(Ecofin Agency) - The two plants should make 100,000 cars per year, each. Egypt, which already has a well-established automotive ecosystem, is a favorite candidate to host one of them.
Japanese carmaker Toyota Tsusho is planning to set up two new plants in Africa, the group's senior executive adviser Jun Karube announced on May 2.
"Toyota will establish two plants on the continent, each with a production capacity of 100,000 cars per year, in addition to its existing plants in several African countries," Karube said at a meeting in Cairo with the chairman of the Egyptian General Authority for Investment and Free Zones (GAFI), Hossam Heiba.
Karube, who was previously the chairman of the board of directors of the Toyota Tsusho Group, also said that Egypt is among the favorites to host one of the plants. He noted that the North African country already hosts several automotive suppliers, has skilled workers, and a business climate that is good for investment.
The plants’ announcement comes on the sidelines of the tour of the Japanese Prime Minister, Fumio Kishida, on the continent. The Japanese leader has already visited Egypt and Ghana and should head next to Kenya and Mozambique.
In Africa, Toyota already has vehicle assembly plants in South Africa, Kenya, and Ghana.