EKA Mobility Teams Up with Kerchanshe Group to Drive EV Expansion in East Africa

Indian electric vehicle maker EKA Mobility and Ethiopia's Kerchanshe Trading PLC signed a partnership to increase electric vehicle infrastructure in East Africa. The deal was signed in Dubai with intentions of distributing, assembling, and maintaining electric buses and commercial vehicles in Ethiopia and the neighboring markets.

The two firms plan to establish a local assembly plant in Ethiopia. This plant would enable cars designed by EKA Mobility to be assembled nearer to their end customers, possibly saving on import costs and minimizing delivery times. The plant will also serve as a hub for building regional distribution and services networks.

EKA Mobility, the electric bus, 3-wheeler, and small commercial vehicle maker, is backed by investors such as Mitsui & Co., VDL Groep, and Pinnacle Industries. It uses modular vehicle platforms and lean manufacturing practices designed to lower the cost of operation.

Kerchanshe Trading PLC has operations in various industries in East Africa, such as logistics, renewable energy, real estate, and coffee export. The group also has existing industry experience in operational industries and motor assembly, which it will contribute to the joint venture.

Ethiopia has a maturing industrial base and emphasis on clean energy, the chairman of EKA Mobility, Dr. Sudhir Mehta, said. Local conditions in East Africa make a strong argument for regional-specific electric mobility solutions, he added.

Israel Degefa, Kerchanshe Group CEO, said that the partnership brings together EV technology access with local market expertise. He highlighted the need to facilitate wider industrial development as well as electric transportation growth.

The deal is part of a larger shift in the global transport sector, as electric commercial vehicles are increasingly becoming policy and investment priorities. Innovations like the Expo 2025 Osaka, which will feature hydrogen power tractors and hydrogen commercial vehicles, demonstrate an increasing global interest in alternatives to conventional fuel-based transport.

In India, the same is happening, with electric tractors becoming popular in rural and semi-urban markets. If these trends are emulated, they can impact East African markets, where agriculture and last-mile transport hold significant economic importance. Although long-term implications of the EKA–Kerchanshe deal are yet to be confirmed, the move to localize assembly and increase infrastructure for servicing shows a direction toward the increased use of green commercial transport in the region.

91Trucks is the place to go for all things commercial vehicles. If you need a new or used truck for your business, check it out. We have everything you need, from detailed reviews and exact specs to the best deals that fit your business needs. Stay up to date on the latest news, analysis, and stories from the business.

Follow us on Facebook, Instagram, and LinkedIn, and subscribe to our YouTube channel to get the latest news and videos from experts!

Read More

1. Montra Electric Launches Upgraded Super Auto at Rs 3.79 Lakh Post-Subsidy
2. VE Commercial Vehicles to Manufacture Volvo Group’s Advanced 12-Speed AMT in India