New Automotive Component Policy to Deepen Local Value Addition- Trade Minister
The government has approved the Ghana Automotive Component Manufacturing Policy to promote local production of vehicle components and deepen value addition in the country’s automotive industry.
The Minister for Trade, Agribusiness and Industry, Mrs Elizabeth Ofosu Adjare, said the policy would create an enabling environment for investment in the manufacturing of automotive components for both the aftermarket and direct supply to vehicle assembly plants.
She said the policy formed part of broader efforts to develop an integrated automotive industry that would create jobs, build local capabilities and strengthen Ghana’s competitiveness in regional and continental markets.
Mrs Ofosu Adjare disclosed this on Tuesday when she delivered an address at the inauguration of Phase III of the Zonda Tech Ghana Limited vehicle assembly plant in Tema.
She said the expansion of Zonda Tech demonstrated that Ghana’s automotive industry was gradually moving beyond vehicle assembly towards a more integrated industrial ecosystem supported by investment, technology, partnerships, skills development and local value addition.
“The recently approved Ghana Automotive Component Manufacturing Policy will further strengthen this ecosystem, creating an enabling environment for investment in automotive components, both for the aftermarket and for direct supply to local assembly plants,” she said.
According to the Minister, increased local production of components would provide further industrial opportunities while strengthening the competitiveness of vehicles assembled in Ghana.
She said development of the automotive component industry was necessary for Ghana to maximise the benefits of vehicle assembly and reduce dependence on imported inputs.
Mrs Ofosu Adjare affirmed the government’s commitment to working with industry and international partners to build a competitive, resilient and export-oriented automotive industry.
She noted that Ghana operated within a competitive global and regional automotive environment, with countries such as Morocco and South Africa having established assembly industries, while Rwanda and Kenya had also attracted new automotive assembly partnerships.
She said Ghana would study the experiences of those countries and develop its own approach to building a stronger automotive industry.
The Minister said Zonda Tech’s growth from a vehicle distributor in 2010 to an established assembly plant demonstrated how sustained private sector investment and government support could translate industrial policy into productive capacity and employment.
She said the commissioning of the third phase had increased Zonda Tech’s annual production capacity to approximately 3,000 heavy and light vehicles, further positioning Ghana as an automotive assembly base within the subregion.
Mrs Ofosu Adjare said the government’s automotive agenda was aimed at creating jobs, developing local skills, increasing domestic production and positioning Ghana to participate more effectively in regional and continental markets.
She congratulated the Board, Management and staff of Zonda Tech Ghana Limited on the expansion and commended its international partners for their continued confidence in the company and Ghana’s industrial future.
Irene Wirekoaa Osei, ISD
