Ethiopian Vehicle Production Scales Up with New Assembly Plants

Phibela Industrial PLC new electric vehicle EV assembly plant in Debre Berhan, Amhara region has been launched. The plant started working today, which is a major step forward in the region’s manufacturing capabilities and job creation. This is the second electric plant inaugurated by Ethiopia.

Before this, last month the Somali Region of Ethiopia took a significant step forward in its industrial development with the inauguration of a new car assembly plant in Jigjiga city.

Mr. Arega Kebede, the chief administrator of the Amhara region, and Belayneh Kindie, the owner and CEO of Belayeh Kindie Group (BKG), and other officials attend this inauguration ceremony.

Belayneh Kindie Group has now expanded its capabilities by building the Phibela Industrial Debre-Berhan Car Assembly plant, which will focus on assembling electric cars. The vehicle plant was constructed at a reported cost of approximately 3 billion birr. According to the group’s Communications Director, Mr. Setegn Engdaw, the facility is expected to have an annual production capacity of 1,000 electric vehicles.

Whereas, the newly constructed plant in Jigjiga city, built at a cost of 250 million Birr, is the first of its kind in the Somali Region. The vehicle plant has the capacity to assemble up to 3650 cars per year.

Beyond its manufacturing capabilities, the plant will generate significant employment opportunities, with plans to create around 1,000 jobs for the local community. Whereas, the newly inaugurated car assembly plant in Jigjiga city has already made a positive impact on the local community by providing employment opportunities for 100 workers. As the plant continues to grow and expand, it is expected to create even more job opportunities in the region, contributing to the economic development and diversification of the Somali Region.

The launch of these two new electric car assembly plants represents a significant milestone for the companies and the broader automotive industry in Ethiopia.

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