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The Tshwane Automotive City (TAC) concept was started in 2008 as a shared vision of the government and automotive industry to transform Tshwane into a leading automotive investment destination. The development of the TAC concept has been a joint venture of the City of Tshwane Metropolitan Municipality, Tshwane Economic Development Agency (TEDA) and Automotive Industry Development Centre (AIDC).

The TAC concept aims to assist the local automotive industry to become globally competitive by increasing locally manufactured parts and components. It also aims to boost Gauteng's economy. These aims could be achieved by attracting both foreign and local direct investment into a multi-billion rand infrastructure programme that will transform Rosslyn and Klerksoord into the world's largest centre for original equipment manufacturing in the automotive industry.

The TAC concept aims to emulate well-established automotive cities such as Shanghai Automotive City in China, Autostad in Germany and Toyota Automotive City in Japan.

The TAC development will include:

1.    Logistics node

2.    Commercial and recreation node

3.    Community and civic node

Visuals of the proposed TAC development:

Project location

TAC is a strategic infrastructure project with a total developable land potential of 45 km2 that will be located in Rosslyn and Klerksoord in Tshwane. The area was identified after conducting a number of studies and consultations with various departments of the City of Tshwane Metropolitan Municipality. Careful consideration was given to the spatial development plans of the Municipality and a few geographic locations were considered.

Rosslyn and Klerksoord were chosen because ample land is available for development, three vehicle assemblers (BMW, NISSAN/Renault and Tata) are located there and Ford Motor Company is only 34 km away in Silverton. The region also houses a multitude of multinational and local automotive component manufacturers close to the vehicle assemblers.

Current status

In June 2013, the City of Tshwane Metropolitan Municipality, TEDA and AIDC entered into a three-year partnership that will see the completion of the TAC Development Framework, the Master Plan and the Precinct Plan for the TAC concept.

The TAC project milestones are as follows:

Level Milestones of deliverable End of Year 1 End of Year 2 End of Year 3
1 TAC Development Framework ®    
2 TAC master plan (including the three nodes)   ®  
3 Precinct plans for TAC nodes (at least one priority node)     ®
4 TAC design guidelines     ®


 

Table 1: TAC milestones, three-year period

The AIDC is currently completing the Development Framework and the precinct and master plans, which will be shared with potential local and foreign investors. This exercise also involves a comprehensive study of existing automotive cities around the world in order to benchmark, understand and take lessons that can be applied so TAC becomes the "world's biggest multi-OEM automotive city".

TAC and other international automotive city developments were compared. See the figure below. The proposed size of TAC is also indicated in the figure.

 

TAC's projected impact

TAC aligns strongly with the Automotive Sector Vision 2020, aimed at producing 1,2 million vehicles, strengthening the component manufacturing base through an increase in the target of local content to 70%, and stimulating foreign and domestic investment in the automotive sector. Strategic objectives of the TAC concept are aligned with government objectives at all levels and will yield the following strategic benefits:

  • Economic growth
  • GDP growth
  • Infrastructure development
  • Foreign and domestic investment
  • Enterprise development opportunities
  • Thousands of jobs
  • Increased tax revenue
  • Support to government's strategic objectives

TAC implementation will create an economic engine that will thrust the South African automotive industry into a globally strengthened position, which will enhance our competitive advantage. In line with the objectives of the Automotive Production and Development Programme (APDP) formulated by the DTI, the TAC programme is also aligned to the multi-pillar programme of the Premier of Gauteng, David Makhura, which includes the radical transformation, modernisation and reindustrialisation of Gauteng.

For more information on TAC and a project update, please visit the AIDC website at www.aidc.co.za or contact the TAC project management office through:

Mr Renny Malungane

Project Manager: Special Projects Department

Tel: 012 564 5287

Email: rmalungane@aidc.co.za

The TAC programme is made possible through a partnership between:


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