VW makes inroads in Ghana with first assembly plant

VW. File picture
VW. File picture
Image: Reuters/Stephen Lam/File Photo

Volkswagen has expanded its footprint in Sub-Sahara Africa with the official opening of a vehicle assembly facility in Accra, Ghana.

Ghana President Nana Addo Dankwa Akufo-Addo and trade and industry minister Alan Kyerematen recently witnessed the first Volkswagen assembled in Ghana at the official launch of Volkswagen Ghana, nearly two years after a memorandum of understanding (MoU) was signed between Volkswagen and the government.

In a statement by Volkswagen SA, Akufo-Addo welcomed Volkswagen’s investment in the country.

Ghana has become Volkwagen’s fifth assembly location in Sub-Saharan Africa, after SA, Kenya, Nigeria and Rwanda.

The West African country has a population of about 30-million.

The official opening of the vehicle assembly facility was the realisation of the MoU Volkswagen signed with Ghana in the presence of German Chancellor Angela Merkel nearly two years ago.

“The government of Ghana has also fulfilled its memorandum of understanding undertaking to develop a comprehensive automotive industry policy with the recent promulgation of the Ghana Automotive Development Policy,” the statement said.

“This is groundbreaking and a blueprint automotive policy in the West African region.”

According to the statement, the Ghana Automotive Development Policy paved the way for Volkswagen to solidify its commitment in Ghana with the initial investment in the first phase of the vehicle assembly project.

Universal Motors Limited, a licensed Volkswagen importer since 2005, has been awarded the assembly contract for the initial phase of the project.

“The models to be assembled using semi-knocked down assembly kits are Tiguan Teramont, Passat, Polo and Amarok,” the statement said.

Former VWSA managing director Thomas Schaefer said the opening of the vehicle assembly facility in Ghana was another exciting chapter in the company’s expansion journey.

“This is a big step into establishing our presence in the West African region.

“I wish to commend the government of Ghana under the visionary leadership of his excellency President Akufo-Addo.

“He introduced a comprehensive policy that is set to transform the automotive industry in West Africa.

“Volkswagen is committed to helping Ghana to develop a modern automotive industry.”

Schaefer also announced the establishment of Volkswagen Ghana, the first automotive company to be registered under the Ghana Automotive Development Policy.

“Volkswagen Ghana is a 100% subsidiary of Volkswagen. It’s a registered assembler and will be responsible for the importation of the [semi-knocked down] kits and fully built units.

Jeffrey J Oppong Peprah has been appointed as the CEO of Volkswagen Ghana.

Schaefer said on Monday he was leaving VWSA with immediate effect after being appointed the new global CEO for VW subsidiary Skoda Auto, in the Czech Republic.

- HeraldLIVE

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