E-mobility companies in Africa are beginning to assemble electric vans and taxis locally, using Chinese-made kits, the Associated Press reports. Kenya and Nigeria, two of Africa’s largest economies, are leading the push for local EV assembly.
Lagos-based SAGLEV has begun assembling 18-seater electric passenger vans using imported kits supplied by Chinese automaker Dongfeng. The company says it plans to make up to 2,500 vehicles a year for Nigeria and other West African markets.
“This is a major step in Nigeria’s transition toward clean, fossil-free transportation,” said Saglev’s CEO Olu Falaye. “This feat is a clear signal that el ectric mobility in Nigeria is practical, scalable and ready for adoption.”
SAGLEV, a joint venture between Nigeria’s Stallion Group, a major auto distributor, and Chinese automaker Sokon Motor, also plans to install solar-powered charging stations to provide more reliable sources of power—a key challenge for EV adoption in much of Africa.
In Kenya, Chinese-backed Rideence Africa recently signed a $2.46-million deal with Mombasa-based Associated Vehicle Assemblers (AVA) to begin local assembly of electric taxis and minibuses from kits supplied by China’s Jiangsu Joylong Automobile and Beijing Henrey Automobile Technology.
“We are now moving decisively from operator to manufacturer,” said Rideence Africa’s Managing Director, Minnan Yu. “Our aim is to build a Kenya-rooted new-energy mobility company serving Africa.”
“The assembly of electric vans is emerging as a strong market segment,” said Dennis Wakaba, Secretary-General of the Electric Mobility Association of Kenya. “Earlier, the cost of electric vans was high, putting off operators. But as local assembly scales up, these costs have dropped, attracting more orders.”
Vans and minibuses are essential parts of public transport systems throughout Africa. Japanese models such as the Toyota Hiace have long dominated the market. But cutting consumption of expensive imported gasoline makes sense both for individual operators and national governments. According to the AP’s sources, the cost of driving an EV can be as low as a fifth the cost of burning petrol.
Ethiopia and South Africa also have entered the market. In Ethiopia, Belayneh Kinde Group (BKG) assembles about 150 minibuses a month using Chinese components.
Affordability is a big barrier to EV adoption in Africa—transport operators often have limited access to credit, and few can afford to purchase new vehicles outright.
To make EVs more affordable, companies like Rideence and BasiGo are adopting pay-as-you-drive and lease-to-own options.
“These innovative financing models mitigate risks for both assembler and operators, helping put vehicles on the road faster,” Wakaba said.
Source: Associated Press