Biggest investment ever
The result of a two year journey and one of 26 bilateral agreements signed in 2015 that will yield an investment of R94-billion by China, the unveiling of the factory, the first all-new vehicle assembly plant in over 40 years, also culminated in the reveal of the first locally assembled BAIC model, the X25, that will go into full scale production from the fourth quarter of this year.
Assembled from semi-knocked down kits (SKD), the X25, and likely future models, will be assembled in a 42 000m2 factory that will have an initial capacity of 50 000 units, although the automaker has stated that this will likely grow following the completion of phase two next year, which will involve the opening of its new 21 000m2 paint shop.
According to BAIC, 60% of the vehicles that will be assembled at the plant will be exported to Africa and onto the Middle East and Latin America, while the remaining 40% will be for the South African market with an initial dealer network of 17 and a projected local content of 60% once phase two has been implemented.
Worth R2-billion, the first phase also included the opening of a 4 200m2 office, with the construction said to have resulted in the creation of 1 540 jobs, and the handouts of contracts worth R200-million to 73 Small, Medium and Micro-sized Enterprises (SMME).
“Partnership a golden co-operation”
Speaking at the event through an interpreter, BAIC Charmain, Xu Heyi, remarked that the opening of the factory, which came on the eve of the tenth BRICS (Brazil, Russia, India, China, South Africa) Summit held in Johannesburg, and also celebrated 20 years of China’s partnership with South Africa, was evident of the “trust and friendship” that exists between the two countries, and that it represents a “golden co-operation that will continue to be beneficial as long as we stick to a mutual trust”.
“South Africa is a shining light on the African continent full of hopes and dreams, [and] this plant is symbolic of the relations between South Africa and China. [Through] this plant, I hope that we can build a cornerstone of mutual benefit and strengthen not only relations, but also have a better understanding of each other,” Heyi said.
Also speaking at the event, Industrial Development Corporation (IDC) Board Member, Busi Mabuza, said it was vital for BRICS countries to find ways of “advancing the fourth industrial revolution” and that “by working together, our countries [are] demonstrating the values of [what can be achieved]”.
“This is the beginning of what we known will be a fruitful relationship. Evidence of this is already visible and I would like to believe that this facility epitomises what can be achieved when working with partners such as BAIC. [The opening of this factory] is what economic co-operation and partnership looks like when shared investments and a shared vision [come together],” she said.
Revealing the first made-in-South-Africa X25 via a video-link from Centurion, President Cyril Ramaphosa, flanked by Chinese President Xi Jinping, described the moment as a true “milestone that will grow from strength” and “once again proves that South Africa is the automotive gateway of Africa”.
In his address, President Jinping, via a translator, remarked that “China stands by South Africa and that by working together, we can achieve more”.
A peak of what could be coming
Aside from the factory inauguration, BAIC also provided a sneak peak of potential models that could be assembled alongside the X25 in due course, in the form of the BJ40L and BJ80 SUVs.
Resembling the Jeep Wrangler, the BJ40L measures 4 630mm in overall length with a wheelbase of 2 730mm, height of 1 861mm and width of 1 843mm. Based on the details at the event, power comes courtesy of two petrol engines; a 2.0-litre turbo producing 145kW/270Nm and a bigger 2.3-litre turbo that makes 184kW/350Nm.
In 2.0-litre guise, the BJ40L comes in two trim levels; Comfort and Elite with the former being rear-wheel drive and the latter four-wheel drive, and available only with a six-speed manual gearbox. The 2.3 meanwhile is offered in Luxury trim only with drive going to all four wheels via a similar ratio automatic ‘box.
With more than just a few shades of the previous Mercedes-Benz G-class about it, no doubt as a result of BAIC’s co-operation with the three-pointed star as well as Hyundai, the BJ80 sports dimensions of 4 765mm in length with a wheelbase of 2 800mm, a height of 2 005mm and width of 1 890mm.
Retaining the BJ40L’s higher output petrol but with the option of an automatic ‘box, the BJ80 also comes with a diesel engine in the form of a 2.8-litre motor that makes 120kW/340Nm. It also only comes with a full-time four-wheel drive system as opposed to the petrol’s part-time setup and only with the aforementioned manual gearbox.
Is indicated, it remains unknown which of these models will join the X25, but as BAIC’s plans calls for the local production of both a sedan and SUV, expect either the BJ40L or BJ80 to be likely candidates.