newsBusinessLive reports that according to Prof Justin Barnes, one of the chief architects of the long-term strategy for the SA motor industry, the government must amend its support for the industry if SA is to avoid being marginalised in a post-Covid-19 global motor industry.  

In a policy brief to President Cyril Ramaphosa and the Department of Trade and Industry, Barnes says years of progress in turning the SA industry into an effective global competitor may be undone if the industry is unable to respond to changing conditions caused by the pandemic.  The urgency is particularly acute now — less than nine months before the launch of a new industry policy that aims to double employment and production, increase local content by 50% and create a new generation of black automotive industrialists.  The SA Automotive Masterplan, starting in January 2021, will run to 2035.  The immediate priority, says Barnes, is to provide clarity on restarting vehicle assembly.  In his view, local motor companies should be allowed to restart the manufacture of export vehicles as soon as possible.  Without a return to work, industry bodies have warned in recent days of the potential wholesale collapse of small and medium companies, mainly in the components supply industry.  The biggest threat could come from job losses.


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