Polish automotive companies are opening up to Africa
They are already signing contracts worth up to $100 million
Poland is strengthening its position in the automotive industry and increasing its development potential. This is evidenced by the fact that it is one of the leaders in lithium-ion battery production - in 2020 alone, the value of car battery exports totalled €4 billion. The increase in the production of electric and hybrid cars and the expansion of existing factories is a major contributing factor behind it. Polish automotive companies are more and more clearly increasing their presence in new markets - including African ones. An opportunity to strengthen their position in this part of the world is Poland's participation in Expo 2020 Dubai.
Poland is at the forefront of the automotive industry, facilitated by its strategic location, skilled workforce and secure business environment. One of the companies successfully operating and growing in Africa is Wielton. It is one of the largest manufacturers of trailers, semi-trailers and car bodies. It ranks third in Europe in this regard. Founded in 1996, the company has 7 local brands and 600 service points. Its unique global business model is based on strong local brands. In 2017, Wielton Africa was established in Abidjan to invest in new product development in African markets. The company initially focused its business activities on West Africa, but is now also operating in East Africa, Central Africa and selected Maghreb countries. In 2021, Wielton signed a multi-year contract for products it will supply to Mali and Côte d'Ivoire worth €3.3 million.
Another successful brand in the African Continent is Ursus. It is the largest Polish manufacturer of agricultural machinery and tractors. Its products have been available for customers in the country for many years, but also in the Czech Republic, Belgium, the Netherlands or Pakistan. Ursus is increasing its activities in African countries and is among the leading Polish exporters to this continent. In 2013 - as a part of an agreement between the governments of Poland and Ethiopia - Ursus concluded a contract for the supply of 3,000 tractors together with the equipment for service centres and the supply of spare parts for agricultural machinery. Whereas in 2015, the Polish company partnered with Ethiopian Sugar Corporation to supply the equipment for transporting sugarcane. At the same time, Ursus also concluded a contract to supply 2,400 tractors in Tanzania. The biggest success so far, however, has been the signing of an agreement with the Industrial Development Corporation worth a total of $100 million for the supply of tractors and agricultural machinery, together with tooling and spare parts. The contract also includes the commissioning of assembly plants and the establishment of service centres in Zambia.
Poland's participation in the World Exhibition in Dubai provides ample opportunities to attract new business partners. The Middle East markets are of great interest to domestic entrepreneurs. For many of them, however, African countries are just as important. Dubai is a global business hub that enables you to connect with contractors from African countries. Some webinars introducing Polish entrepreneurs to African markets were held (Kenya - 14 October 2021, South Africa - 6 October 2021, Nigeria - 21 September 2021) as a part of the economic programme prepared by PAIH for Expo 2020 Dubai. The meetings revolved around the effective strategies for business expansion. Topics related to distribution channels, logistics and building long-term business relationships were also discussed. Moreover, the webinars provided information on sectors in which Polish companies are successful in African markets and those industries that offer prospects for growth.
All the participants will have change to put their newly obtained knowledge into practice during the upcoming Polish-African Economic Forum (28 March 2022). The event will include business meetings and panel discussions on the food industry, transport and infrastructure, green technologies and healthcare and new medical solutions. Attending the forum is free of charge, available both on-site and online.