Speed up AfCFTA and industrialise

Zimbabwe’s Finance, Economic Development, and Investment Promotion Minister, Professor Mthuli Ncube, has underscored the urgency of advancing industrialisation and expanding Special Economic Zones (SEZs) across Africa to accelerate the implementation of the African Continental Free Trade Area (AfCFTA). Speaking at the 57th Session of the Conference of African Ministers of Finance, Planning, and Economic Development in Addis Ababa, Ncube positioned these measures as vital for unlocking the bloc’s economic potential.

Zimbabwe, which ratified the AfCFTA agreement in May 2019, is among the early adopters of the initiative designed to create a unified continental market. The pact, established in 2018, seeks to dismantle trade barriers, harmonise regulations and boost intra-African commerce, which currently lags behind other regions. With a population of 1,4-billion and a collective GDP exceeding $3,4-trillion, the AfCFTA could elevate intra-African trade by 45% by 2045 — if infrastructural and regulatory challenges are resolved.

During his address, Ncube outlined key priorities drawn from discussions with the Committee of Experts. Strengthening regional value chains in agriculture, manufacturing, and services was highlighted as a priority to reduce reliance on raw commodity exports.

“Enhancing trade infrastructure and addressing non-tariff barriers will be central to maximising value addition,” he said, pointing to the need for harmonised regulations and improved access to finance.

The outgoing conference chair echoed these sentiments, advocating for innovative financing mechanisms such as blended finance and thematic bonds to support businesses. Digital transformation was also flagged as a catalyst for growth. Ncube stressed that integrating e-commerce platforms, digital trade tools, and fintech solution into the AfCFTA framework could lower transaction costs and broaden market access.

Zimbabwe’s Automotive Sector Opportunity
Zimbabwe’s recent approval of provisional tariff concessions by the AfCFTA Secretariat positions it to begin preferential trading under the agreement. This milestone aligns with the nation’s ambitions to leverage its mineral wealth, particularly in lithium and steel, to participate in regional value chains.

A recent study by Afreximbank, the AfCFTA Secretariat, and the African Association of Automotive Manufacturers identified several Zimbabwean firms — including Chloride Zimbabwe and United Springs — as potential contributors to Africa’s automotive sector.

With global demand for electric vehicles rising, Zimbabwe’s lithium reserves, critical for battery production, could see it emerge as a hub for component manufacturing. Ncube noted that such opportunities align with broader efforts to diversify economies and reduce dependency on volatile commodity markets.

As South Africa assumes the G20 presidency, Ncube urged African leaders to seize the platform to advocate for reforms in global financial architecture. He called for inclusive frameworks to improve access to climate finance and support sustainable development goals.

“Green industrialisation must be prioritised,” he added, emphasising the potential for renewable energy investments and climate-resilient trade policies to position Africa as a leader in sustainable growth.

While progress on the AfCFTA advances, concerns linger over external trade pressures. In South Africa, automotive sector stakeholders convened at the National Union of Metalworkers’ Bargaining Conference to discuss the potential fallout from losing access to the US African Growth and Opportunity Act (AGOA). Toyota CEO Andrew Kirby warned that exclusion from AGOA could cost the company 7% of its manufacturing output, underscoring the fragility of export-dependent industries.

Lada Iskkra

Meanwhile, Russian automaker AvtoVAZ announced plans to expand into Nigeria, targeting West Africa’s largest economy with a spare parts hub in Lagos by 2025. The firm, known for its Lada vehicles, is also exploring partnerships to establish a compressed natural gas conversion plant, aligning with Nigeria’s push for alternative energy solutions. With annual vehicle demand in Nigeria estimated at 720 000 units — far outstripping local production of 14 000 — the move signals growing international interest in Africa’s underdeveloped automotive markets.

As the ministerial conference closed, Ncube urged delegates to translate dialogue into tangible policies. “Macro-economic stability, debt management, and domestic resource mobilisation are non-negotiable for building investor confidence,” he asserted, stressing the need for coordinated national and regional strategies.

The outgoing chair reinforced this call, noting, “This conference must drive concrete commitments—not just aspirations—to realise Africa’s economic transformation.” With Zimbabwe poised to commence AfCFTA trading and regional partnerships gaining momentum, the bloc’s ability to address structural hurdles will determine whether its ambitious vision translates into equitable prosperity.

As global automakers and African industries navigate shifting trade dynamics, the continent’s path to industrialisation remains a complex yet pivotal endeavour—one requiring collaboration, innovation, and an unwavering focus on sustainable growth.

