The IKEA of EVs signs deal for Ghana entry

From the newsletter

UK-based electric mobility startup OX Delivers has signed a deal with Ghana’s Wahu Mobility that will see it enter the West African market. OX makes electric trucks while Wahu assembles electric motorcycles. In a statement, the UK company said the two firms will partner on manufacturing, technology development, and exploring the use of EVs for agriculture. 

• OX makes electric trucks specifically designed to handle the rough, unpaved roads common in rural Africa. The company does flat-pack shipping most commonly associated with Swedish furniture giant IKEA to lower assembly costs. 

• Millions of traders in Africa incur huge costs to transport goods to markets due to high fuel costs. EV, especially electric motorcycles and tri-cycles, are becoming popular among traders by helping reduce these costs.  

More details

• Wahu Mobility revealed that its partnership with OX was the start of its diversification strategy. Wahu is one of Ghana’s top EV companies and designs, manufactures, and sells locally made electric bikes targeting delivery drivers and commuters. The company offers flexible ride-to-own payment plans, making vehicle ownership accessible for gig economy workers, and integrates with platforms like Bolt and Glovo.

• “From tech development to local assembly of electric vehicles, this collaboration opens up exciting possibilities, especially in agriculture and rural logistics. We’re expanding our product offering beyond two-wheelers and doubling down on cargo and transport-as-a-service to bridge Africa’s connectivity gap. OX’s flat-packed eTruck and proven model in Rwanda are a perfect fit for our mission. Now, we’re bringing that innovation to Ghana and beyond,” said the company.  

• The Ghana deal comes nearly a year after the company signed a $163 million deal to establish its first franchise partner in East Africa. The agreement included the deployment of OX Delivers’ all-electric truck fleet, along with access to its proprietary technology platform and vehicle maintenance services. The franchise partner, OX East Africa, was tasked with building on the company’s existing success in Rwanda and expanding to neighboring countries like Uganda, Kenya, Tanzania, and Burundi.

• Heavy-duty trucks are mainly used by major companies in Africa to move goods. The heavy-duty truck market in Africa was estimated at approximately $2.73 billion in 2025 and is projected to grow to $3.39 billion by 2030. However, smaller businesses and traders use cheaper options like pick-up trucks. Companies like OX want to disrupt this segment with cheaper, stripped down, easy-to-make electric trucks.

• OX for example claims that using its electric trucks is 10 times cheaper than alternative means of transport. Such cost savings can be huge in Africa, where small businesses operate on tight margins. The company says it has already reached more than 5,000 customers in Rwanda since its debut in the market in 2021. 

• An advantage that OX currently has is that it has little to no competitors in its market segment. Existing electric trucks, mainly imported from countries like China and Japan, are costly and beyond the reach of the majority of small traders. Further, its flat-pack model of shipment means the trucks can be assembled quickly in Africa with minimal capital investments. This helps the company keep prices down. 

Our take

• The Ghana deal is a significant step for OX Delivers' West African market entry. Should the partnership succeed, it will likely serve as a blueprint for further expansion into other countries in the region, replicating the model from Rwanda. 

• The partnership's focus on manufacturing and local assembly suggests that OX Delivers will leverage Wahu's local expertise and production line to assemble its trucks in Ghana. But for this to succeed, prices of the electric trucks must be reasonable in order to penetrate the competitive Ghanaian market. 

• The two companies should combine their expertise to rapidly scale OX's successful per-kilogram, per-kilometer service model, making it accessible to a wider network of small businesses and farmers in Ghana.