[sudden] BMW production cut as a result of a strike by metal workers in South Africa

According to foreign media reports, Hailey Philander, a spokesman for luxury carmaker BMW, said on Oct. 11 that South Africa's largest metal workers union, (NUMSA), had gone on strike over wages, resulting in a loss of production of about 700 cars at BMW's South African plant.

Philander said, "although our employees are still at work, our production has dropped since the strike began." Suppliers in many factories have been affected. " Philander gave no further details. BMW's South African factory is located in (Rosslyn), Roslin, about 60 kilometers from (Johannesburg) in the downtown area of Johannesburg.

(NUMSA), the South African metal workers' union, went on strike on Oct. 5 after wage negotiations with employers reached an impasse, causing concern in the industry. They are worried that the impact of the strike will spread further, disrupting the supply of new car parts.

"the strike in the metal and engineering sectors in South Africa continues until now, which worries the entire auto industry, but we understand that progress has been made in the negotiations and we hope that the situation will change as soon as possible," said Renai Moothilal, executive director of (NAACAM), the South African association of auto parts and related manufacturers.

A spokesman for Ford, Volkswagen and Toyota said they had not been affected by the strike so far.

On October 8th the NUMSA said it was considering ending the strike. On Oct. 11, NUMSA said it was collating feedback and would make a decision later.

The NUMSA engineering department, which has about 155000 members, wants wages to rise by 8 per cent in the first year and 2 per cent in the second and third years on top of inflation.

(SEIFSA), the South African steel and engineering federation, which is an important part of South African industry, initially proposed a 4.4 per cent pay increase for workers in 2021, 0.5 per cent in 2022 and 1 per cent in 2023.