TE and 4iG to Construct New Subsea Cable

Doubling Manufacturing Space to Meet Growing Demand for High-Speed Connectivity

Yangtze Optics Africa Cable (YOA Cable) has invested an additional R160 million (US$8.7 million) to expand its optical fiber manufacturing facility in South Africa, effectively doubling the size of its plant at Dube Trade Port, just outside Durban, KwaZulu-Natal.

This expansion increases the facility’s footprint from 7,000 square meters to 14,000 square meters and is expected to significantly boost production capacity to meet the region’s rising demand for high-speed internet connectivity.

Breakdown of the Investment

YOA Cable revealed to Connecting Africa that the investment was allocated as follows:

• R100 million (US$5.4 million) for the new factory structure

• R40 million (US$2.2 million) for new equipment

• R20 million (US$1.1 million) for utilities, gas, and water reticulation

The company also secured local funding of R100 million (US$5.4 million) to support the expansion efforts.

Strategic Growth and Local Impact

At the launch event held at Dube Trade Port, YOA Cable CEO Pieter Viljoen highlighted the company’s growth journey, which began with an initial investment of R150 million (US$8.2 million). With this latest expansion, YOA Cable’s total investment in South Africa now stands at over R320 million (US$17.4 million).

“This latest strategic move is set to transform our operations, significantly increase production capacity of locally manufactured optical fiber cable, and explore new opportunities for growth across the Southern African region,” said Viljoen.

Established in 2016, YOA Cable is a joint venture between China-based Yangtze Optical Fibre and Cable Joint Stock Company (YOFC) and Johannesburg Stock Exchange-listed Mustek.

Boosting Local Manufacturing and Supply Chain

As part of its localization strategy, YOA Cable has partnered with local suppliers to produce natural polyethylene—a key component in optical fiber cable manufacturing—within South Africa.

“For the first time in more than 20 years, we now have a locally produced polyethylene product for optical fiber cable manufacturing in South Africa. This is a major step in localizing the supply chain and reducing dependence on imports,” Viljoen explained.

Meeting the Demand for High-Speed Connectivity

The facility’s expansion comes at a time when demand for high-speed internet is surging across Southern Africa, driven by advancements in 5G, artificial intelligence, education, healthcare, e-commerce, and government services.

Viljoen emphasized that as 5G networks expand, the need for high-quality, locally manufactured optical fiber cables is greater than ever.

Expanding Beyond South Africa

YOA Cable primarily supplies fiber network operators in South Africa and has an established presence in Botswana, Namibia, and Zimbabwe. With this expansion, the company aims to further extend its reach into neighboring countries.

“Our growth initiative will allow us to tap into new opportunities beyond South Africa and contribute to skills development in this highly specialized sector,” Viljoen stated.

Government Support for Local Manufacturing

The optical fiber cable industry is a designated sector in South Africa, recognized by the Department of Trade, Industry, and Competition (DTIC) as vital for economic growth and sustainability.

Yunus Hoosen, acting head of Invest SA at DTIC, described the expansion as a “pivotal moment” in strengthening South Africa’s digital infrastructure and local manufacturing capabilities.

Viljoen also highlighted the competitive edge of locally produced cables, stating:

“Local manufacturing allows us to work directly with telecom operators and fiber network owners to develop cost-effective, fit-for-purpose products. This is essential for expanding broadband access, bridging connectivity gaps, and ensuring greater digital participation—especially in remote and rural areas.”

Job Creation and Skills Development

YOA Cable is also committed to job creation and skills development. The company currently employs 155 people but plans to hire 55 more employees in 2024, bringing its workforce to 210.

Approximately 25% of these new positions will be part of YOA Cable’s Learnership and Internship Programme, which aims to train and absorb young talent into both technical and non-technical roles.

“Through these internships, we have been able to upskill young people, create employment, and develop technical expertise that will benefit the country’s optical fiber industry,” Viljoen concluded.

With this latest expansion, YOA Cable is positioning itself as a key player in Africa’s digital transformation, ensuring that high-quality, locally produced optical fiber cables play a crucial role in the region’s connectivity revolution.