British Leyland is taking over a Chrysler truck factory in South Africa as part of a long-term plan to increase car and light commercial vehicle production in that country.
The first phase of a 15m rand expansion programme involves the takeover on a long lease of the Chrysler plant at Elsies River, currently producing about 60 vehicles a day. Leyland South Africa will modernize the plant, and although plans are not finalized will probably turn the factory over to light commercial vehicle production.
This will free the plant at Blackheath near Cape Town for an expansion of its car production capacity. The expansion will ultimately increase the company’s local output of from 100 to 150 vehicles a day, and will also involve a substantial increase in engine manufacturing capacity.