Kenya Invests $7.7M in Electric Vehicle Manufacturing Hub

One of Kenya's oldest family businesses just committed nearly $8 million to building electric vehicles, signaling that clean transport manufacturing has arrived in East Africa.

Simba Corporation, led by billionaire Adil Popat, is investing $7.7 million into its subsidiary Associated Vehicle Assemblers (AVA) to create a dedicated electric vehicle assembly line in Mombasa. The money will fund specialized equipment, factory upgrades, and training programs for 60 technicians already working on the production floor.

The timing reflects Kenya's rapid emergence as an electric mobility hotspot. Government tax incentives for locally assembled EVs have attracted manufacturers from across the world, particularly Chinese automakers seeking entry into African markets.

AVA already assembles electric buses for BasiGo, electric vans for Rideence Africa, and electric three-wheelers for Car and General. The new investment will expand that capacity significantly.

The company recently partnered with Chinese automotive giant Dongfeng to begin assembling the ePureCitie compact electric hatchback, with plans to expand into other passenger and commercial models. Simba also plans to start assembling MG brand electric vehicles it previously imported as finished products from China.

For Kenya, this represents more than just assembly work. Industry leaders see it as the foundation for full vehicle manufacturing, creating jobs and reducing the country's dependence on imports.

The ambition is notable because Kenya's EV market remains small today. The country had just 9,144 registered electric vehicles at the end of 2024, with only 326 being passenger cars. Electric motorcycles and bicycles make up roughly 90% of the fleet.

The Ripple Effect

Simba isn't betting alone. Toyota dealer CFAO Mobility Kenya separately committed $18.5 million to its own manufacturing subsidiary, showing widespread industry confidence in East Africa's electric future.

These companies are building capacity ahead of demand, anticipating that falling battery costs and supportive policies will accelerate adoption across the region. What starts as assembly lines in Kenya could eventually supply electric vehicles to neighboring countries throughout East Africa.

The investment also strengthens Kenya's position in the National Automotive Policy, which aims to transform the country from an importer of finished vehicles into a regional manufacturing base. Training local technicians in EV assembly creates skills that could power the industry for decades.

Founded in 1948 as a used car dealership, Simba Corporation has grown into one of Kenya's most diversified business groups. Its $7.7 million bet on electric vehicles shows that clean transport has moved from experimental to essential in Africa's economic planning.