FILE PHOTO: The brand logo of Nissan Motor Corp. in Yokohama, south of Tokyo, Japan July 14, 2020.
REUTERS/Issei Kato/File PhotoJOHANNESBURG (Reuters) - Japanese automotive group Nissan is to set up a new regional business unit for Africa as it seeks to boost manufacturing capacity and penetrate one of the world’s biggest undeveloped new car markets.
But its 1 billion inhabitants account for only 1% of the world’s new passenger car sales, based on industry data.
Most carmakers have focused manufacturing and sales in South Africa - the continent’s most developed economy - which accounts for 85% of Africa’s new car purchases.
Nissan, along with competitors Volkswagen, BMW, and Toyota, have been lobbying African governments to grant conditions that favour local assembly and manufacturing while curbing imports of cheap used cars.
Issei Kato, Mike Whitfield
Nissan Motor Corp, REUTERS, Nissan, Volkswagen, BMW, Toyota, African Continental Free Trade Area
Yokohama, Tokyo, Japan, JOHANNESBURG, Africa, South Africa, Egypt