Rwanda benefits as Nigeria struggles with auto policy



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By Theodore Opara

As the Nigerian government does not take its car policy seriously, other African countries are taking the bull by the horns, dangling carrots in front of world-clbad car manufacturers. Some of the auto companies that originally wanted to make Nigeria their base in Africa are looking at other African countries that give them a more conducive environment to set up factories and produce modern automobiles rather than depend on imported used cars. from Europe and America. The Volkswagen Group has opened a plant in Kigali, Rwanda to produce state-of-the-art automobiles.

The Volkswagen brand that extends its commitment to Africa has recently launched its integrated mobility solutions in Rwanda that include local vehicle badembly and innovative mobility. services and sales point of sale and service CFAO Volkswagen Rwanda. Thomas Schäfer, CEO of Volkswagen Group South Africa and responsible for the sub-Saharan region, officially launched the project in the capital Kigali in the presence of His Excellency Paul Kagame, President of the Republic of Rwanda. Volkswagen thus takes a new step towards the development of new emerging markets. In a long-term perspective, the brand intends to play a leading role in the emerging automotive industry in Africa. With this commitment, Volkswagen makes a substantial contribution to Africa's economic development.

Thomas Schäfer said: "Rwanda has great potential.The country is young, modern and eager for individual mobility.With a package specifically tailored to the region and including the production of local vehicles, the activity of new vehicles and innovative mobility services, we intend to exploit growth opportunities and create new opportunities Rwanda can become a model for other African and emerging markets. "

At the center of the project are Car and attraction sharing offers that support individual mobility to a larger share of the population. The project starts with the sharing of community cars mainly aimed at businesses in the capital, Kigali. A trucking service will follow later this year. Other mobility services are planned for 2019. Rwanda is the ideal market for new mobility solutions because people are very digital and very technologically savvy. In addition, the demand for mobility is increasing and current offers can hardly keep pace with these needs.

On the production side, the local badembly of the latest generation Polo and Pbadat will now start with other models planned for the future. Initially, it is planned to build up to 1,000 vehicles per year depending on the demand and success of the mobility fleet, with an annual production capacity of up to 5,000 units. The badembly is flexibly designed and can be expanded if necessary. The Volkswagen Rwanda CFAO sales and service center is part of the same complex and guarantees a complete customer service. Volkswagen to spend about US $ 20 million in Rwanda for the first phase

Sub-Saharan Strategy: Presence in Future Growth Markets

Volkswagen also pursues its sub-Saharan strategy with the start of production operations and market activities in Rwanda . The brand will significantly expand its engagement in Africa and its long-term goal is to play a leading role in the emerging automotive industry in Africa. To this end, the brand will establish several pillars in the region and will continue to expand rapidly and flexibly in the coming years. This will lay the groundwork for participation in the future growth of the region. In addition to Rwanda, Volkswagen is already active in South Africa, Nigeria, Kenya and Algeria. As part of its TRANSFORM 2025+ brand strategy, Volkswagen is strengthening the regions and focusing on new emerging markets. Along with North and South America and China, the sub-Saharan region is playing an increasingly important role. Although the African car market is relatively small today, the region could become a future automotive growth market.

Thomas Schäfer commented: "Volkswagen is one of the pioneers in Africa.Over more than 60 years ago, Volkswagen established its first factory outside of Germany in South Africa and we are now the first in the sub-Saharan region, there are obviously challenges, but there are also great possibilities, starting with several smaller operations, we can learn and react flexibly to developments. , we believe in Africa. "

His Excellency Paul Kagame, President of the Republic of Rwanda said:" Africa does not need to be a dump for the second-hand cars, or anything else.In the long run, you end up paying a higher price anyway.If you can pay a high price for a second hand, why not not pay a high price for something new? It's a simple choice. Africans, R wandais, we deserve better. It's a way to show how we can afford it. For these reasons and others, this promising partnership with Volkswagen is on a good start. "

Contribution to the Economic Development of Africa

Volkswagen not only seeks commercial success in Rwanda, but also intends to make a lasting contribution to the economic development in the region. the brand creates up to 1,000 new skilled jobs and sets up a training and qualification center with other German companies.The employees working in the badembly plant have been trained qualified Volkswagen instructors in Kenya and are ready to start production Mobility drivers will soon be recruited and trained by Volkswagen and specialists in this field, and Volkswagen is working with local partners and suppliers to The application for digital mobility services was developed by a start-up based in Kigali.

Like Thomas Schäfe He explained: "Rwanda and Africa are much more than a mere market for us. We see ourselves as part of the African society and wish to be a good reliable partner for people here – as in all Volkswagen sites around the world. "

German Federal Minister Gerd Müller said: Rwanda is the kind of activity we would like to see copied by other German companies.We want many others to start new businesses In Africa, Volkswagen has brought good ideas and a generous dose of pioneering spirit to this project and, together with its German and Rwandan partners, is developing a sustainable mobility concept for the future of Rwanda. "

"We are pleased to support this cooperation project – these companies are making a direct contribution to sustainable economic development – and that is very much in keeping with the idea of ​​our Marshall Plan with Africa. Rwandans and other countries to have an attractive future in their own country, it is to offer them quality training and good jobs wherever they are, "added Minister Müller

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