Africa auto industry revs up

Multinational automotive
companies are “showing
great interest in the
African auto industry,
with announced greenfield
capital expenditure into the
industry amounting to $3.1
billion in 2015,” according
to the latest Unctad Global
Investment Trends Monitor
(GIPA).
South Africa is facing
competition. “Investment
into Africa’s auto industry
is driven by industrial
policies in countries such
as Morocco, growing
urban consumer markets,
improved infrastructure,
and favourable trade
agreements,” it says.
Investments listed include
PSA Peugeot Citroen and
Renault (France) and Ford
(United States) who have all
announced investments in
Morocco; Volkswagen and
BMW (Germany) in South
Africa; Honda (Japan) in
Nigeria; Toyota (Japan) in
Kenya; and Nissan (Japan)
in Egypt.