Nigeria and Kenya Spearhead African EV Transition with Local Assembly of Chinese Kits

Deep News
Feb 17

Electric mobility companies in Africa are initiating the local assembly of electric vans and taxis using components manufactured in China, promoting electric public transport across the continent through innovative financing models.

Saglev, a company based in Nigeria, has begun assembling 18-seater electric passenger vans using imported kits supplied by China's Dongfeng Motor Group. The Lagos-headquartered firm plans an annual production capacity of up to 2,500 vehicles and intends to eventually assemble 17 different electric vehicle models for the Nigerian and other West African markets.

"This is a significant step for Nigeria's transition to clean, fossil-fuel-free transportation," stated Olu Faraye, CEO of Saglev. He noted that this van is the first mass-market electric vehicle of its kind to be locally assembled in Nigeria, and indeed in Sub-Saharan Africa.

"This achievement clearly demonstrates that electric mobility is viable, scalable, and accessible in Nigeria," Faraye added.

Saglev is a joint venture between Nigerian automotive distributor Stallion Group and Chinese automaker Sokon. The company also plans to build solar-powered charging stations to provide more reliable electricity—a key obstacle to EV adoption in some parts of Africa.

Kenya is advancing with similar initiatives. Rideence Africa, a company with Chinese backing, recently signed a $2.46 million agreement with Mombasa-based Associated Vehicle Assemblers (AVA) to begin local assembly of electric taxis and minibuses using kits from China's Jiangsu Jiulong Motor and Beijing Hengsheng Auto Technology.

"We are decisively transitioning from being an operator to a manufacturer," said Yu Minnan, General Manager of Rideence Africa. "Our goal is to build a new energy mobility company rooted in Kenya and serving Africa."

As two of Africa's largest economies, Kenya and Nigeria are leading a wave of local electric vehicle assembly, with nations aiming to reduce fuel costs, cut emissions, and build domestic manufacturing capabilities.

"This collaboration brings Kenya its first dedicated electric vehicle assembly line, clearly proving the country's capability and strength for large-scale local EV assembly," said Matt Lloyd, General Manager of AVA.

Electric vans and minibuses are central to public transport in Africa, where Japanese models like the Toyota HiAce and Nissan currently dominate the roads for both passenger and cargo transport.

The average cost to charge an electric vehicle for a 200-kilometer (123-mile) range is approximately $3, compared to over $15 for petrol to cover the same distance.

"Electric van assembly is becoming a strong market segment," said Dennis Wakaba, Secretary-General of the Kenya Electric Mobility Association. "Initially, high costs deterred operators. However, with increased local assembly scale, costs have decreased, attracting more orders."

Kenya boasts one of Africa's most dynamic electric mobility markets, with numerous startups assembling buses and vans for use in public transport and ride-hailing services. Ethiopia and South Africa have also entered this market. In Ethiopia, the Belayne Kinde Group (BKG) assembles approximately 150 minibuses monthly using Chinese components.

To make electric vehicles more affordable, companies like Rideence are adopting pay-as-you-go and lease-to-own models, allowing operators to avoid high upfront costs. The company leases taxis to drivers for about $18 per day.

Similarly, BasiGo, a Kenyan automotive manufacturer also expanding its electric bus assembly operations, requires operators to pay a deposit, followed by a fee of approximately 20 cents per kilometer (32 cents per mile) driven.

These models align with the financial realities of African transport operators, who often have limited access to credit and few can afford to purchase new vehicles outright.

"These innovative financing models reduce risk for both assembly plants and operators, helping get vehicles on the road faster. With these models, we anticipate electric vans will claim a larger share of Africa's transport system," Wakaba stated.

Despite this progress, the latest data from the African Mobility Alliance indicates there are currently only about 30,000 electric vehicles in Africa, compared to millions of fossil-fuel-powered vehicles. Last year, the entire African continent produced only 1.1 million vehicles, with 90% of production concentrated in Morocco and South Africa.

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