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Economic development

African Association of Automotive Manufacturers Launches Inaugural Industrial Policy Executive Short Course

Strategic Insights

— 2 min read

The African Association of Automotive Manufacturers (AAAM) has launched a groundbreaking initiative, the Industrial Policy Executive Short Course (ESC), in partnership with Afreximbank and the African Continental Free Trade Area (AfCFTA) Secretariat. The programme aims to empower senior government officials across Africa to unlock automotive production opportunities, affordable mobility solutions, and catalyze industrial development. This strategic collaboration brings together leading original equipment manufacturers (OEMs), including Volkswagen Group Africa, Isuzu Motors South Africa, and Toyota South Africa Motors, to align with the AfCFTA's vision for regional integration and economic transformation through industrialization.

Key Takeaways:

  • The ESC is a first-of-its-kind programme designed to develop an automotive value chain in Africa, leveraging the AfCFTA to drive industrialization and economic growth.
  • The programme is structured in three phases, including a seminar week, an online phase, and a best practice week, with a focus on building capacity of the AfCFTA Automotive Task Force to guide implementation and advise Ministers of Trade.
  • The programme aims to address key requirements for the automotive industry, including policy-making, localisation, supplier development, and job creation, with a long-term vision of hosting the ESC annually across Africa's five regions.
  • The programme includes site visits to Toyota South Africa Motors, Volkswagen Group Africa, and Isuzu Motors South Africa, providing practical exposure to world-class automotive operations.
  • The programme has received support from industry and government leaders, including Andrew Kirby, Vice President of AAAM and President and CEO of Toyota South Africa Motors, and Rev. Musa Zondi, MEC for Economic Development, Tourism and Environmental Affairs in KwaZulu-Natal.
  • The programme is expected to equip African government officials with the knowledge to harness opportunities from the continental automotive value chain and accelerate finalisation of outstanding rules of origin negotiations in relation to the automotive industry.

Statistics:

  • The programme has a pilot cohort of 26 high-level participants from 19 African countries, representing senior government officials from North, East, West, Central, and Southern Africa.
  • The programme includes over 200 exhibitors from across Africa and beyond for the Africa Automotive Show at the Intra-African Trade Fair 2025 (IATF2025) in Algiers, Algeria.
  • The programme aims to finalise the automotive rules of origin by October, as guided by African heads of state.

Sources:

  • The African Association of Automotive Manufacturers (AAAM)
  • Afreximbank
  • The African Continental Free Trade Area (AfCFTA) Secretariat
  • Toyota South Africa Motors
  • Volkswagen Group Africa
  • Isuzu Motors South Africa
  • Rev. Musa Zondi, MEC for Economic Development, Tourism and Environmental Affairs in KwaZulu-Natal
  • Andrew Kirby, Vice President of AAAM and President and CEO of Toyota South Africa Motors

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