As infrastructure is repaired, expanded and modernised, the metals and engineering sector stands to benefit directly from increased demand for local manufacturing, fabrication and engineering capability, industrial associations organisation Steel and Engineering Industries Federation of Southern Africa (Seifsa) CEO Tafadzwa Chibanguza says.

Considerable reform work has been undertaken to strengthen the institutional pillars of the economy, and tangible outcomes include the yield curve on South Africa’s bonds decreasing and flattening across maturities, and the country having recorded a net inflow of assets in 2025.

Another tangible outcome is the new regulations that have elevated the role of public-private partnerships, particularly in infrastructure development, he notes.

These improvements signify that the difficult but necessary institutional reforms of recent years are beginning to rebuild credibility and confidence.

This year, the focus must be on capitalising on these green shoots. A more stable and predictable policy environment can unlock greater private sector activity, with the ultimate goal of reigniting fixed investment, he says.

Therefore, a key priority for Seifsa will be to deepen the role and capacity of its member associations, which are the backbone of the metals and engineering sector, in policy advocacy.

Domestically, South Africa continues to grapple with the difficult economic legacy of the past decade and a half, namely low growth, high unemployment, weak confidence and subdued fixed capital investment, he says.

In 2025, industry associations played an indispensable role in several major policy processes, including in the steel tariff review, the price preference system, reviews in the renewable energy tariff landscape, policy discussions linked to the Independent Transmission Grid Programme, and critical engagements with the National Treasury and the South African Revenue Service.

These interventions demonstrate the value of advocacy rooted in the practical, bread-and-butter issues that companies experience daily.

In 2026, Seifsa will strengthen and boost the capacity of its member associations to play a more prominent role in these areas, Chibanguza says.

Further, he thanked the board and outgoing CEO Lucio Trentini, who served Seifsa for 36 years, adding that Trentini's institutional memory, wisdom and counsel continue to be invaluable until his planned retirement in 2027.

Chibanguza also committed to carrying out his work diligently and to working closely with all members to advance the shared vision of a thriving, competitive and industrialised South Africa.