Home market still a dream for African carmakers

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Since its launch in 2014, Mobius Motors, Kenya's only home-grown automaker,...

NAIROBI - Since its launch in 2014, Mobius Motors, Kenya’s only home-grown automaker, has only produced around 50 test vehicles.

As global car giants, including Japan’s Toyota and Germany’s Volkswagen have stepped up efforts to tap the vast market, local players including Kiira Motors of Uganda, Ghana’s Kantanka and Nigeria-based Innoson Motors, are also making a push. He first dreamt of building a car in Africa for African drivers a decade ago when he traveled across Kenya for his job with a forestry company.

“A large chunk of the money is going into production operations but equally there is a lot of investment in the research and development of the vehicle itself,” he said. Rodney Muhumuza, Kiira’s business development manager, said while the company was benefiting from state support, it would require private equity at some point. The biggest challenges at the moment, however, are policy-related, he said.

 

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