Zambia has engaged in discussions with automakers to attract electric vehicle (EV) component manufacturers to set up plants close to its copper mining sites.
- Zambia aims to attract EV component manufacturers near its copper mines.
- Copper is crucial for EV engines, boosting Zambia’s role in the supply chain.
- Finance Minister Musokotwane encourages investments during international discussions.
Zambia has engaged in discussions with automakers to attract electric vehicle (EV) component manufacturers to set up plants close to its copper mining sites.
The southern African country is Africa’s second-largest copper producer, and copper is a vital material used in electric vehicle (EV) engines, according to Bloomberg.
“We have been talking, even last week when I was in Germany, telling these companies to please consider the manufacture of some of your electric-vehicle components in Zambia,” Finance Minister Situmbeko Musokotwane said.
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“Those components can then be shipped to your factories in South Africa which now exports to the rest of the world. That is a powerful way of value addition.”
Rising investor confidence
The country has already made progress in attracting EV companies. Last year, Build Your Dreams (BYD), World’s largest electric manufacturer, expanded into Zambia through a partnership with Pilatus Electric Mobility Zambia Limited (PEM). The move signals growing investor interest in Zambia’s role in the global EV supply chain.
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Zambia’s government intends to maintain prudent fiscal policies even after its current International Monetary Fund (IMF) program ends in October, according to Finance Minister Situmbeko Musokotwane. He noted that the cabinet has not decided whether to pursue a new loan.
Speaking at Bloomberg’s annual Africa Business Media Innovators conference, Musokotwane also criticized the sudden withdrawal of some U.S. aid programs to Zambia and the broader African continent.
However, he acknowledged that such support was always expected to decline gradually.
