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Africa: VDA Supports the Transformation of the Automotive Industry
As part of the EU-Africa Business Forum, African and European automotive associations signed a joint declaration of intent in the presence of the European Commission. Initiated by the German Association of the Automotive Industry (VDA), the German-African Business Association, and the African Association of Automotive Manufacturers (AAAM), the declaration outlines the priorities crucial for the further development of the automotive industry in Africa. Key themes include the exploration of sustainable energy sources and drives, digital mobility solutions, and the development of local supply and value chains. According to a press release dated February 16, 2022, the signing associations see the potential to jointly expand the automotive industry in Africa – and to make it sustainable from the very beginning.
This strengthens and intensifies collaboration with Africa, said the VDA. The association partnership with the pan-African automotive association, the African Association of Automotive Manufacturers (AAAM), has been supported by the Federal Ministry for Economic Cooperation and Development (BMZ) since the end of 2020. Dave Coffey, CEO of AAAM, commented:
“The trade and investment climate in Africa can only be improved together. We believe that Africa – especially in terms of renewable energies – has great potential to develop a future-oriented automotive industry that ensures long-term employment.”
The fact that African and European associations have agreed on essential points for the further expansion of the industry on the continent is an important milestone.
"Now political representatives need to create the framework conditions for this," Coffey continued.
VDA members are already active in Africa and contribute significantly to the development of the local industry with over 80 production sites. The VDA supports them with its partnership with AAAM and through cooperation with other stakeholders on the continent and in Europe. VDA President Hildegard Müller emphasizes:
"We see the partnership with AAAM and the signing of the letter of intent as an important step in further supporting our members in their commitment to Africa."
The African continent is highly fragmented but will gain increasing importance with regard to alternative drives and can also play a pioneering role in this area, according to the association's president.
"Together with AAAM and the supporters of the letter of intent, we want to improve the conditions for an emerging automotive industry on the African continent, to enable more economic growth and prosperity in Africa."
Both German and African member companies should now be enabled to participate in market growth and create win-win situations in trade and investment exchange between Europe and Africa:
"We are thus making an active contribution to supporting the EU's Global Gateway strategy and the development policy goals of the federal government as a private sector," Müller said.
Representatives of the EU Commission also participated in the digital signing ceremony. The Commission welcomes the VDA's commitment in Africa and supports the cooperation between African and European associations.
What does this mean?
In fact, the automotive industry on the African continent still has great potential - and ideally skips the combustion engine.
Translated automatically from German.
Branchenguide
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