Afreximbank’s renewed partnership with the African Association of Automotive Manufacturers (AAAM) signals a sharp focus on building out Africa’s automotive sector from the inside. They made it official during the recent Intra-African Trade Fair 2025 in Algiers and inked the deal with signatures from Dr Gainmore Zanamwe (Director of Trade Facilitation, Afreximbank) and Ms Martina Biene (President, AAAM).
At its core, the MoU leans on three business pillars: regional value chains, accessible financing and building the right policy environment and skillsets. Dr Zanamwe said Afreximbank is all-in on helping Africa’s auto industry evolve from a patchwork of importers to a real producer. In practical terms? Investing in local manufacturing, creating jobs and reducing the continent’s over-reliance on used car imports.
Biene made it clear—this isn’t just about funding. The sector needs targeted upskilling, better logistics and modern infrastructure. All these pieces need to move together or ambition falls flat. With Afreximbank’s reach and AAAM’s vision, the goal is a continentwide network: connecting suppliers, manufacturers and finance tools so African carmakers stop playing catch-up.
This updated partnership doesn’t stand alone. Coordination with big players—the AU, AfCFTA, ARSO, and others—should streamline standards, upskill the workforce and keep blended capital flowing in. Biene says that, with focus, Africa could be producing at least 3,5–5-million vehicles annually by 2035. Projections like that mean more jobs, stronger local supply chains, and a shot at real industrial gains, not just incremental change.
The numbers at IATF2025 back up the momentum: 112 000 visitors, 2 148 exhibitors from 132 countries, and trade deals totaling $48,3-billion across just seven days. The Africa Automotive Show was a highlight, showcasing not just potential but actionable paths for how the industry could scale up fast.
While the broad terminology ‘automotive’ tends to have its focus on cars, there is a shift in the trucking industry with the show highlighting broad interest from truck manufacturers and, in deed, a new focus on the commercial vehicle sector is emerging as a key topic within Africa’s automotive industry. This follows insights shared by Ezra Mereng, the director of GF Vehicle Assemblers in Tanzania, at the recent Africa Automotive Show held as part of the Intra Africa Trade Fair in Algiers, Algeria.
Mereng detailed the establishment of his multi-brand assembly plant in Dar es Salaam, which began operations during the Covid-19 pandemic. The facility was established to move beyond simple importation and address the needs of Tanzania and its six landlocked neighbours, which rely heavily on the port of Dar es Salaam for trade.
Over the past five years, the plant has assembled more than 4 500 trucks across four brands and 11 different models, including Hyundai and FAW.
A significant driver of demand for these medium and heavy commercial vehicles, according to Mereng, is the number of large infrastructure projects underway across the continent. This demand creates immediate opportunities for local assembly operations to support sectors such as mining and transportation.
The growth of such local operations, however, is heavily dependent on government policy as a key enabler. Mereng noted that regional integration, particularly through the African Continental Free Trade Area (AfCFTA), could be pivotal.
The agreement is expected to help overcome longstanding regional trade barriers. This integration is seen as a way to develop more cohesive regional value chains for components, which would in turn improve investor profitability and enable further investment in local skills and training.
This model of local assembly is already well-established in other parts of Africa. South Africa has a long history of commercial vehicle assembly for major international brands, serving as a manufacturing hub for the region.
Similarly, Kenya has a growing presence in the sector under the East African Community framework. The emergence of assembly operations in Tanzania represents a further expansion of this trend, suggesting a gradual shift towards more localised vehicle production across the African continent.
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