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Chinese investors signed agreements to build a $ 10 billion metallurgical complex in South Africa during the state visit of President Xi Jinping and hope to begin construction of the 39 next year. The South African President Cyril Ramaphosa said at a joint press conference with Xi that China had committed to invest $ 14.7 billion in the economy South African, but neither of the two leaders mentioned the $ 10 million.
Ramaphosa's mission is to revive economic growth after a decade of stagnation and aims at a new $ 100 billion investment over five years.
The complex, which is still in the planning stage is considering the construction of a stainless steel plant, a ferrochrome plant and a silicomanganese plant, is a vote of confidence indispensable in the South African economy that spits
Minister of Commerce and Industry Dr. Rob Da said Tuesday that China was considering a metallurgical project in an area Special Economic Survey (SEZ), but it did not reveal the scale of the project nor the schedule.
The executive involved in the project, who did not wish to be named because he was not allowed to speak to the media, the memoranda on the complex were signed before Xi and Ramaphosa gave a news conference on Tuesday.
"The investors for the SEZ project were in the room when Ramaphosa and Xi"
Richard Zitha a project director at the Musina-Makhado ZSE where the complex will be based, said that the project was led by Chinese public enterprises. But he refused to name them.
He said Chinese investors would seek Black Economic Empowerment partners to comply with South African rules designed to address racial disparities more than two decades after the end of apartheid.
open to "Investors have been to South Africa for about a week and visited mines to find inputs for the project," he said.
The Musina- The SEZ of Makhado is located in Limpopo Province near the borders of South Africa with Mozambique, Zimbabwe and Botswana
The SEZ plans to house factories from a capacity of three million tons of stainless steel, three million ferrochrome 500,000 tons a year of silicomanganese. These capacity goals are subject to change and will be finalized by the end of the year, the executive said.
A coal-fired power plant, a coking plant and a coal wash house will be built parallel to the metallurgical plants, a presentation prepared for investors
Part of the steel production of the complex was intended for the 39, export to China, while other products would be sold to countries in southern Africa, according to the executive.
South Africa is already a major exporter of alloys
Investors hope to receive the necessary environmental approvals by the end of March and then start construction, said Zitha.
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