Monday, April 15, 2024
BusinessNyala, Nissan to begin long overdue car assembly plant

Nyala, Nissan to begin long overdue car assembly plant

Nyala Motors has announced that it has secured a plot of land to build an assembly plant for Nissan cars in Ethiopia.

The company made the announcement on May 18, 2023, during its 50th anniversary celebration.

Managers at Nyala plan to partner with the Japanese multinational automaker Nissan, headquartered in Yokohama’s Nishi-ku district, during the construction of the plant.

The management has finally taken steps toward realizing its long-overdue plan to construct an assembly plant for Nissan vehicles in Ethiopia after more than a decade of anticipation.

The car supplying company first announced its intention to build the plant in 2013, but had faced several setbacks over the years.

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“We have secured 80,000 square meters of land from Gelan Administration, which is part of Shegaar Town, to build the assembly plant,” said the Chief Executive Officer of Nyala Motors, Mesfin Bogale.

Nissan is a Japanese multinational automobile manufacturer headquartered in Yokohama, Japan. It was founded in 1933 and has since become one of the largest automakers in the world.

Last year, the automaker’s global sales stood at 3.23 million vehicles, compared to 4.06 million in 2021.

“Both Nyala and Nissan believe in innovation and progress. I believe the new assembly line will be the beginning of what is expected to be a long and successful partnership between these two industry leaders,” said Mesfin.

With the automobile market in Ethiopia dominated by Toyota vehicles, accounting for over 90 percent of sales, Nissan has very low market penetration in the country. Nyala has been a supplier of imported Nissan cars for a long time.

Despite the introduction of a series of policies to encourage local assemblers, the sector has not grown much in Ethiopia. KIA, Lifan, Chery, and Jack are among the locally assembled vehicles in Ethiopia, where used cars dominate the market.

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Video from Enat Bank Youtube Channel.

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