Kenya, April 10 – Nissan Motors has challenged Volkswagen as the former plans to set up a local assembly plant in the East African region. The growth of automotive market is rapidly growing in Africa, with different automotive dealers making haste to cement their brands and mark in the African soil.
Following the arrival of Peugeot and Volkswagen in the East African territory, barely 18 months down the line, Nissan Motors is giving the two pioneers a run for their strength in the hub. Toyota has been a major key player in the African continent but has been facing a tumultuous time since the arrival of big names in the market. The level of competition stiffens as the market taste and preference remains to be dynamic.
Nissan Motors has been hoping to complete a new plant in Ethiopia and Zimbabwe as well bust has halted the plans with the wariness of the ready market. The introduction of the Japanese automaker seeks to improve the regional economy of the states, in the hope of making a major impact in its operations.
There are a number of challenges though the new dealer could be facing with the economic state in the country still not recording a steady state, hence hampering the purchasing power of the market. The company hopes to kick off its operations by end of 2019 if all goes as planned. The plant could cost about $20 million.
The manufacturing industry has been struggling with the economic barrier making business unbearable but seemingly to be luring potential risk takers and hope to make a better change. The introduction will undoubtedly create jobs for job seekers and some experience for the manufacturing industry. The prevailing dealers will have to hold their breath, hoping that all will go well for their end to keep their customers and flourish their businesses. Peugeot has done well in South African market.