Russian Automakers Move to Challenge Asian Rivals in Africa with Local Assembly Expansion

Russian car manufacturers are intensifying efforts to capture a larger share of Africa’s growing automotive market by launching local assembly operations across several countries, a move seen as a direct challenge to established Asian rivals such as Toyota, Hyundai, and Changan.

According to a report by Business Insider Africa, companies including Lada and GAZ Group are spearheading a renewed push into African markets, with plans to establish vehicle assembly plants in Egypt, Algeria, Nigeria, and Ethiopia. Industry observers say the expansion aligns with Moscow’s broader strategy to deepen trade and industrial ties with the continent following Western sanctions.

The African auto industry, valued at more than $30 billion, remains dominated by Asian brands that have built strong manufacturing and distribution networks over the past two decades. However, Reuters reported that Russian automakers are leveraging government-backed financing and technology partnerships to offer more affordable models suited to local conditions.

Analysts told Financial Times that Africa’s rising middle class and rapid urbanization present an attractive opportunity for Russia’s automotive sector to diversify its exports. The rollout of local assembly plants is expected to begin in 2026, with pilot operations slated for Egypt and Nigeria.

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