Hyundai opens new assembly plant in South Africa

Hyundai Truck Plant South Africa (1)All commercial vehicles at the plant will be built from semi knocked down kits and not from completely knocked down kits as is normally seen. The company is not planning to assemble passenger cars from the new plant, at least as on date, as additional space and enhanced investment would be required, but is not ruling out this possibility in the future.

Assembly of commercial vehicles at Hyundai plant in South Africa will see creation of 60 jobs and will have annual capacities of around 6,000 units out of which the H100 Bakkie will account for about 4,200 units. Initial plans are to produce 500-600 delivery vans per month while once this venture proves to be a success, local content will increase. Hyundai Motor Company has sent engineers from South Korea to oversee, train local staff and monitor quality levels at the new plant.

Hyundai Truck Plant South Africa (3)Hyundai has a growing presence in a host of African countries. It is considered as a third in South Africa just behind Volkswagen and Toyota while in Angola, Hyundai is a market leader. The assembly of HD65 and HD72 will allow the company to add further momentum to increase its present 3% market share in medium commercial vehicles.

Most of the commercial vehicles produced at the new Hyundai South African plant will be distributed in South African market though the company is also weighing possibilities to export to markets in the Sub Saharan region. Out of all vehicles assembled in Benoni, 20% will also be exported to countries such as Botswana and Namibia.