China's GAC Group to establish electric vehicle factory in Ethiopia

China's Guangzhou Automobile Group (GAC Group), the third-largest carmaker in the world, has begun discussions with Ethiopian officials regarding the viability of EV production in Ethiopia.

GAC Group Chairman Feng Xingya and his entourage met with Alemu Sime (PhD), Ethiopia's Minister of Transport and Logistics, at a high-level gathering in Addis Ababa on Monday.

The start of what may be an industrial alliance was marked by the two parties' exploration of possible areas of cooperation in technology investment and green car manufacture.

Ethiopia's commitment to accelerate electric vehicle adoption

The conversation is in line with Ethiopia's growing goal of being Africa's centre for electric vehicles.

In a daring policy change that creates opportunities for mass production and assembly, the government has already prohibited the importation of fossil fuel-powered automobiles, permitting only electric vehicles to enter the nation.

The commitment of the government extends beyond regulation. Bareo Hassen, the State Minister of Transport and Logistics, declared during a recent launch ceremony that Ethiopia will provide EV suppliers and investors with all-encompassing support. This entails establishing EV charging infrastructure across the country and easing land access and customs clearance.

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New electric vehicles model

A new EV model is being introduced by Huajian Industry, which has made investments in Ethiopia's manufacturing industry in the past.

It is anticipated that the initiative will allow the business to provide goods to GAC Group, further indicating possible industry cooperation.

Bareo said during the event that the presence of these businesses improves Ethiopia-China trade ties. He underlined that the government would keep fostering the development of the EV industry, particularly by extending the building of EV charging stations around the nation.

The Minister emphasised the significance of coordinating innovation with regional demands by stating that "products introduced to the market are suitable for our climate.”

Ethiopia is also developing extensive infrastructure to accommodate the increasing number of electric vehicles.

Major cities and highways are seeing the building of charging stations, setting the stage for a cutting-edge, environmentally friendly transportation network.

China plans to establish electric vehicle factory in Nigeria

In related news, China intends to build EV factories and other manufacturing ventures in Nigeria in an attempt to strengthen economic relations between the two countries.

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Segun Tomori, Special Assistant on Media to Minister of Solid Minerals Development Dr. Dele Alake, made this revelation in a statement on Sunday.

Tomori claims that the plans were discussed at a recent bilateral meeting between Yu Dunhai, the Chinese ambassador to Nigeria, and Minister Alake.

Stronger cooperation between China and Nigeria, especially in the solid minerals sector, was emphasised by the Chinese envoy, according to the statement. He further stated that the planned construction of EV factories would be a big step in promoting local value addition and releasing Nigeria's mineral potential.

Additionally, according to Tomori, Ambassador Dunhai conveyed China's support for Africa's industrialisation, which is a fundamental component of Chinese President Xi Jinping's foreign policy agenda. During Tinubu's state visit to China, he mentioned recent high-level meetings between Presidents Bola Tinubu and Xi Jinping with the goal of developing bilateral ties into a comprehensive strategic partnership.

“Chinese companies are already significantly involved in Nigeria’s mining sector, from exploration to processing,” the ambassador was quoted as saying. “We aim to deepen this collaboration, especially in line with President Tinubu’s eight-point agenda, which includes economic diversification through the development of solid minerals.”

Oluwatosin Adeyemi

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