The facility, which will be operational by the end of the year, will produce around 200 towers annually and employ over 250 people, Gestamp said.
"With these investments, Gestamp Renewable Industries reinforces its intentions to make South Africa a key market in its global strategy," said CEO Javier Imáz.
South African heavy-engineering giant DCD-Dorbyl also plans to make towers locally, while Suzlon says it is considering the idea. Their interest is partly driven by the local-content requirement of South Africa's renewable-energy independent power producers (IPP) programme.
Gestamp Wind also hopes to start construction this year of a 75MW project it was awarded in partnership with local developer South African Renewable Green Energy.
In recent years, the company has built tower factories in Wyoming, US, and Turkey.