Ramokgopa courts China to rebuild SA’s industrial base

Electricity & energy minister Kgosientsho Ramokgopa used South Africa’s investment mission to China to make the case for rebuilding South Africa’s industrial base.

He said collaboration with global industrial leaders could help restore local manufacturing and engineering expertise while supporting future economic growth.

Speaking at the South Africa-China Electricity and Energy Investment Conference in Beijing on Monday, Ramokgopa said South Africa had lost some of the industrial strengths it once possessed but needed to regain them as the country looks to expand its electricity infrastructure and generation capacity.

“We want to build our infrastructure, we want to build our engineering capabilities,” he said, adding that there is “no reason to lament about the past” and that South Africa should instead focus on rebuilding its industrial capabilities for the future.

Ramokgopa is leading a South African delegation to China until August 6 to attract investment into the country’s electricity and energy sector, as the government advances the Integrated Resource Plan (IRP) 2025. The plan outlines an investment pipeline of more than R2.2-trillion.

The delegation includes trade, industry & competition minister Parks Tau, deputy international relations & co-operation minister Thandi Moraka, provincial leaders, development finance institutions, business representatives and senior Eskom executives. These include group CEO Dan Marokane, National Transmission Company South Africa CEO Monde Bala and Eskom Renewables group executive Rivoningo Mnisi.

Addressing Chinese companies, Ramokgopa said South Africa wanted to work with firms that had demonstrated the ability to deliver large-scale energy projects and develop advanced manufacturing.

China produces more than 60% of the world’s solar equipment and about 75% of its lithium-ion batteries, while its engineering, procurement and construction (EPC) companies are involved in major infrastructure projects around the world.

“Rather than viewing Chinese companies as competitors, South Africa wanted partnerships that would help strengthen local technical and industrial expertise,” Ramokgopa said. “It’s about co-operation and collaboration.”

Making the case for investment, Ramokgopa pointed to South Africa’s abundant renewable energy resources, significant critical mineral reserves and access to fast-growing African markets.

“Combined with planned investment in the electricity sector, these advantages position the country to expand domestic production while serving regional demand.”

Ramokgopa said plans to expand the national transmission grid by about 14,500km would help connect future generation capacity to the network, supporting industrial development, rising electricity demand and new industries such as data centres.

“The continent’s young population and growing energy demand present a long-term opportunity for industrial growth,” he said.