BMW ramps up to full production: Rosslyn Plant now produces more than 250 E90 3 Series sedans per day after R3.5 billion investment

- R3.5-billion investment makes BMW's Rosslyn plant the most advanced in
the Southern Hemisphere. - Ramp-up to full production officially
commemorated by Minister of Trade & Industry, Mandisi Mphalwa. -
Mr. Mphalwa confirms government's long-term commitment to the growth of
the South African automotive industry Rosslyn. The BMW manufacturing
plant in Rosslyn, north of Pretoria, was symbolically reopened by
Minister of Trade and Industry, Mr Mandisi Mpahlwa, today. The plant,
which produces the new E90 BMW 3 Series for both local and export
markets, has ramped up to full production after benefitting from a
R3.5-billion investment, which makes it the most advanced automobile
manufacturing plant in the Southern Hemisphere. Minister Mpahlwa, who
presided over the opening of an all-new Body-in-White assembly facility
and officially commemorated the plant's ramp-up to full production of
more than 250 new BMW 3 Series sedans a day, also met with members of
the BMW South Africa board of management before addressing
approximately 2, 000 BMW employees. In his address, Minister Mpahlwa
explained that government is closely monitoring the motor industry in
order to identify ways in which other sectors of the economy can
benefit from government-supported programmes such as the Motor Industry
Development Plan (MIDP), which is due to be phased out in 2012.
However, the Minister went to great lenghts to confirm government's
commitment to an industry which contributes more than 7 per cent to
South Africa's Gross Domestic Product, and has resulted in more than
R10.2-billion worth of capital investment from the eight Original
Equipment Manufacturers (OEM) represented in South Africa, in the last
five years. "We have not changed our minds with regard to the
MIDP," explained Minister Mpahlwa. "On the contrary,
government remains willing to provide the support needed for the growth
of the industry. The current MIDP review is an opportunity for us to
take a long-term look at the automotive industry with the view of
formulating possible recommendations for government support post-2012.
"In fact, this review period is the perfect platform from which the
Department of Trade and Industry can formulate a vision for this sector
for 2020 and beyond," he said. The BMW Group has invested more
than R3,5-billion at Rosslyn and in training its employees, with more
than R2-billion dedicated to retooling and re-equipping the plant to
produce the technologically advanced new E90 3 Series sedan. These
plant improvements include the new Body-in-White assembly facility
along with new paint preparation and new assembly extension operations.
The state-of-the-art plant now has the capacity to produce more than 60
000 3 Series vehicles, in both left- and right-hand drive per year,
mainly for export markets. "Our export programme is very
important to us," explains BMW South Africa managing director, Mr.
Wolfgang Stadler. "We have penetrated extremely consumer demanding
markets such as the United States and Japan and have made dramatic
inroads into markets in Australia, New Zealand, Singapore, Hong Kong and
Taiwan." Mr. Stadler points out that the Minister's comments bode
well for the sustainability of the BMW Group's export programme
post-2012. "We need a close and trusting relationship with our
partners, especially the Department of Trade and Industry, in order to
make sound production decisions for the future," he continued.
"I can assure you that our feedback from the Minister today, and
from our discussions three weeks ago, give the BMW Group and our
chairman, Dr. Norbert Reithofer, a high level of confidence in
government's approach to the automotive sector, and the long-term growth
prospects of the South African economy."