Dear Editor
Thousands of South Africans are losing their jobs in the steel and automotive industries, while government stands idle.
ArcelorMittal South Africa (AMSA) has announced 3 500 retrenchments, despite receiving billions in public money and tariff protection. At the same time, Ford, Goodyear and Mercedes are cutting hundreds more jobs, devastating communities that depend on these factories.
Behind every number is a person. These are mothers and fathers going home to tell their children there will be no food on the table. Families are facing empty cupboards, mounting bills, and the crushing uncertainty of not knowing how they will survive.
The human cost of government inaction is enormous, and it is made far worse by Minister Tau’s failure to deliver on his promises. Ordinary South Africans are left to shoulder the burden while those in power remain absent.
When he took office, Minister of Trade, Industry and Competition Parks Tau promised a new industrial strategy. Months later, nothing has been delivered. Instead of action, we see the same failed approach: throwing taxpayer money at uncompetitive industries while ordinary South Africans carry the cost through higher prices and job losses.
AMSA alone has received R2.6 billion in loans from the IDC and R417 million from the UIF’s TERS scheme. Yet it is shutting down parts of its business, leaving taxpayers and workers empty-handed. Government has also poured tens of billions into the auto industry, but we are still seeing mass retrenchments and factory closures. This shows that bailouts and protectionist tariffs cannot solve the fundamental problems.
The truth is simple: our industries cannot compete because of government-created obstacles such as red tape, sky-high electricity prices, failing rail and ports, and endless delays in policy reform. Until these barriers are removed, no amount of subsidies will save jobs.
The DA’s Turbocharge Growth Plan shows the way forward. We must cut red tape, lower the cost of electricity, and fix our logistics network to give businesses a real chance to grow. Minister Tau must stop stalling, release a credible plan, and start tackling these structural constraints. Every day of delay means more South Africans lose their livelihoods.
Regards
Toby Chance MP
DA Spokesperson on Trade, Industry and Competition