Rwanda (Commonwealth) _ Dongfeng, a famous Chinese automaker, is considering establishing a car assembly factory in Rwanda in order to increase its regional reach.
John Mugabo, Managing Director of Choice Africa Investments and a member of Carcarbaba, the official Dongfeng dealer in Rwanda, revealed the possibilities.
If demand for Dongfeng vehicles rises to 200-300 units per year, the assembly factory would be relocated to Rwanda, he said, emphasizing that the company is now approaching the 200-unit mark. Trucks, SUVs, construction vehicles, military vehicles, and other vehicles are available from Dongfeng.
It is one of China’s largest automobile manufacturers, with a wide business portfolio that includes commercial vehicles As the production of our automobiles rises to 200 and 300 units per year, the assembly factory will be relocated to Rwanda, he added, stressing that the firm is now reaching the 200-unit threshold.
Dongfeng’s vehicle lineup includes trucks, SUVs, construction vehicles, military vehicles, and more. It is one of China’s major car firms, having a diverse business portfolio that includes commercial vehicles, passenger vehicles, and auto parts.
It is one of China’s major car companies, with a diverse product and service portfolio that includes commercial vehicles, passenger vehicles, auto assembly, parts and components, machines, and associated goods and services. Mugabo emphasized Rwanda’s favorable economic circumstances while explaining why the nation was chosen for the assembling factory.
There is no corruption and everything is in order. He stated that the corporation intends to grow into neighboring nations such as the Democratic Republic of the Congo and Burundi, with Rwanda serving as the base for automotive manufacture.
He said, “We want to provide good products, good quality, and good prices.” Rwanda’s ability to attract Foreign Direct Investment (FDI) is growing. According to the 2022 Foreign Private Capital (FPC) census report, the country drew $399.3 million in 2021, a significant 45.7 percent rise over the $274.1 million recorded in 2020.
The impressive increase in FDI may be ascribed to favorable investment circumstances and the use of both loan and equity instruments, which resulted in an 8.5% increase in FDI stocks, which reached $2.9 billion.
Despite the impact of the epidemic, Rwanda’s return on investment (ROI) climbed to 11.8 percent in 2021 from 9.7 percent in 2020, placing it significantly above the world average. If Dongfeng’s facility is built, it will not be the first in Rwanda, since Volkswagen began building electric vehicles in the nation in 2017.
In 2022, Dongfeng Motor Corporation sold 2.92 million automobiles, placing it among the top three in China’s automotive sector and 188th in the Fortune Global 500. Their goods are offered in over 100 countries throughout the world.
Tailing Electric Vehicle, a Chinese corporation, has opened a motorbike and tricycle assembly facility in Rwanda in an effort to reduce global emissions and develop a green economy. The assembly factory, which is located in the Gahanga industrial zone, Gahanga sector, Kicukiro district, has begun assembling, marketing, and servicing new energy electric cars.
Electric bikes, scooters, and tricycles are among the company’s offerings. Unlike fuel-powered cars, the electric vehicles produced by our firm run on 100 percent electric motors which require a continual supply of energy from batteries, according to Tiger Hoo, the company’s managing director.
He stated that the goal is for Rwandans to be able to transition to a sustainable, clean, and efficient transportation system that is both economical and cost effective.
According to him, electric cars would help Rwanda’s government establish a green transportation system and achieve zero emissions in its transportation sector. Because the electric cars are created with Rwanda’s topography in mind, our goods will improve Rwandans’ transportation needs, according to Hoo.
He stated that the corporation has already established showrooms and manufacturing factories in African nations such as South Africa, Egypt, Kenya, Tanzania, and Rwanda.
