Manufacturing and Industry: Moving Further Up the Value Chain
South Africa’s industrial ambitions are increasingly focused on moving beyond the export of raw materials towards greater local processing, manufacturing and participation in global value chains.
The country’s 2026 Industrial Development Strategy identifies deindustrialisation, declining industrial capacity and insufficient investment in productive sectors among the challenges facing the economy. Its response includes strengthening manufacturing and using industrial policy to support new areas of growth.
According to the Strategy, critical minerals provide one example of where this approach could create new opportunities. South Africa has significant reserves of platinum group metals, manganese, chrome and other minerals required for clean energy, electric vehicles and advanced technologies. Government is seeking to increase local beneficiation and develop industries around these resources.
The French–South African relationship can contribute to this shift through investment, technology transfer and industrial partnerships. Existing cooperation already provides examples. At the 2025 South Africa–France Investment Week held in Paris, the South African government highlighted partnerships such as Sanofi and Biovac as models for increasing local manufacturing capacity and technology transfer.
The opportunity is not limited to mining or pharmaceuticals. Automotive components, chemicals, advanced manufacturing, green technologies, engineering and industrial digitalisation all offer potential areas for cooperation.
For South Africa, stronger industrial value chains can support exports, employment and economic resilience. For French businesses, partnerships with South African companies can provide access to local expertise, regional markets and growing industrial opportunities across Africa.
The discussion at the Business Forum can therefore move beyond attracting investment towards a more strategic question: how can French and South African businesses build value chains together rather than simply trade across them? Forum registrations for companies in South Africa close on 25 September.
Continue the conversation at the Team France Gala Dinner on 30 September - the grande finale to the Business Forum! Buy your tickets here.
Title image generated by FSACCI using AI with OpenAI.
