Africa’s EV and hybrids production capacity hits 720,000

From the newsletter

South Africa has the largest EV production capacity in Africa, with nearly 200,000 units per year, according to the Mobility Rising production database. This accounts for over 25% of the continent’s current annual EV and hybrid assembly capacity. The country benefits from a well-established auto industry, already home to manufacturers such as BMW, VW and Ford.

• Africa has the potential to produce over 520,000 pure electric cars and motorcycles annually, based on the capacity of completed plants, those under construction, and newly announced projects.

• One of the most significant announcements this month came from Japanese firm Sumitomo Electric. The company inaugurated a $25-million electric vehicle wiring production plant in Egypt, with operations set to begin in November.

More details

• Africa’s EV manufacturing capacity is expanding steadily, with EV-only car plants producing 223,500 units annually and hybrid EV-ICE car plants contributing an additional 421,500 units. This signals a growing commitment to electric mobility.

• Electric motorcycle production surpassed electric-only car output, with over 290,000 units produced annually across the continent. The surge reflects strong demand for affordable, efficient two- and three-wheelers, particularly in urban centres and low-income transport markets.

• East Africa leads in regional capacity, hosting 16 of the continent’s 31 pure-EV plants spread across five key countries. North Africa follows with nine facilities, while West Africa has four and southern Africa just two. The total capacity of manufacturing plants with both EV and hybrid assembly lines surpasses 720,000 units.

• A total of 13 African countries have initiated EV production efforts, as tracked by Mobility Rising. South Africa leads in southern Africa; Morocco, Algeria and Egypt are advancing North Africa’s position; Benin, Togo and Nigeria represent West Africa’s emerging players; and Ethiopia, Kenya, Rwanda, Tanzania, and Uganda dominate East Africa.

• In terms of national production capacity, South Africa leads with approximately 200,000 units, followed by Kenya (130,000), Egypt (123,000), Uganda (115,000), and Nigeria (112,500). These five countries collectively account for the bulk of Africa’s EV capacity and benefit from supportive industrial policies such as lower CKD import duties and access to Special Economic Zones (SEZs). However, it has to be emphasised this includes capacity that has only been announced or is under construction, not just existing facilities.   

• North and southern Africa, while having fewer facilities, boast high per-plant capacity, driven by investment from global original equipment manufacturers (OEMs). These large-scale factories are geared towards producing electric cars and commercial vehicles for both domestic sales and export.

• Africa’s EV battery production capacity is growing fast, but all the major plants are being established in Morocco. For instance, Chinese battery manufacturer Gotion High Tech is set to start construction of the company’s gigafactory at Kenitra in Morocco. The first phase, valued at $1.3 billion, will deliver 20GW in battery capacity. 

Our take

• Unstable and opaque policies in many African countries are slowing EV production. While some governments initially offer favourable terms, they often reverse course, making the environment unpredictable for investors and operators. This has led to several announced projects stalling or being abandoned.

• Other governments can learn from Egypt’s proactive approach to EV policy implementation. Egypt has moved quickly to support local manufacturing, introduced clear guidelines for charging infrastructure, and established industry standards. This level of coordination and clarity has created an attractive environment for investors and manufacturers.

• Africa still depends heavily on EV imports, yet countries like Morocco offer a major advantage with low manufacturing labour costs. This opportunity can be harnessed to produce affordable, high-quality EVs tailored to African needs. If built to withstand local terrain, such vehicles would not only boost adoption at home but may also thrive in international markets.