African Currents

How New African Auto Brand is Pushing Continent's Automotive Renaissance

The automotive sector in Africa is experiencing significant growth, fueled by local manufacturing and strategic resource management. This transformation, driven by innovative practices and the utilization of abundant natural resources, is setting the stage for Africa to become a major force in the global automotive industry.
Sputnik
African governments offer incentives to stimulate local manufacturing. However, businesses are responsible for leveraging these resources. Rather than blaming the government for insufficient action, producers of high-value goods should capitalize on economic opportunities within their business environments, says Tatenda Mungofa, the CEO and Innovation, Design & Manufacturing Executive of Mureza Auto Company, South Africa, in an interview with African Currents.

“In South Africa, the government has got quite a lot of incentives, which I think is a very good and obvious step to encourage us as a local manufacturer. Maybe they are catering to bigger OEMs [Original Equipment Manufacturers] that are already established, and they just need to tone down on some of the expectations to meet the requirements of a medium enterprise company or a smaller entity emerging from Africa. But over and above that, the supplier development anchor that they have got in South Africa is quite critical to establishing a manufacturing business like ours. I think the onus is on the manufacturing company to work within what the governments have provided in terms of incentives, in terms of access to a market locally because every country already has some kind of initiative to buy locally,” Mungofa explains.

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