Windhoek, Namibia, 8 April 2025 (ECA) - The Economic Commission for Africa, Sub-Regional Office for Southern Africa (ECA SRO-SA) organised a consultative meeting on 8 April 2025 in Windhoek, Namibia to develop an automotive policy framework to support Namibia’s and Lesotho’s integration into the Automotive regional Value Chain.
The meeting reviewed the draft automotive Policy framework document presented by the ECA Consultant on the comprehensiveness of the methodology; alignment with other frameworks supporting trade and industrialization; and assessed the feasibility of the recommendations for recalibration and successful implementation of the framework.
Ms. Olayinka Bandele, ECA Chief of the Inclusive Industrialization Section (SRO-SA), delivered the welcoming remarks noting that in Southern Africa, South Africa is the most integrated country in the automotive value chain and that Namibia comes second. However, “the region as a whole remains far behind in integrating into the global supply chain, with the exception of South Africa”.
She outlined initiatives taken by ECA to enhance the capacities of Southern African countries on the automotive sector which include a High-Level Policy Dialogue (HLPD) on the Development of the Automotive Regional Value Chains and E-Mobility which took place on 12th December 2024 and was attended by Morocco, Democratic Republic of Congo, Botswana, Namibia, Lesotho, Malawi, Zambia and Zimbabwe. She emphasised that the HLPD aimed at, “exploring strategic priorities for fostering regional value chains in the automotive and electric mobility sectors, evaluating partnership opportunities, and refining regulatory frameworks in order to create a conducive environment for their growth. The dialogue leveraged on the experiences of participating countries in the automotive and e-mobility sectors, drawing lessons from their progress to inform the expansion of these industries across the region”.
She further indicated that a study tour was undertaken to enhance participants understanding and increase capacity towards inclusive development of the sector in Southern Africa.
Mr. Phillip Van Der Merwe, Group Sales and Marketing, Indongo Toyota Group, Namibia made a private sector presentation giving market analysis of Namibian car automotive trade environment, available and needed skills and the need for capacity development. On Lesotho market analysis Mr. Elias Tsepi Economic Advisor to the Prime Minister of Lesotho applauded ECA for the joint initiative and shared that, “Lesotho has a long-track record in manufacturing and that the major gaps in the sector are in skills training, building a legal framework. He emphasized that creating a technical committee will be essential to guide the country to implement the regulations proposed in the report.
Mr. Rodney Dan-Ao !Hoaeb, ECA Consultant presented the Draft Policy Document, he underscored the main objectives of the study being: alignment for an integrated automotive value chain in Southern Africa, key incentives and requirements for the development of automotive Special Economic Zones and business linkages for Micro, Small and Medium Enterprises.
The report also underlined the challenges both countries face: firstly, failure to align with the rules of origin requirements under the Southern African Customs Union (SACU) and the Southern Africa Development Community Secondly, importation of second-hand vehicles which have flooded the region outperforming brand-new vehicle sales in the region and lastly, the mis alignment of policies and regulations to support the stability of the automotive sector.
The speeches and presentations were followed by group discussions on policy gaps and harmonization and business linkages and private sector development for the automotive industry.
Participants from respective ministries and automotive private sector representatives from both countries gave comments and made recommendations for the finalisation of the automotive policy framework; enhanced appreciation of scope of work towards development of the automotive policy framework for Namibia and Lesotho, increased understanding of regional tools, initiatives and programmes which may be utilised to progress development of the automotive sector and value chains in the two countries and enhanced ownership of the draft automotive policy framework for Namibia and Lesotho.
Issued by:
Communications Section
Economic Commission for Africa
PO Box 3001
Addis Ababa
Ethiopia
Tel: +251 11 551 5826
E-mail: eca-info@un.org