Economy

Toyota SA files $360 million lawsuit over flood damages

Date: Jun 21, 2025

Toyota South Africa (SA) Motors has taken legal action against the eThekwini Municipality, KwaZulu-Natal’s Transport Department, and state logistics firm Transnet.

The company is seeking $360 million in compensation for flood damage caused by what it alleges was poor infrastructure maintenance.  

In documents submitted to the Durban High Court, the car manufacturer claims extensive losses following the April 2022 floods that severely disrupted operations at its Prospecton plant, located south of Durban.

Toyota says it suffered approximately $240 million in damage to equipment and facilities, and an additional $120 million in business losses while production was halted for repairs.

At the centre of the dispute is the Umlaas Canal, a concrete-lined channel built to divert the Mlazi River away from the Prospecton industrial zone. Toyota argues that failure to properly maintain this canal, along with a nearby berm and broader stormwater systems, significantly worsened the flooding. According to the company, Transnet, as the canal’s owner, shares responsibility for its upkeep with the provincial Transport Department, while the eThekwini Municipality oversees the general stormwater infrastructure.

Toyota’s plant was one of several industrial sites in the Isipingo area that were overwhelmed during the flooding, causing significant disruption to local manufacturing and exports.

--ChannelAfrica--

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