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VW Opens Rwanda’s First Auto Assembly Plant

Volkswagen AG has launched assembly operations at Rwanda’s first auto plant.

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Volkswagen AG has launched assembly operations at Rwanda’s first auto plant.

The $20 million facility in the capital of Kigali has initial capacity to make as many as 5,000 current-generation Polo supermini and Passat midsize sedans per year. VW is targeting 1,000 vehicles, assembled from kits, in the first year of operation.

Many of the vehicles will be used in an app-based car-sharing service VW is introducing in Kigali. A ride-hailing service will be added later this year, followed by unspecified other mobility services in 2019, according to the company. Both concepts are new to the Rwandan market.

VW announced the project in January as a partnership with local distributor CFAO. The company already assembles vehicles in the Sub-Sahara region in South Africa, Nigeria and Kenya.

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