Investors Express Strong Interest in Producing, Assembling Electric Vehicles in Ethiopia

Addis Ababa, October 21, 2025 (ENA) -Foreign and local investors are demonstrating significant interest in establishing electric vehicle production and assembly factories in Ethiopia, Transport and Logistics State Minister Bareo Hassen said.

The State Minister revealed that foreign investors, including companies from the Czech Republic, Germany, Norway, and other European nations, have submitted requests to manufacture and assemble electric vehicles in Ethiopia.

According to him, the government has developed a comprehensive strategy to evaluate and process the investment proposals.

The adoption of electric vehicles represents a crucial component in Ethiopia's environmental protection strategy, offering substantial benefits in reducing pollution and mitigating climate change impacts.

Beyond environmental advantages, the electric vehicle sector promises considerable economic returns, including reduced dependence on fossil fuel imports, lower vehicle maintenance costs, enhanced foreign currency saving, and expanded investment opportunities in green employment sector.

Bareo outlined Ethiopia's ambitious target to increase the number of electric vehicles operating on national roads to over 500,000 units in the coming ten years.

The government's strategic plan aims to achieve 99 percent electric vehicle import share, building on current progress that has seen electric vehicles reach seven percent of total vehicle imports, the State Minister elaborated.

Demonstrating institutional commitment to the sector, the government has mandated that all new vehicle procurements for government use must be electric vehicles.

This policy initiative is designed to encourage private sector adoption of electric vehicle technology.

Looking ahead, electric vehicles will be distinguished by special green license plates and will benefit from various government incentives, Bareo confirmed, signaling the government's continued support for sustainable transportation solutions.