Botswana rolls out first locally assembled EV

From the newsletter

Botswana, a country with a GDP 20 times smaller than South Africa's, is aiming high in its dream to become an EV manufacturer. In a bold move, it announced its entrance into the EV space by launching its first locally assembled electric car in partnership with Chinese manufacturers Skywell and CHTC Kinwin.

• Skywell will assemble sport utility vehicles (SUVs), while CHTC Kinwin will focus on producing electric buses.

• Speaking at the launch, President Masisi announced plans for a manufacturing plant capable of producing 100 electric cars per month by 2025.PARATE PAGE

More details

• The government anticipates the initiative will create employment opportunities and position Botswana as a leader in renewable energy transportation in the region.

• Future plans include the development of an automated assembly plant to increase production capacity.

• The government is collaborating with the private sector to ensure effective marketing and distribution of the vehicles.

Our take

• Botswana's move to establish a local EV manufacturing industry is fascinating, especially considering its small population size (around 2.6 million). While domestic demand will likely exist, fueled by a relatively high GDP per capita and motorization rate, it alone might not be sufficient to sustain large-scale production.

• However, the plant's proximity to the South African border opens doors to a much larger market with established automotive networks and growing EV interest. This could provide the export market to facilitate large-scale production for economies of scale.