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A high-level panel at SA Auto Week 2025 spotlighted logistics as the backbone of the Eastern Cape’s automotive future. Executives from the East London Industrial Development Zone (ELIDZ), Coega Development Corporation, and Transnet gathered to discuss “Developing the Southern Corridor, Unlocking Logistics for OEM Growth,” focusing on infrastructure, investment, and regional collaboration.
What Happened
The panel, themed Unlocking Logistics for OEM Growth, explored how modernized supply chains, rail transport, and reduced logistics costs can position the Eastern Cape as a global automotive hub.
A major outline was the Southern Corridor, a logistics route designed to link automotive hubs with global markets efficiently, reducing bottlenecks and improving export competitiveness. Speakers stressed that collaborative investment between industry and government is essential to maintain momentum in the sector.
“Secure, reliable, and cost-effective logistics are not just desirable—they’re non-negotiable for growth,” noted one ELIDZ executive.
Official Response
Representatives from ELIDZ, Coega, and Transnet emphasized the need to align logistics investment with the long-term goals of the automotive sector. The panel also outlined government incentives, regulatory reforms, and industry partnerships as crucial drivers of investment.
Delegates warned that without a supportive policy environment, the Eastern Cape risks losing competitive advantage to other regions.
Community Impact
The Eastern Cape stands to benefit significantly if the logistics corridor is prioritized. The automotive industry already drives local jobs and exports. Improved logistics could attract new OEM investments, increase employment, and accelerate innovation.
Panellists noted ripple effects for communities, including better infrastructure, expanded trade opportunities, and strengthened regional development.”Investing in logistics is investing in our communities,” said a Coega Development Corporation spokesperson.
FAQ
What is the Southern Corridor?
A logistics route linking Eastern Cape automotive hubs to global export markets, designed to improve competitiveness and reduce bottlenecks.
How will rail play a role?
The sector aims to shift from road to rail, cutting costs, easing congestion, and ensuring reliable supply chains.
What happens next after SA Auto Week 2025?
Follow-up engagements between government, logistics providers, and OEMs will aim to turn the insights into actionable projects.
