China’s Joylong targets electric van assembly in Africa

From the newsletter 

Chinese light-duty commercial van manufacturer Jiangsu Joylong Automobile has announced plans to assemble electric vans in Africa. Joylong’s electric vans are gaining traction in Africa, especially in Kenya where dozens of units have been deployed by several public transport operators. The company makes electric vans for both passenger use and cargo delivery. 

• Vans are the most common vehicles for mass transport in Africa, with millions of vans, mainly diesel-powered, plying the continent's roads. But electric vans are emerging as a viable alternative, offering lower operation costs. 

• With proven demand for electric vans, Joylong is targeting to assemble them on the continent to lower prices. Local assembly enables the company to cut on import taxes and shipping costs, which could translate to lower prices of fully-built vans if production is scaled. 

More details

• It is unclear so far whether Joylong will assemble the vans in Africa on its own or in partnership with other partners. The latter is more likely, which would enable it to utilize the expertise of already existing players. For example, Joylong recently partnered with Kenyan startup BasiGo, which assembled its 16-seater and 19-seater electric vans in Kenya. The vans have been deployed for inter-city travel. 

• “We have already achieved several mass deliveries of EV in East Africa, and this year we will be assembling EVs in Africa, sharing technology and driving the electrification of vehicles in Africa,” said Joylong’s Regional Manager Cheng Chang. 

• While the most common type of vans in Africa is those with a capacity of 14 passengers, smaller vans carry only seven passengers, while larger vans can carry as much as 19 passengers. The majority of vans are used for intra-city travel, but a growing number are being deployed for inter-city travel. 

• Vans are also widely used for cargo transport in AfricaIn cities like Nairobi, Lagos, Johannesburg, and Accra, vans, often panel vans or minibuses converted for goods, are heavily used for last-mile delivery of fast-moving consumer goods (FMCGs), e-commerce parcels, medical supplies, and spare parts. Common choices include Toyota Hiace, Nissan NV350, Ford Transit, Mercedes-Benz Sprinter, Renault Master, and Chinese brands like DFSK and Foton. 

• While they are growing in popularity, high prices of electric vans remain a challenge for buyers. This is why dealers are offering Pay-As-You-Go (PAYG) models for buyers as well as partnering with financiers for lending. Further, the lack of sufficient fast charging stations along major transport routes in the majority of African countries is a turn-off for mass transport operators as any time they spend charging is money lost.  

• Going forward, favourable policies by African countries will play a pivotal role in accelerating the adoption of clean mass transport solutions such as electric vans and buses. For example, Ethiopia’s 2024 ban on the importation of fuel vehicles has seen a major jump in the adoption of EVs, including for mass transit. Lower taxes and a favourable economic environment will facilitate increased investment in local assembly. 

Our take

• If Joylong follows through with African assembly — either independently or with partners like BasiGo — the lower import duties and logistics costs will make electric vans more affordable, especially for fleet operators.

• Instead of going solo, Joylong would be better off expanding collaborations with startups and established assemblers across Africa, creating joint ventures that combine Chinese tech with African market know-how.

• Countries that follow Ethiopia’s lead with tax breaks, import restrictions on fuel vehicles, or EV incentives will become hotspots for investment and deployment, while others with weak EV policies may lag, slowing continent-wide electrification.