Japanese truck manufacturer Nissan Diesel is considering sourcing components from South Africa to benefit from the tariff reduction plans implemented by the Pretoria government to develop the national motor industry, local press reports claim.
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The Japanese company has indicated that it intends using South Africa as a base from which to expand truck exports into the rest of Africa. It is part of a twin track strategy, with Nissan Diesel also recently acquiring local manufacturing capacity in Port Elizabeth by purchasing the truck manufacturing division of its local subsidiary Nissan SA for 300 million rand ($US25 million).
The imports move follows changes to the country’s tariff regime, where imported vehicles can benefit from a lower import duty if they have South African component content.
Brand Pretorius, chairman of southern Africa distributors McCarthy Motor Holdings, told just-auto.com that it would “make sense” for Nissan Diesel to source parts from South Africa, especially considering the recent collapse of the Rand’s value on exchange markets.
