Denis Opudo
Volkswagen is a renowned automotive manufacturing company. The company is almost everywhere across the world. The company made important steps in various markets in the African market. Most of the African population prefers the Volkswagen models over the others. The African terrain and infrastructure give the models an upper hand over the rest. Volkswagen has developed one of its assembling centers in Rwanda.
The center is referred to as Volkswagen Mobility Solutions Rwanda. The aim of starting the center was to offer modern integrated mobility services in Africa. This will improve the African automotive market in future. The company is aiming at expanding its business market in Sub-Saharan Africa. Volkswagen Mobility Solutions Rwanda will focus on new app-based mobility services. The services might include ride-hailing and car sharing in the country.
There will launch of car-sharing services in Kigali in 2018. The service will have 150 vehicles from the Volkswagen Company. A hailing ride service will also have 150 vehicles. The service will start before the end of 2018. The services are still new in Rwanda. The number of vehicles used will depend on how the market embraces the services. Many services of the same type will start up very soon.
The vehicles to take part in the mobility services will come from the local productions. Volkswagen signed a letter of intent with CFAO. CFAO is known for assembling and distribution of vehicles in Africa. The company has been operating in Africa for quite sometimes now. Volkswagen Mobility Solutions Rwanda will start by producing hundreds of vehicles. The number will go up to 5,000 vehicles every year. It will start with building Volkswagen Passat and Polo models.
Programming for the mobility app will go to the local startup. Volkswagen and the partnership will lead to the creation of 1,000 jobs within Rwanda. There will be a financial allocation of $20 million. There is no vehicle industry in Rwanda. Volkswagen Mobility Solutions Rwanda will be the first one of its type in the country. Rwandan population is averagely 20 years. That is the age group that embraces technology at first sight.
Apart from Rwanda, Volkswagen has been operational in Kenya, Nigeria, and South Africa. In South Africa the company started operating in 1951, then 2015 in Nigeria and Kenya came latest in 2016.
