AAA and VDA agreement set to boost Africa’s automotive industry

By Tatenda Sanyahawa

The just signed co-operation agreement between Association of African Automotive Manufacturers (AAAM) and German Association of Automotive Industry (VDA) is expected to bring fortunes to the Continent’s Car Manufacturing industry, says AAAM President, Davey Coffey.

In an interview, recorded on the AAAM’s website, Mr Coffey said that the December 2020 signing between these Associations will benefit Africa as the giant European Association would bring much needed expertise to Africa.

“VDA will share expertise from European experience with employees and players in the Automotive value chain in various priority countries.” said Mr Coffey in an interview carried out last week

“The demand for certain technologies or specialist knowledge will flow into the training for example in the case of alternative drive technologies” added Mr Coffey after having said that he projected that the continent would produce approximately 5 million units inclusive commercial and passenger vehicles by the year 2035 up from 1.1 million recorded in 2019 owing to the ‘”specialist knowledge” that is bound to grace the industry.

The immediate benefiaries on this initiative are the already existing Pan African Automotive Manufacturers like Birkin Cars ( South Africa),Innoson Motors ( Nigeria),Kantanka Cars (Ghana),Kiira Motor Corporation (Uganda),Laraki ( Morocco),Mobius Motors ( Kenya) or the Wallscar Company of Tunisia.

The African Association of Automotive Manufacturers was formed in 2015 with the aim to spur growth in the industry after realizing that 80 percent of vehicles sold in Africa are imported.

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