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From January to May, 222,000 Chinese cars were sold to Africa.

出行一客2025-07-03 19:49
Chinese automakers are accelerating their expansion overseas through localized production and price advantages. Africa is becoming an important emerging market under their globalization strategy.

Chinese cars are being sold to Africa in increasing numbers.

According to data released by Cui Dongshu, the secretary - general of the Passenger Car Association, from January to May 2025, the export volume of Chinese cars to Africa reached 222,000 units, a year - on - year increase of as high as 67%. Among them, the export volume in May alone was 58,000 units, a year - on - year increase of 104%. Among a series of export destinations for Chinese cars, the data performance of the African region is the most prominent.

In the view of industry insiders, the African automobile consumption market has great potential. Africa's population accounts for 15% of the world's population, but automobile sales only account for about 3% of the world's automobile production, and the per - thousand - person vehicle ownership is only about 40. With the improvement of local living standards, cars are expected to gradually enter the popularization stage.

The African continent has a strong and diverse demand for Chinese motor vehicles. Countries such as South Africa, Algeria, Egypt, Nigeria, and Morocco are at the forefront.

According to data disclosed by the General Administration of Customs, from January to May 2025, China's export volume to African countries reached 599.57 billion yuan, a year - on - year increase of 20.2%. The acceptance of "Made in China" in the African market is constantly increasing, especially reflected in the surging import demand for electric vehicles and construction machinery.

Behind this is that Chinese car companies have brought electric vehicles into the African market. Facing the real problems of power shortages, scarce charging facilities, high and volatile electricity prices, Chinese car companies have chosen hybrid vehicles as the vanguard of market development and gradually explored the local market. From the data from January to April 2025, the export volume of plug - in hybrid vehicles was 3,000 units, a year - on - year increase of 1481%; the export volume of hybrid vehicles was 2,000 units, a year - on - year increase of 362%.

It's not just about simply selling cars locally. More and more car companies are starting to choose to cooperate and build factories locally to produce vehicles locally in order to better respond to the needs of the local and surrounding markets.

From a marginal market to a new growth pole

In recent years, the field of Chinese automobile exports has witnessed breakthrough growth. In 2024, the annual export volume reached 6.41 million units, a year - on - year increase of 23%. Among them, new energy vehicles have played a pivotal role and become the key force driving the internationalization process of China's automobile industry, for the first time exceeding the 2 - million - unit mark.

With the increasingly tightened trade policies in Europe and the United States, the original export pattern that relied on the European market is being broken. Compared with the gradually saturated Southeast Asian market, Africa has become a "buffer zone". Chinese car companies want to open up this potential market with more cost - effective cars.

In fact, Africa is becoming a growth pole that Chinese car companies cannot ignore.

The per - thousand - person vehicle ownership in the African region is only about 40. Judging from the data alone, the development level of the African automobile market is relatively low, but this also means that it has huge growth potential.

With the continuous development of the African economy, the demand for cars will gradually increase. Currently, the African continent has a strong and diverse demand for Chinese cars. Passenger vehicles rank first, followed by freight vehicles, motor vehicle parts, and other special vehicles. South Africa is the leading export destination, radiating across the entire African continent.

According to the latest research report released by the international authoritative consulting firm AlixPartners, the market share of Chinese automobile brands in the Middle East and Africa region is expected to soar from 10% in 2024 to 34% in 2030. This means that in the next six years, the sales volume of Chinese cars in this region will more than triple.

The strategic layout of Chinese car companies in the African market is gradually confirming this view. According to data released by Cui Dongshu, the secretary - general of the Passenger Car Association, from January to May 2025, the export volume of Chinese cars to Africa reached 222,000 units, a year - on - year increase of as high as 67%. Among them, the export volume in May alone was 58,000 units, and the year - on - year increase exceeded 104%.

Chinese car companies are accelerating their penetration into the African market, and Africa is rising from a "marginal market" to a key coordinate in China's automobile globalization strategy.

Breaking the situation with hybrids: How can electric vehicles adapt to the African environment?

In many traditional impressions, the African market seems to have nothing to do with electric vehicles.

First of all, the popularization of electric vehicles has a most basic prerequisite, that is, a perfect and sound power network. According to the "Africa Energy Outlook 2022" report released by the International Energy Agency, as of 2021, 600 million people in Africa had no access to electricity, accounting for about 43% of the total African population. Unreliable power supply and imperfect charging infrastructure directly limit the construction and use of electric vehicle charging networks.

Secondly, poor road conditions and backward transportation infrastructure also pose real obstacles to the promotion of electric vehicles. In many parts of Africa, the roads are in disrepair and potholed. For electric vehicles that rely more on battery life and require a more stable chassis, such an environment undoubtedly increases the risk of use and maintenance costs.

More fundamentally, African consumers generally tend to be practical - oriented, preferring low - price and high - cost - performance products when buying cars. The local per - capita income level is generally low, the new - car market is generally weak, and second - hand fuel - powered vehicles have more advantages in terms of price and maintenance convenience, making them the first choice for most families.

All these structural obstacles make the development path of electric vehicles in Africa particularly complex. Therefore, adapting to local conditions is the practical starting point for the local new energy transformation.

