D
Visitors view a vehicle at the booth of Dongfeng Motor during the second China International Supply Chain Exhibition (CISCE) in Beijing, capital of China, November 28, 2024. (Xu Hongyan)
The first batch of prototype vehicles from Chinese automaker Dongfeng Liuzhou Motor has rolled off the production line in Cairo, Egypt, with the launch of six models, marking the official entry of its Forthing brand into the Egyptian market and realizing its ambition to expand across the African continent.
This represents a profound transformation in the overseas expansion model of Chinese automobile brands, moving from simple commercial export to a strategy characterized by localized manufacturing, technology transfer and industrial chain upgrading.
“We not only provide quality vehicles to local consumers, but also shorten delivery times and reduce after-sales costs through localized production. This improves consumers’ value for money, promotes intelligent mobility, and allows us to grow at the pace of the market,” said Cheng Yuan, deputy general manager of Dongfeng Liuzhou Motor.
Over the past five years, sales of the Forthing brand in overseas markets have increased tenfold with exports exceeding 53,000 units, up 32.7% year-on-year.
A visitor admires an electric car at an automobile market in Cairo, Egypt, July 27, 2024. The Egyptian market is seeing remarkable growth in the number of electric cars, with many Chinese-made electric vehicles plying Egyptian roads. (Photo: Ahmed Gomaa)
Thanks to its geographical advantages, its accelerated urbanization and its high-potential automobile market, Egypt has vigorously supported the automobile industry with preferential policies, including tax exemptions. Many Chinese automobile manufacturers are setting up there and localizing their production there, including Chery, BYD, Geely and Guangzhou Automobile Group.
For Egypt, this introduction is not only about automobile brands, but a new model of automobile industry, including production standards, technical processes and management expertise in the new energy vehicle sector.
As the African continent moves towards electrification and smart development, Chinese brands are emerging as key promoters and partners of this trend, leveraging their cutting-edge technologies, mature industrial chains and unwavering commitment to strengthening their presence in the African market.
