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Volkswagen says Africa needs better auto policies to stimulate production

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Volkswagen says Africa needs better auto policies to stimulate production

“There is a headquarters support to diversify because if China goes off, we are in trouble,” says Biene, who also heads the brand’s African operations. The company said in March that its total number of vehicles delivered in 2022 declined by 7%, due in part to Chinese supply disruptions. “With Africa’s huge potential, we want to be there.”

The company to date has managed a robust African presence only in South Africa, where it has operated for more than 70 years from Kariega in the Eastern Cape. In the last five years, it has increased investments on the continent, picking Ghana and Kenya as its West and East Africa hubs, but activity in these markets is limited to assembling.   

“We need [demand of] 15,000 vehicles of a single model a year, below that, it doesn’t make sense to talk [about manufacturing]. All these countries together, we are not anywhere near this 15,000 so we need a

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