Currently, China's exports to Africa are still mainly traditional gasoline and diesel vehicles. However, from the data from January to April 2025, the export volume of plug - in hybrid vehicles was 3,000 units, a year - on - year increase of 1481%; the export volume of hybrid vehicles was 2,000 units, a year - on - year increase of 362%. Structurally, the focus is on new energy vehicles, which is more in line with the trend of local acceptance of electric vehicles.

Different from the common pure - electric models exported from China, in this emerging African market, hybrid and plug - in hybrid models are more adaptable to the market.

According to the prediction of the Mordor Intelligence market analysis institution, the scale of the African electric vehicle market in 2024 was about 15.8 billion US dollars, and it will reach 25.4 billion US dollars by 2029, with an average annual compound growth rate of 10.2% from 2024 to 2029.

Behind this is the increasing intention of African countries for environmental protection and energy transformation. Egypt plans to build 42,000 charging stations across the country and intends to invest 2.5 billion Egyptian pounds to cooperate with foreign car companies to establish a domestic electric vehicle production line. The Kenyan government launched the "Electric Transportation" program across the country in September 2023 to achieve green transportation and reduce air pollution.

As the largest economy in Africa, South Africa has taken the lead in the new energy transformation. As early as the beginning of 2024, the South African government issued the "Electric Vehicle White Paper", proposing to provide up to 150% tax relief for local electric vehicle R & D expenditures and simultaneously promote the development of supporting industries such as batteries and green hydrogen, with the goal of achieving a 20% proportion of electric vehicles in new - car sales in 2025.

Taking South Africa as an example, in 2024, the sales volume of new energy vehicles reached 15,611 units, doubling compared with 2023, and the market share increased to nearly 3%. Among them, the fastest - growing type is the more practical plug - in hybrid electric vehicle (PHEV). It not only reduces the dependence on the local unstable power grid but also fits the short - distance commuting and high - frequency use scenarios in cities, while retaining the logic of relying on fuel for long - distance driving.

Chery plans to launch 8 hybrid models, including 5 plug - in hybrid vehicles. Since BYD entered South Africa in 2023, it has expanded rapidly, doubling the number of models on sale in just one year. Among the 6 models currently on sale, more than half are plug - in hybrid vehicles.

Chinese car companies that have already made layouts are looking forward to the key turning point of new energy development in Africa. According to China's experience in promoting electric vehicles, a 10% market share will be the most important threshold. Once it is approached, the demand will start to grow exponentially.

Competing on price and service: How can Chinese cars break through the Japanese - brand encirclement?

The African automobile market is mainly composed of Japanese - brand cars and second - hand car consumption. Masakazu Ohira, the head of the Toyota Africa Mobility department of Toyota Tsusho's African headquarters, once told the media: "In the African market, the annual sales volume of new cars is about 1.2 million units, while the sales volume of second - hand cars is as high as about 5 million units."

How to gain a share of the market in such a context is a problem that Chinese automobile manufacturers urgently need to think about and solve.

For a long time in the past, African consumers could only choose Japanese - brand and American - brand cars, and only fuel - powered models were available. With more and more Chinese car companies entering the market, more cost - effective consumption options are provided in terms of both vehicle models and prices.

Currently, most Chinese brands import cars in the form of semi - knocked - down (SKD) or completely knocked - down (CKD) kits by cooperating with local enterprises and then have them assembled by local enterprises to obtain tax and other preferential policies, successfully setting the price in a range very suitable for the African market and winning the favor of consumers first.

Taking Wuling and Great Wall as examples, the prices of models of these brands are usually 20% - 30% lower than those of European, American, and Japanese brands. In Kenya, the starting price of Wuling's minivans is only about $5,000, while the price of a second - hand Toyota car is almost twice that, which has attracted many consumers with limited budgets to turn their attention to more economical Chinese cars.

Among the 14 Chinese automobile brands currently active in South Africa, nearly half were established in 2024. Now, the list of car companies intending to layout in Africa is getting longer.

Cars are not just sold and forgotten. Chinese cars have parts warehouses, resident maintenance personnel, and engineers locally. When selling cars, they provide consumers with warranties, which makes the service life of Chinese new cars longer and the use cost lower. Some Chinese car companies have also won the trust of consumers by introducing warranty policies far exceeding the market average, further promoting sales growth.

In the view of Zhang Yongwei, the vice - chairman and secretary - general of the China Electric Vehicle 100 - Person Forum, Chinese car companies should make good use of China's rich vehicle models and incremental supply chain to achieve seamless connection with the world's automobile market and the automobile industries of other countries. He said at the 2025 Global New Energy Vehicle Cooperation and Development Forum (GNEV2025) that under the new situation of the global automobile industry transformation, how China's automobile industry connects with the world has become very crucial.

In January 2025, the factory of CITIC Dicastal in Morocco was rated as the first "Lighthouse Factory" in Africa. The two sides not only improved their layout in the local market but also Chinese enterprises brought advanced manufacturing experience to Morocco, achieving mutual benefit and win - win results.

From simple whole - vehicle exports to the establishment of knock - down assembly plants and then to the establishment of R & D and production centers to form a complete operation network, Chinese cars are transforming from a single export - trade model to a comprehensive service model that combines local production and service networks. Africa is gradually becoming the new main battlefield for global automobile industry competition in the next stage.

This article is from the WeChat public account "Financial Automobile", author: Jiang Yutong, Li Xiyin. Republished by 36Kr with permission.