Kigali, 27 June 2018:  His Excellency Paul Kagame, President of the Republic of Rwanda has formally launched the Volkswagen (VW) car assembling plant in Rwanda which will see 20 million U.S. dollars invested in the first phase of its operations.

While unveiling this assembling plant located at the Kigali Special Economic Zone in Kigali, President Paul Kagame said that Africa does not need to be a dumping ground for second-hand cars, or second-hand anything, because in the long run Africans may end up paying a higher price anyway, said Kagame.

"If you pay a high price for second hand, why not pay for something new. Africa and Rwanda deserve better and this is one way of showing we can afford it," he added.

H.E. Paul Kagame noted that Africa is not merely positioning itself as a new low-cost hub to manufacture goods for export. “African consumers will also be among the biggest contributors to growth in global demand in the years ahead”, Kagame said adding that “some found it hard to believe that German cars could really be built in Rwanda. Yet today, the first vehicles are rolling off the assembly line. One of the first vehicles to come to Rwanda was Volkswagen."

The Rwandan plant will have the capacity to assemble up to 5,000 cars per year, creating up to 1,000 jobs per year, according to Volkswagen Mobility Solutions Rwanda.

According to Thomas Schaefer, the Chairman and Managing Director of Volkswagen Group South Africa, Volkswagen Mobility Solutions Rwanda will incorporate a retail outlet including sales and service, an on-site assembly facility, a training center and a full suite of mobility services.

"Rwanda is a stable country that has provided conducive environment to investors. Volkswagen is pleased to have opened its plant in Rwanda after Kenya. This will not only enable Rwandans buy brand new Volkswagen cars, but will provide employment opportunities to them," he said at the launch.

According to Michaella Rugwizangoga, Chief Executive Officer of Volkswagen Mobility Solutions Rwanda, the German automaker will begin assembling three models of cars: the Hatchback Polo, the Passat and Teramont, a large sports utility vehicle, VW's branch.