the company weighs the Coega SEZ as the preferred home for its regional manufacturing hub.
Thousands of jobs on the horizon
The numbers behind the proposal are striking. The development would see a 20-hectare manufacturing facility rise at Coega, with an estimated production footprint of 100 000 square metres. In its first phase alone, the plant is expected to roll out one million passenger vehicle tyres and 300 000 truck and bus tyres every year, with production set to grow as demand rises.
The investment is projected to create about 200 direct jobs in the initial operational phase, climbing to approximately 800 permanent jobs as the facility expands. More than 1 200 indirect employment opportunities are expected across construction, logistics and supporting industries.
“Nelson Mandela Bay is ready to compete for global investment. We are determined to create an enabling environment where investors can establish, grow and contribute meaningfully to our local economy,” Lobishe said. “Every major investment we secure creates employment, stimulates local businesses, expands our manufacturing capability and restores confidence in our city as an investment destination.”
Why Coega makes sense
Sailun is currently conducting feasibility studies for a hub that would supply the Southern African Customs Union and the broader sub-Saharan African market. According to the municipality, the company is drawn to the Coega SEZ for its strategic location, world-class logistics infrastructure, available industrial land, renewable energy opportunities and direct access to the Port of Ngqura.
Sustainability is baked into the design. The proposed facility would incorporate embedded renewable energy generation, battery storage systems and the use of treated industrial return-effluent water to support cleaner manufacturing.
A team effort for the Bay
The mayor emphasised that the municipality is working hand in hand with the Coega Development Corporation, the Department of Trade, Industry and Competition and other stakeholders to present a competitive, investor-friendly value proposition.
For a metro that already anchors South Africa’s automotive industry, the proposed plant would strengthen Nelson Mandela Bay’s position as a leading vehicle manufacturing hub, unlock new export markets and grow the municipality’s long-term revenue base — good news for the Bay, the Eastern Cape and the country’s industrial ambitions alike.
Photo: commons.wikimedia.org
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