It is clear that car companies set their sights on Africa, but which African country hosts them? And who is the richest African at the wheel of Peugeot? Africa has been largely left out at the start of this global economic crisis, a beneficial context that could accelerate its development. The continent is rich in natural resources and is quickly becoming very attractive with the growing demand for products.

Africa's richest man is back at the wheel of one of France's most iconic companies.

The Peugeot logo is not about to disappear from the Nigerian automotive landscape. For good reason, the French manufacturer has just signed an agreement with Africa's richest man, Aliko Dangote, which allows him to set up a joint venture partnership. Africa's richest man is back at the wheel of one of France's most iconic companies.

It must be said that the Nigerian businessman who never stops consolidating and expanding his empire, has not hidden in recent years his desire not to miss the turn of the African automotive industry. Thus, in 2017, he proposes to take over the 79.3% stake of the state-owned Asset Management Company of Nigeria (AMCON) in Peugeot Automotive Nigeria.

For the record, the Peugeot vehicle was the first international branded vehicle assembled in Nigeria from 1975, following the French giant's partnership with the government, enacted four years earlier with the creation of Peugeot Automotive Nigeria. The 1980s marked the golden age of the firm.

Some countries and not others set the pace for Africa.

The automotive industry has become a key element of economic growth in Africa. In fact, several countries have created an environment conducive to the development of this sector and have become major players in the global market. Some countries and not others set the pace for Africa.

Morocco, number 1 in Africa

Morocco is on its way to becoming one of the most competitive hubs in the automotive industry. As the number one car manufacturer in Africa, the country is making its mark in the global market. With a growing automotive base and its proximity and easy access to the European market, the kingdom is attracting more automotive manufacturers and suppliers to set up shop there.

As a result, the automotive industry remains the country's leading industrial export sector. In detail, the vehicles produced are exported to 75 countries in the world. Also, since 2017, Morocco has become the first car producer in Africa and during the year 2021, it has positioned itself as the second-largest exporter to the European Union.

South Africa shows its ambitions to become the leader again

South Africa is the birthplace of the automobile. The first Ford assembly line, located in Port Elizabeth, dates back to 1924. Since then, the country has been a leader in the production of individual vehicles. The South African automotive industry has come a long way since its inception. Over time, it has become one of the most prominent and versatile in Africa. The key stakeholders have made their mark on the industry and have become global players in their respective fields.

South Africa is a leader in vehicle manufacturing with a variety of vehicle manufacturers producing approximately 1.5 million units per year, which accounts for about half of Africa's total car production. There are more than 200 manufacturers in South Africa, including some major international players such as Mercedes-Benz, Fiat-Chrysler, Hyundai, Mitsubishi and Toyota as well as local players such as BMW and Nissan-Renault like rivals GM and PSA Peugeot Citroen respectively.

South Africa's major economic sectors include the automotive manufacturing sector (which is the largest sector), electronics manufacturing (second largest), titanium mining (third largest) and carbonates (fourth largest). The automotive industry contributes roughly eight percent of gross domestic product (GDP) through direct employment, indirect employment in related industries and value-added

The Egyptian government is making a major push to attract investment in the automotive sector

Nissan and El Nasr will produce the first Nissan models in Africa. In addition, they plan to make a strong contribution to the development of the Egyptian automotive sector by training personnel and creating a local supply chain. 

In addition to tourism and energy, Egypt now intends to make the automotive industry a key sector of its economic development. The country intends to catch up with the two major African car manufacturers: Morocco and South Africa. This is evidenced by the objective of increasing national vehicle production to 500,000 units by the end of the year. Some operators intend to make a strong contribution. Thus, the Japanese Nissan and the Egyptian car manufacturer El Nasr Automotive Manufacturing have signed an agreement to produce 100,000 vehicles per year, against 22,000 units in 2021.

Egypt already has important industrial capabilities in terms of metalworking and assembly. And it has an active automotive market with 300,000 vehicles sold per year. In addition, its geographical location makes it easier for European countries such as Italy or France to do business there than in Morocco or South Africa.