Tau calls for bold collaboration to drive South Africa’s low-carbon reindustrialisation

Minister of Trade, Industry and Competition Parks Tau says South Africa’s industrial future will be defined by bold and collaborative decision-making.

Tau outlined a vision of reindustrialisation anchored in a low-carbon economy, stressing that the country must align energy reform, industrial policy, and global investment flows to secure long-term competitiveness.

The Minister said the path to a thriving, competitive, and sustainable economy lies in adopting a low-carbon industrial policy that draws global investment, broadens market access, and safeguards South Africa’s industrial base.

“If we build the energy system of the future, mobilise capital at scale, and secure our position in the global critical minerals economy, we will not only decarbonise, but we will also reindustrialise,” Tau said.

He emphasised that Sasol and its clients have a pivotal role to play and affirmed that government stands ready to partner with them.

“Together, they can turn this period of transition into a transformative opportunity that drives growth, strengthens competitiveness, and expands opportunities for all South Africans.

“The transition before us requires reliable electricity, which must be both green and affordable. There are hard-to-abate sectors that cannot be fully electrified, and for these industries we must unlock sustainable fuels that are competitive at scale,” Tau said.

He further stressed the need for coordinated planning, greater transparency, and a shared commitment to long-term policy certainty, noting that investor confidence depends heavily on clear and predictable frameworks.

Collaboration, Tau added, must also extend across strategic global partnerships. He pointed to the importance of deepening commercial dialogue with the United States, strengthening cooperation with China, and engaging the European Union through the Clean Trade and Investment Partnership.

“Sasol’s role is profound in building a new industrial economy. The operations sit at the intersection of energy, chemicals, fuels, and advanced manufacturing, which gives both responsibilities and opportunities.

“The opportunities include unlocking giga-scale investment in renewable energy, mega-storage, High-Voltage Direct Current (HVDC) transmission, and gas-to-power, especially as Liquefied Natural Gas (LNG) becomes central to our industrial feedstock strategy post-2028,” emphasised Tau.

The Minister’s remarks underscore a broader policy shift: positioning South Africa’s energy transition not merely as a climate obligation, but as a strategic lever to revitalise manufacturing, attract large-scale investment and strengthen the country’s standing in the global critical minerals and industrial value chains.