In a significant move for South Africa’s struggling electronics manufacturing sector, local technology firm Microtronix has breathed new life into a formerly defunct cell phone manufacturing facility. The Mara phones factory, once hailed as South Africa’s first smartphone production plant, was originally opened by President Ramaphosa in October 2019 at the Dube Trade Port Special Economic Zone in Durban. It was designed to produce over 1,2 million smartphones annually and create approximately 500 jobs, with an emphasis on youth and female employment.
While that vision faltered, its revival by Microtronix represents a powerful example of repurposing existing industrial infrastructure to serve the broader goal of rebuilding domestic manufacturing. Microtronix CEO, Mike Goodyer, confirmed that substantial investments were made to acquire the equipment. The Mara facility includes advanced ASM surface-mount technology machines and high-end radio frequency testing equipment.
Microtronix, already a key player in the local electronics space, currently produces set-top boxes and specialises in vehicle tracking devices. The transition to smaller, more compact devices aligns well with the capabilities of the newly acquired equipment. This new capacity has also been positioned with Microtronix to expand into new product areas.
The company has since relocated the high-tech equipment from Durban to its 10 000 m2 facility in Randburg, Gauteng. This strategic move has significantly increased Microtronix’s production capacity and highlights the company’s broader role in supporting South Africa’s electronics sector.
In early 2025, Microtronix began producing smart meters in support of Eskom’s national rollout, which aims to improve load management and reduce the need for load shedding. Local content requirements built into the Eskom tenders have provided a much-needed boost to domestic manufacturing. To meet projected demand of up to 30 000 to 40 000 meters per month, Microtronix added two new assembly lines and hired around 70 staff – focusing especially on creating employment opportunities for local black youth.
South Africa’s electronics manufacturing industry has faced prolonged challenges over the past decade. Although BBBEE policies have enabled more black-owned businesses to enter the market, government support for sustaining existing operations – and nurturing new startups – has been insufficient.
However, the broader industry context remains challenging. Despite the promise of BBBEE policies, inconsistent policy enforcement and rampant import competition have undercut local manufacturers. Local content regulations, in theory, offer strong potential to build up domestic production, but enforcement has been weak. Even BBBEE-compliant contracts are often awarded to distributors rather than actual manufacturers, allowing imports to dominate and weakening the intended job creation and industrial development.
Although Microtronix is a Level 2 BBBEE-contributor, CEO, Goodyer, notes that support from government remains limited. Most backing for real local production continues to come from private South African companies that value job creation and economic development.
Microtronix’s history of strategic acquisitions underlines its long-term commitment to local manufacturing. In 2021, the company acquired the dormant Anyview Technology factory in Edenvale, Gauteng, which had remained in excellent condition despite being inactive for years. The site features a dual-lane Panasonic SMT line capable of advanced production tasks such as top-and-bottom PCB assembly, inline solder paste inspection, automatic optical inspection, and full component traceability. This facility now supports Microtronix’s large-volume orders, including television and set-top box production.
In 2018, Yekani Manufacturing opened a R1 billion electronics plant in East London’s Industrial Development Zone with plans to create over 1000 jobs. Unfortunately, financial struggles led to the factory’s closure. Microtronix later acquired and relocated the company’s high-end Panasonic production lines to Randburg, where they are now in full operation, preserving critical infrastructure and skilled jobs.
The South African electronics manufacturing industry faces significant challenges, exemplified by the closure of Bosco Printed Circuits, the country’s largest PCB manufacturer. Bosco announced its permanent shutdown at the end of February 2025, marking the end of a 70-year legacy. This development underscores the difficulties local manufacturers encounter, including competition from imported products and insufficient enforcement of local content policies.
Despite these hurdles, Microtronix continues to invest in South Africa’s electronics future. It now operates approximately 55 pick-and-place machines, giving it a production capacity of up to 200 000 PCBs per month. The company supports small to big businesses, from prototyping to low- and high-volume runs. It emphasises quality, competitive pricing, and rapid delivery – even in the face of rising operational costs.
With the integration of assets from the former Mara factory, Microtronix plans to explore the production of consumer devices, including routers and 5G equipment. However, the company notes that, in the absence of substantial incentives and support for local manufacturing, the production of more complex devices like smartphones, laptops, and tablets remains a distant goal.
Microtronix’s strategy, that of acquiring and integrating existing infrastructure, demonstrates a viable model for rebuilding South Africa’s electronics manufacturing sector. Yet the company’s experience also highlights that sustainable growth depends heavily on effective government support, strict enforcement of local content regulations, and a shared national commitment to building industrial capacity.
Microtronix’s efforts highlight the potential for revitalising South Africa’s electronics manufacturing sector through strategic acquisitions and investments. Nevertheless, sustained government support and effective policy implementation are crucial to ensure the industry’s long-term viability and growth.
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| www: | www.microtronix.co.za |
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