Latest news with #DenisevanHuyssteen
Daily Maverick
4 days ago
- Automotive
- Daily Maverick
Goodyear to shut down Nelson Mandela Bay manufacturing plant — 900 jobs at risk
After 78 years of manufacturing tyres in Kariega, Nelson Mandela Bay, the Goodyear factory will close. Restructuring that includes the closure of the company's manufacturing arm in South Africa will take place – Section 189A retrenchment notices have been served. The jobs of 900 workers are at risk and thousands of jobs from secondary industries are being threatened as Goodyear announced this week that it was closing its factory in Nelson Mandela Bay. The factory, in Kariega (formerly Uitenhage), was opened in 1947. About 900 employees will lose their jobs, but fears are that this will have a larger secondary impact as other industries, such as catering, security and corporate social investment projects will be affected by the decision. Company representatives would not answer questions on Thursday, but issued a general statement confirming that it was shutting down its manufacturing arm in South Africa. 'Goodyear is transforming its go-to-market strategy in the Europe, Middle East and Africa region to optimise its footprint and portfolio. 'As part of that transformation, Goodyear South Africa is launching a restructuring process in accordance with the provisions of the Labour Relations Act to address proposals regarding the closure of its manufacturing facility in South Africa and the realignment of certain sales, administration and general management functions. Goodyear South Africa will continue to maintain a sales and distribution, and Hi-Q retail presence in South Africa,' the statement read. 'This proposal is in no way a reflection of the commendable efforts or the years of dedication of our South Africa team, for which we are grateful,' the statement added. The process will be facilitated by the CCMA. 'As a company, we recognise our responsibilities towards our employees and their families and are firmly committed to acting fairly and providing them with appropriate support,' the company's statement continued. National Metal Workers Union representative Phakamile Hlubi-Majola said the union had not yet received a Section 189 notice from Goodyear. CEO of Nelson Mandela Bay Business Chamber Denise van Huyssteen said the chamber would assist workers through its job loss mitigation initiative. The initiative connects companies seeking artisans with those whose jobs had been made redundant. Previously, the chamber helped redirect employees of specialist tyre manufacturer, Continental Conti-tech when it closed its plant in Nelson Mandela Bay. Van Huyssteen said the chamber was saddened to receive the news of the Goodyear retrenchments at the Kariega factory. 'This comes just months after Conti-tech announced that it was closing its plant, and the Bridgestone plant closure of over four years ago. 'This highlights the massive pressure which tyre manufacturers are under due to enabling environment issues such as the logistics challenges; lack of service delivery at a municipal level; inadequate maintenance of electricity, water and sanitation infrastructure; increased costs relating to safety and security; above-inflation input costs for essential services such as electricity; as well as cheap tyre imports which are flooding the market,' she said. Nduduzo Chala from the South African Tyre Manufacturers Conference said that while he wanted to allow Goodyear to go through the process it had begun, he could say that trading conditions for local manufacturers had been very difficult over the past few years. The conference represents the four big tyre manufacturers in South Africa — Bridgestone, Dunlop, Goodyear and Continental. 'The market has been plagued with an unfair trade environment. It is a question of producers vs importers, and low-cost products have been introduced into the market,' he said. He said they had persuaded the government, even though it took more than a year, to introduce anti-dumping duties on China recently. 'It was a very unfair trading environment,' he said. 'But there are always loopholes, and the Chinese companies are now shifting operations to Thailand, Cambodia and Vietnam. We then had to do the same for these countries,' he said. 'However, the sustainability of manufacturing has become challenging,' Chala said. DM
Daily Maverick
29-05-2025
- Business
- Daily Maverick
Citrus farmers: We are going nowhere
Chamber CEO Denise van Huyssteen set the tone with a keynote address outlining the metro's precarious financial position while also noting the success the chamber had achieved as a result of lobbying. 'South African farmers are going nowhere. We believe in the country and its people.' This statement from Hannes de Waal, the CEO of the Sundays River Citrus Company regarding farmers supposedly moving to the US as refugees, drew loud applause at the Nelson Mandela Bay Business Chamber AGM on Wednesday evening. Despite global volatility, infrastructure failures and a challenging local investment climate, delegates painted a picture of determined — if guarded — resilience. De Waal's statement about farmers came during a panel discussion featuring agri-economist Wandile Sihlobo of Agbiz and Rand Merchant Bank economist John Cairns, moderated by The Herald editor Rochelle de Kock. When De Kock asked whether South Africa should be concerned about farmers leaving, De Waal — speaking from the audience — asked for the mic. He acknowledged that some South Africans were working in agriculture overseas, including in the United States, and that a few had even launched businesses there. But he firmly rejected the idea that this meant local agriculture was in retreat. He said his concerns focused on the rising barriers for young farmers trying to enter the sector. 'The cost of land and water has gone through the roof in the last few decades. That concerns us,' he said. 'So maybe our young farmers will find opportunities like some have found up in Africa. But it's going to take something special to move a big part of South African agriculture out of South Africa. It's not going to happen.' Sihlobo, who recently released a book on agricultural development, agreed with De Waal. Since 1994, he noted, South Africa's agricultural sector had more than doubled in size. 'Exports were sitting at $2-billion in 2000,' he said. 'Last year, they hit $13.7-billion,' he said, adding that employment levels had also risen. 'It's the complete opposite of what you'll see on social media,' he said. Sihlobo acknowledged the challenges South Africa has faced since 1994, but said key indicators like income had improved significantly, noting that South Africans were now 'one-and-a-half' times better off in terms of income. Bringing levity to the discussion, Cairns addressed the so-called Afrikaner 'refugee' narrative with a tongue-in-cheek comment about US President Donald Trump. 'Our president took the famous golfers to the US, but what many people don't realise is that President Trump is a big rugby fan,' he quipped. 'The 2031 Rugby World Cup will be held in the US — that's why President Trump has asked the Afrikaners to move there.' The room erupted in laughter. Earlier in the evening, Chamber CEO Denise van Huyssteen set the tone with a keynote address outlining the metro's precarious financial position while also noting the success the chamber had achieved as a result of lobbying. Van Huyssteen reminded attendees that 73% of the metro's electricity revenue came from businesses — a significant dependency given ongoing supply constraints and the municipality's projected R1.4-billion shortfall. Another key concern she said remained the lack of stable leadership within the municipality. 'There have been 19 city managers mostly in an acting capacity since 2016, of which 15 have been since 2020. She added that the Chamber would continue lobbying across all levels of government for this critical post to be filled. She said that the Chamber's lobbying had already paid off in some key areas, including a recent win on fuel pricing disparities. In the last quarter of 2024 Nelson Mandela Bay was rezoned from coastal to inland, resulting in higher fuel prices. This had since been reversed. 'This saved the local economy an irrecoverable loss of about R50-million a month over that period. This victory really highlights how easy rezoning can happen,' she said. Van Huyssteen also pointed to encouraging developments ahead, including a series of major events set to take place in the Bay in the coming months. Among them is the Naacam Show, a flagship event for the automotive sector, and the SA Automotive Week. DM
