Russia Explores Car Assembly in Ethiopia and Deepening Africa Trade

No time to read?
Get a summary

Russian automakers are weighing the setup of car assembly facilities in Ethiopia, a possibility raised by the Russian Ambassador to Addis Ababa, Evgeny Terekhin, during recent discussions reported by News. The diplomat confirmed that the option of organizing a vehicle assembly operation in the Horn of Africa nation is under consideration, signaling a potential shift in regional manufacturing ambitions.

AvtoVAZ, Russia’s largest passenger car maker, did not provide concrete confirmation about any Ethiopia-specific plans when queried by journalists. Meanwhile, a note from GAZ Group indicated an intention to expand into the African market as early as 2019, naming Ethiopia, Nigeria, the Democratic Republic of Congo, and Ghana among the potential export destinations. This context suggests a broader strategic interest in diversifying export routes and tapping into growing demand across the continent.

According to Terekhin, Ethiopia’s trade profile in 2022 was heavily skewed toward agricultural products, with wheat comprising a substantial share of Russia’s exports to the country. In addition, shipments of petroleum products and goods from the paper industry contributed to bilateral trade. The ambassador outlined several promising avenues for cooperation beyond agriculture, including energy collaborations and the deployment of Russian equipment in the Ethiopian energy sector, the modernization of underground infrastructure, and the expansion of Russian petroleum product supplies. He also highlighted opportunities to export Russian agricultural machinery and mineral fertilizers to support local farming and industrial development.

Earlier reports mentioned in the exchange noted that Sollers and Azermash had reached an agreement to manufacture Sollers commercial vehicles in Azerbaijan, illustrating a broader pattern of Russian manufacturers exploring regional manufacturing partnerships and joint ventures as part of a wider strategy to establish manufacturing hubs near or within emerging markets.

No time to read?
Get a summary
Previous Article

Public Health Oversight: Illegal Transport of Meat and Hygiene Violations Near Torrevieja

Next Article

OSAGO claim guidance: verify repair costs, avoid blank reports, and document accurately