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From under to on top

Eurico Stork’s journey in the transport industry began not behind the wheel, but under the bonnet. Starting as an apprentice truck technician at Hino Pietermaritzburg in 2014, he swiftly climbed the ranks, qualifying and stepping into a workshop supervisor role within two years.

But ambition had other plans. By 2019, Stork traded his wrench for entrepreneurship, launching JKK Transport with a single Hino 700 financed through Hino Financial Services.

Fast-forward five years, and the 34-year-old now helms two companies — JKK Transport and EJS Transport — with a combined fleet of 17 trucks. Thirteen are Hino models, including 11 Hino 700s acquired from his former employer, where he maintains a close partnership with New Vehicle Sales Manager Vivek Orie.

The remaining four trucks in his fleet come from rival brands, but Stork’s loyalty to Hino remains clear: all 13 Hino vehicles are serviced exclusively at Hino Pietermaritzburg, backed by extended warranties and genuine parts.

“Regular dealer servicing isn’t optional for me—it’s peace of mind,” Stork emphasised. “Downtime is the enemy in this business, so sticking to Hino’s protocols keeps my trucks running smoothly.”

Specialising in perishable goods on long-haul routes like Durban-Johannesburg and Cape Town, his tautliner-equipped fleet caters to a handful of dedicated clients. Stork credits his success to both pragmatism and mentorship. “Early on, seasoned fleet owners in Pietermaritzburg shared invaluable advice,” he noted. “That guidance, paired with prioritising maintenance and ROI, has been key.”

Beyond logistics, Stork takes pride in his role as a job creator. Since 2021, his workforce has ballooned from two employees to 25 — a figure he aims to grow further. “Starting with a technical passion and ending up here? It’s surreal,” he reflected. “But the real win is building something that sustains families.”

With Hino Pietermaritzburg still servicing his trucks and Orie managing his accounts, Stork’s story circles back to where it began—proving that sometimes, the road to growth starts with a trusted pit stop.

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Volvo Trucks expands electric footprint

Volvo Trucks South Africa has handed over two battery-electric FH 6x4 truck tractors to Vector Logistics, a key player in the country’s cold chain sector, marking a significant step in decarbonising heavy-duty transport. The vehicles form the backbone of Vector’s inaugural fully electric fleet, featuring e-axle trailers and electrified refrigeration systems designed to achieve net-zero operational emissions.

With a combined gross weight of 48,6 tonnes, the trucks boast three electric motors generating 496 kW and 2 400 Nm of torque, powered by six batteries offering 540 kW/h capacity. Adapted with a sleeper cab accommodating three seats, the models will handle local distribution in Gauteng and Cape Town. Vector has installed high-speed DC charging stations at depots, enabling a 200 km-300 km range per charge — sufficient for daily urban routes.

Waldemar Christensen, Volvo Trucks South Africa’s Managing Director, highlighted the partnership’s alignment on sustainability: “Vector’s electrification drive mirrors our commitment to innovation. Together, we’re redefining logistics for a cleaner future.”

Tailored through collaboration with Volvo, the solution addresses Vector’s specific needs, from route efficiency to battery management. Christensen emphasised the focus on “maximising uptime and productivity,” integral for cold chain operations where reliability is critical.

Eric Parry, Volvo’s Sustainable Solutions Manager, noted the trucks’ quieter performance as a boon for urban deliveries: “Imagine supermarkets or restaurants — reduced noise means fewer disruptions.” Enhanced manoeuvrability, courtesy of Volvo Dynamic Steering, and seamless power delivery in stop-start traffic further suit metro environments.

Despite South Africa’s grid challenges, Parry stressed strategic planning: “Charging can align with schedules, even during load-shedding. Returning to depots simplifies energy management, offering cost certainty.”

Vector’s drivers have undergone specialised training to optimise electric vehicle performance, with further sessions planned. The trucks match Volvo’s diesel safety standards, incorporating identical crash protections and systems.

As global carbon regulations tighten, electric fleets gain traction for enabling off-peak deliveries and accessing restricted zones. Volvo’s electric range — including FH, FM, and FMX models — cater to diverse configurations, supporting industries aiming to cut emissions.

“Environmental responsibility has always driven us,” added Christensen. “Electrifying transport isn’t just a goal — it’s our legacy.”

With this move, Vector Logistics joins a growing cohort of firms leveraging electrification to meet climate targets while enhancing urban air quality and operational efficiency. As night-time deliveries and silent running become assets, the shift signals a charged future for South African logistics.

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