MANUFACTURING: Cape Component Manufacturer Optimistic
Recent Western Cape Business News
Local automotive component manufacturers stand to make the biggest gains in the country’s quest to produce more than a million vehicles per year but it’s important they align themselves with international partners says Cape Town-based Precision Press managing director Simon Ledgerwood.
‘There is a huge drive by original equipment manufacturers (OEM) to increase the local content of their vehicles from around 30% to 70%. Importantly, we do have the skills base and capabilities to meet this challenge but it’s about forging closer ties with Tier One and OEMs to make it a reality.’
‘Where we have also made significant progress, is on the design and manufacture of advanced tooling for many of the safety-critical components we produce. We have identified several international manufacturers who are leading the technology race on the tool front and this gives us and, in turn, our customers significant competitive advantage.’
Precision Press is located in Cape Town and produces a variety of safety-critical components from a modern factory housing some of the most sophisticated machinery available in the local automotive component manufacturing industry.
Ledgerwood believes the local component manufacturing sector is poised to take advantage of OEMs desire to increase South African content in their vehicles.
‘We have a labour force comfortable working in that environment, easy access to raw materials, good logistics routes for transporting finished goods and, with adoption of new manufacturing technologies, can meet the price and quality requirements of even the most discerning marque. At Precision Press we already export significant quantities of our safety-critical components to overseas customers.’
‘The automotive sector is not a place for sissies though. The past year or so has been extremely tough and it would appear that we are not out of the woods yet. But, at the same time, we have to continually strive to improve our product offering so that we can win new business on the basis of quality and price; the improved volumes will make us more competitive,’ concludes Ledgerwood.
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