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Parliamentary team concludes oversight visit to EC IDZs

THE Portfolio Committee on Trade, Industry and Competition has concluded its oversight visit to key industrial zones in the Eastern Cape, reaffirming the province’s critical role in driving industrial growth and job creation.

The two-day visit, held on 19 and 20 March 2026, included engagements at the East London Industrial Development Zone and the Mercedes-Benz South Africa plant in East London.

The oversight forms part of Parliament’s broader strategy to strengthen South Africa’s manufacturing sector and expand industrial development beyond traditional economic hubs.

The committee welcomed progress at the East London IDZ, particularly the work of its Science and Technology Park. The facility plays a key role in fostering innovation, supporting small, medium and micro enterprises (SMMEs), and developing critical skills in sectors such as the digital economy and renewable energy.

Members also noted the IDZ’s contribution to youth training, entrepreneurship and employment creation in the Eastern Cape.

The province continues to serve as a major hub for South Africa’s automotive industry. During the visit, the committee engaged with industry stakeholders including Mercedes-Benz South Africa, Ebor Automotive Systems and Voestalpine.

The sector was commended for its contribution to localisation, skills development, job creation and community upliftment.

However, industry stakeholders raised several concerns impacting competitiveness and long-term sustainability. These include the need for reliable and affordable electricity and water supply, improved transport logistics, and policy reform to secure favourable trade tariffs with the United States. Stability in incentives linked to the Automotive Production and Development Programme (APDP) was also highlighted as critical.

Stakeholders further stressed the urgent need for policy certainty on electric vehicles (EVs). Without clear direction, manufacturers warned that investment in new technologies could be delayed or redirected, posing risks to local production, employment and export markets.

“The committee will engage relevant stakeholders to address key challenges facing the automotive industry and other businesses in the Eastern Cape,” said committee chairperson Mzwandile Masina.