Cars

The first “Made in Rwanda” Volkswagen is out of the factory

The Kigali assembly plant of the largest European manufacturer, Volkswagen, has started production of its vehicles this Wednesday, June 27. Several models will be assembled on this site with an initial target of 5000 vehicles per year that the manufacturer intended for the modest local Rwandan market by focusing on several urban mobility solutions. In the medium and long term, Volkswagen is targeting the regional market with other sites under construction in neighboring countries.


The first vehicle “Made in Rwanda“, assembled in Kigali, is out of production this Wednesday, June 27, 2018. For the country, it is a big step in the strategy of industrialization and diversification of its economy and especially an alternative the export of second-hand vehicles and this explains the great satisfaction of the authorities, especially President Paul Kagame, who wanted to mark this ” historic moment ” with his presence. The Head of State was delighted to see German vehicles now produced in his country, “a pride for Africa”.

“Africa does not have to be a dump for second-hand or used cars. In the long run, you end up paying a higher price anyway if you pay for a used car, so why not pay for a new vehicle. It’s a simple choice: Africans, Rwandans, we deserve better! This is a way for us to show that we can afford it and it is for these and other reasons that this promising partnership with Volkswagen is off to a good start, “President Kagame exclaimed at the launch of Volkswagen Mobility Solution. from Kigali.

Europe’s largest carmaker, Volkswagen, is behind the car assembly plant project in Rwanda, the first of its kind in East Africa, a region in which the German automaker is expanding gradually his presence. The plant, which was originally scheduled to start in May, required a $ 20 million investment and will create nearly 1,000 jobs. Production started with “Polo” brand vehicles, but later, and according to the evolution of demand, the manufacturer plans to expand its catalog with other models including Passat, Tiguan, Amarok and Teramont. According to Thomas Schaefer, Volkswagen’s regional director based in South Africa, for this first phase, the site targets an annual production of 5,000 cars.

Solutions for urban mobility

With 200,000 vehicles registered in the country over the last twenty years according to official figures and a population of 12 million, Rwanda is a modest market for the automotive industry. However, in addition to selling vehicles for proposals to public institutions and companies, Volkswagen also offers urban mobility solutions through its Volkswagen Mobility Solution in Kigali . It is a car-sharing system of the ” Uber ” type as well as a community car-sharing service intended mainly for companies in Kigali. The German manufacturer who has partnered with other partners, like the distributor CFAO, also plans to launch a carpooling offer within a few months.

Thus, Volkswagen is positioned on a niche still virgin competition and offers opportunities in view of the digital ecosystem and the use of smartphones in the country. Especially since the builder has plans throughout the region of East Africa.

The global manufacturer already has a plant in Kenya and is gradually deploying its strategy of African expansion through a true integration of its activities on the value chain. The Kigali assembly plant will, for example, be supplied with components shipped from South Africa via Kenya.

Culled from La Afrique Tribune

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24 Comments

    1. Hi,Kanyemba ,how are you? I would like to remind you abraptly for our business lunch in Rwanda, known as century trade .Tomorrow the 15th,Oct,2019, so you are most welcome for the even

      1. Hi,Luis,how are you ,I am Erick Omara from Uganda ,doing century trade business,I would like to invite you for a launch of the business in your country tomorrow ,15th,Oct,2019,my number +2560787580338

  1. Rwanda is actually blooming with the satelite already in orbit and second awaiting its launch. My home country president Mnangagwa is failing to look at some develomental dynamic changes of Rwanda and implement some huge industrialisation idwas that will get Zim into world class countries. Oh let the youth born into a world of technology bring in their fresh ideas on board on how to develop the coubtry eith technology.

  2. African loves foreign investment, or anything foreign than originality. Throughout the continent, there are individuals who have shown great propensities to produce original transportation machinery that needs support within the continent. Katanga https://kantankaautomobile.com/ and many more cry for help and support from anywhere in Africa but to no avail. It’s a step forward for Rwanda and Europe care manufacturing presence in African. While it’s remarkable, the real pride comes from Africans coming together and supporting their own original ideas and effort. In the main time, congratulations on Rwanda and their visionary leader President Paul Kangame.

    1. I agree with your sentiments Wholeheartedly. Being proud to import and thereby expand non-African companies by giving easy access to your markets is short-sighted leadership. The ONLY saving grace is once African workers learn as much as possible they start their own!

  3. Made in Rwanda should read Assembled in Rwanda.

    The Japanese perfected this market many years ago. Sold you their cars in crates, used your cheap assembly labor and probably got you to restrict other car imports as part of the bargain.

    With East African Community, it will be interesting to see how this fairs.

  4. I am a Rwandan. So proud of our President PK. He did so many great things to the Rwandans and even Africans. Mara phone brands now are also manufactured fully in Rda

    1. Rwanda is an example of a country that is foward matching and devoid of imperialistic hangovers.Match on Kigali!

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  8. MORE like assembled in Rwanda.
    And frankly I do NOT see local demand of the 5000 vehicles in the nation!

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