Industry and Commerce Minister, Mangaliso Nqobizitha Ndlovu, has defended the government’s decision to ban the importation of vehicles older than 10 years, a policy that came into effect in January 2022.
He said the measure is aimed at protecting and revitalising Zimbabwe’s motor manufacturing sector, which has been severely affected by the influx of cheaper second-hand vehicles from abroad.
Speaking in Parliament last week during a question-and-answer session, Minister Ndlovu was responding to Hwange East MP, Joseph Bonda (CCC), who questioned the rationale behind the import ban given the current state of the local motor industry.
Bonda argued that the domestic sector is not yet fully operational and is unable to meet national demand.
In his response, Ndlovu acknowledged that Zimbabwe’s manufacturing sector, including the motor industry, has faced significant challenges in recent years.
He said capacity utilisation had dropped to below five per cent, down from a previous high of 90 per cent.
One of the main factors contributing to this decline, he explained, is increased competition from imported used vehicles, which have flooded the market and undermined local production. Said Ndlovu:
By phasing out used cars by 2030, the Government hopes to boost the industry back to its previous levels when it sold 20 000 units per year. Protection of the local motor industry is aimed at promoting job creation in line with the National Vision 2030.
I also advise members to note that the motor industry sector in its time, particularly during the 1990s, employed more than 70 000 people and these jobs were distributed across a range of supporting industries which included the tyre manufacturing when Dunlop was a significant force.
He revealed that in 2023 alone, Zimbabwe spent no less than US$664 million on vehicle imports, suggesting the figure is both staggering and unsustainable.
The ban is part of the Zimbabwe Motor Industry Development Policy, which aims to revitalise the industry and create a more favourable business environment and the policy includes measures like pre-shipment inspections for imported second hand vehicles as part of regulating second hand vehicles to ensure they meet environmental and safety standards.
More: The Herald
Which cars are you going to make by 2030.probably zvikochikari ka.