Home Industry Activity VW set to invest R4bn into its Kariega plant’s expansion

VW set to invest R4bn into its Kariega plant’s expansion

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Volkswagen Group Africa plans a R4 billion investment in its Kariega plant in the Western Cape to prepare for a new SUV model joining its production line-up by 2027. Most of the funds will upgrade production facilities, with significant portions for automation in the body shop and new press tooling. Martina Biene, Volkswagen Group Africa’s chairperson, sees the investment as vital for securing jobs and future-proofing the plant. The new SUV, alongside the Polo and Polo Vivo, offers training opportunities for employees. Biene highlights South Africa’s importance in Volkswagen’s African expansion plans and emphasizes the continued production of internal combustion engine vehicles amid a global shift to electric vehicles. Nonetheless, Volkswagen’s electrification journey begins with the introduction of the ID.4 test fleet in South Africa and Rwanda.