The Free State town expecting 6,500 jobs from a massive China deal
PHUTHADITJHABA — A Chinese-backed industrial development valued at approximately R100 billion is set to be launched in the Free State on Friday, with government projecting 6,500 permanent jobs and new manufacturing opportunities in one of South Africa’s economically challenged regions.
President Cyril Ramaphosa will officiate the launch of the Free State Catalytic Investment and Industrialisation Project in Maluti-a-Phofung, alongside Premier MaQueen Letsoha-Mathae and representatives of Chinese investor Joy Long-YJC.
The project is expected to support automotive assembly, electric vehicle technologies, vehicle components, energy systems and logistics. It also aims to create opportunities for local suppliers and develop technical skills needed in manufacturing.
The proposed investment could strengthen the Free State’s position in South Africa’s automotive and green economy industries, which have traditionally been concentrated in provinces such as Gauteng, KwaZulu-Natal and the Eastern Cape.
For Maluti-a-Phofung, the announcement carries particular significance. The municipality includes Phuthaditjhaba and Harrismith, with the latter positioned along the N3 freight corridor connecting Johannesburg and Durban.
The area is also home to the Maluti-a-Phofung Special Economic Zone, designated in 2017 to attract industrial investment and take advantage of its location along a major national transport route.
The development follows a provincial investment mission to China in May, during which Free State officials visited manufacturing facilities and held discussions with potential investors.
According to regional broadcaster OFM, the province is also preparing memoranda of understanding valued at approximately R20 billion with the YJC Group. These agreements form part of efforts to translate investor interest into industrial projects.
However, the Presidency has not yet provided a detailed construction timetable, confirmed when the projected jobs will become available or explained how the full R100 billion investment will be financed and implemented.
The figures therefore represent the project’s announced investment value and employment expectations rather than money already spent or jobs already created.
Friday’s ceremony at the Phuthaditjhaba Multipurpose Centre will bring together government representatives, investors, infrastructure providers, development finance institutions and training organisations.
The launch marks an important step in the Free State’s industrial ambitions, but the project’s economic impact will depend on whether the proposed investment translates into operating factories, sustained production and permanent employment.
Anyone with additional information can contact the press desk at press@townpress.co.za or drop a tip on our annonymous platform https://tips.townpress.co.za/