Japanese multinational corporation Komatsu, Thursday, launched a R985 million ($71 million) industrial complex in Germiston, Gauteng, South Africa, which Trade and Industry (dti) Minister Rob Davies said demonstrates confidence in the South African manufacturing sector.
“This is a significant contribution towards addressing the challenge of unemployment and skills development,” said Davies.
The 300,000 square meter facility, which incorporates Komatsu head office operations, the Isando branch, parts distribution centre, equipment workshop and technical training centre, is one of the largest single owner industrial complexes in South Africa.
As part of the government’s drive to attract R1.2 trillion ($86.6 billion) worth of investment projects over five years, a delegation from Invest South Africa, Presidential Special Envoy and Business Leadership South Africa had visited Japan in September during which they engaged with Japanese government, business federations, government agencies, banking institutions, as well as current and potential investors.
Komatsu was part of the Presidential Investment Summit last month where President Cyril Ramaphosa tried to garner financial support in a bid to revive South Africa’s struggling economy. Already, the country has received nearly R290 billion in real investments.
“I am pleased to see the Japanese companies strengthening, increasing and expanding their footprint in South Africa as the regional hub which bodes very well for the South African economy,” Davies said.
Komatsu president and CEO Tetsuji Ohashi said South Africa had become an integral part of the company’s global business, with the country its biggest market in Africa and the base from which operations in nine separate countries across the region were driven.
“What we are doing today is sowing the seeds for future growth,” Ohashi said, noting that KoVmatsu was working towards its centenary year, 2021.