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Nigeria and Kenya are at the forefront of Africa's adoption of electric vans, utilizing assembly kits imported from China.

Nigeria and Kenya are at the forefront of Africa's adoption of electric vans, utilizing assembly kits imported from China.

101 finance101 finance2026/02/17 11:18
By:101 finance

Electric Vehicle Assembly Expands Across Africa

Across Africa, companies specializing in electric mobility are ramping up local assembly of electric vans and taxis. By utilizing assembly kits from China and introducing creative financing solutions, these businesses are working to make electric public transportation more accessible throughout the continent.

In Nigeria, Saglev has started putting together 18-seat electric passenger vans using kits supplied by Dongfeng Motor Corp, a Chinese manufacturer. Based in Lagos, Saglev aims to produce as many as 2,500 vehicles annually and eventually plans to offer 17 different electric models for Nigeria and neighboring West African countries.

Olu Falaye, CEO of Saglev, described this development as a significant milestone in Nigeria’s shift toward cleaner, emission-free transportation. He emphasized that this van is the first of its kind to be assembled locally for mass transit in both Nigeria and sub-Saharan Africa.

“This achievement demonstrates that electric mobility is not only feasible in Nigeria, but also scalable and ready for widespread use,” Falaye stated.

Saglev is a partnership between Nigeria’s Stallion Group, a leading automotive distributor, and Chinese automaker Sokon Motor. The company also intends to set up solar-powered charging stations to address the challenge of reliable electricity supply, which is crucial for the adoption of electric vehicles in some African regions.

Kenya is seeing similar progress. Rideence Africa, a company backed by Chinese investors, recently entered a $2.46 million agreement with Associated Vehicle Assemblers (AVA) in Mombasa to begin assembling electric taxis and minibuses using kits from Jiangsu Joylong Automobile and Beijing Henrey Automobile Technology, both based in China.

“We are making a decisive shift from being operators to becoming manufacturers,” said Minnan Yu, managing director of Rideence Africa. “Our goal is to establish a new-energy mobility company rooted in Kenya and serving the wider African market.”

As two of Africa’s largest economies, Kenya and Nigeria are leading efforts to assemble electric vehicles locally. Their initiatives aim to lower fuel expenses, cut emissions, and strengthen domestic manufacturing capabilities.

Matt Lloyd, AVA’s managing director, highlighted the significance of their collaboration: “This partnership marks the launch of Kenya’s first dedicated electric vehicle assembly line, proving that large-scale local assembly of EVs is possible.”

Electric vans and minibuses are essential for public transportation across Africa, where Japanese models like the Toyota Hiace and Nissan vans are commonly used to move people and goods.

Charging an electric vehicle typically costs around $3 for a distance of up to 200 kilometers (about 123 miles), compared to more than $15 for the same journey using gasoline.

Dennis Wakaba, secretary-general of the Electric Mobility Association of Kenya, noted, “The assembly of electric vans is becoming a strong market segment. Previously, high costs discouraged operators, but as local assembly increases, prices have dropped and demand is rising.”

Innovative Financing and Market Growth

Kenya stands out as one of Africa’s most active markets for electric mobility, with startups assembling and deploying electric buses and vans for both public transport and ride-hailing services. Ethiopia and South Africa are also entering the sector. In Ethiopia, Belayneh Kinde Group (BKG) assembles about 150 minibuses each month using Chinese-sourced parts.

To make electric vehicles more affordable, companies like Rideence are offering flexible payment options such as pay-as-you-drive and lease-to-own, allowing drivers to avoid large upfront costs. For example, Rideence leases its taxis to drivers for approximately $18 per day.

BasiGo-Kenya Vehicle Manufacturer, which is also expanding into electric van assembly, asks operators to pay a deposit and then about 20 U.S. cents per kilometer (32 cents per mile) driven.

These financing strategies align with the financial realities faced by many African transport operators, who often have limited access to credit and cannot afford to buy new vehicles outright.

“Such innovative financing models reduce risks for both manufacturers and operators, helping to get more vehicles on the road quickly. With these approaches, we expect electric vans to capture a larger share of Africa’s transportation sector,” Wakaba explained.

Current Landscape and Future Prospects

Despite these advancements, electric vehicles remain rare in Africa, with only about 30,000 on the continent compared to millions of gasoline and diesel-powered vehicles, according to the Africa Mobility Alliance. Last year, Africa produced just 1.1 million vehicles in total, with 90% manufactured in Morocco and South Africa.

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