Industry Trend Analysis - Autos Investment Round-Up: Spread Of Investment Is Positive For Regional Production - JUNE 2017

BMI View: Ongoing investment in Kenya underlines its position as a regional production hub for an increasingly varied selection of vehicles. South Africa ' s maturity as a manufacturing base, however, means it is still the best choice for high-value manufacturing such as Mercedes-Benz SA ' s new models.

In BMI's regular round-up of production investments, we track the latest projects from the production side of the industry and analyse trends that we see developing on a regional basis. In doing so, we hope to build a picture of any potential hubs that may be developing, as well as company strategy in terms of production bases and export programmes.

Our latest round-up of automotive production investment in Sub-Saharan Africa (SSA) is not the biggest in value terms at just USD150mn for those projects that have announced values, but it still shows interesting and consistent trends. The growth of Kenya as a production hub continues, with its attraction underlined by the return of PSA Peugeot Citroen and Iveco, while the growth of Southern African Development Community (SADC) markets, as mentioned in our last round-up, has resulted in the re-opening of Zimbabwe's Willowvale Motor Industries ( see ' Autos Investment Round-Up: Companies Return To Regional Strategies ' , January 4).

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