Chinese EV maker to open manufacturing plant in Kenya

Kenya is set to establish its first electric vehicle manufacturing plant, utilizing Chinese technology as well as aiming to promote green transportation across East Africa.

The opening of Chinese EV maker Neta's flagship showroom in the capital Nairobi on Wednesday marked a significant milestone. Eric Lumallas, assistant to the CEO of Moja EV Kenya, the exclusive distributor of Neta cars in Africa, said at the opening ceremony that local assembly of Neta cars is scheduled to commence in the next two months.

The company has also cooperated with local partners to ensure nationwide vehicle servicing, Lumallas said.

"We are in discussion with commercial banks to offer financial support to our customers," he said, adding that the cars are retailing at $34,969.

Each car includes two chargers: one for home installation and an emergency charger for on-the-go use, he said. They take 15 to 20 minutes to be fully charged.

Joy Wanyonyi, head of business development at Kenyan automobile company Associated Vehicle Assemblers, said local manufacturing of the vehicles will provide job opportunities for Kenyans while facilitating technology transfer and sectoral growth.

Neta is planning to assemble 250 vehicles per month, and the market uptake is expected to be good, Wanyonyi said. She also commended government efforts to revise policies to enhance the EV market's viability.

"If the proposed national locomotive policy is implemented and specifically reducing taxes on electric vehicles, then we will sell more at a better price," she said.

Wang Aiping, chief executive of Moja EV Kenya, said opening the showroom in Nairobi marks the beginning of a new chapter in Kenya's automotive industry.

Greener future

"Our journey to this grand opening has been fueled by a commitment to excellence, sustainability and the vision of a greener present and future for Kenya," Wang said.

The world is rapidly shifting toward sustainable energy solutions, Wang said, and EVs are at the forefront of the revolution.

"By choosing electric vehicles, we are not just adopting a new mode of transportation; we are contributing to a cleaner and healthier environment for us, our children and future generations."

Sun Guang, assistant vice-president and executive of overseas business division of Neta, said that although Kenya has about 30,000 taxis, the proportion of EVs remains extremely low, with only 100 secondhand electric cars in operation.

"This indicates significant untapped potential in the country's electric vehicle market," Sun said.

Currently, Neta offers its Neta V model in Kenya, with plans to introduce others such as the Neta Aya and Neta X, he said.

With increasing global demand for clean energy and sustainable transportation, he said Kenya and other developing countries are poised to gain dual economic and environmental benefits by promoting EVs.

China leads globally in renewable energy cars. Last year, the country produced 9.5 million such vehicles, accounting for nearly one-third of the world's total and marking its ninth consecutive year as the largest producer, according to China Association of Automobile Manufacturers.