China’s GAC Motor expands to Nigeria

Car company brings business to Africa through SKD project.

The manufacturing world is coming closer together as more companies expand beyond their home country’s borders, bringing opportunities to areas around the globe.

GAC Motor has been expanding its footprint beyond China for some time, with showrooms in 15 countries throughout the Middle East, South East Asia and South America.

The company has recently entered the African market to build its first eight GS4 compact sport utility vehicles in Nigeria through its semi knocked-down (SKD) project, through CIG Motors.

According to GAC, the SKD factory in Nigeria is optimized to handle the production of the SKD kits and marks the first time Chinese vehicles have been produced in the country.

A new GS4 fresh off the assembly line in Nigeria. (Image courtesy of GAC Motor.)

A new GS4 fresh off the assembly line in Nigeria. (Image courtesy of GAC Motor.)

GAC Motor is pushing hard internationally, both in automotive production and in community outreach in the countries where it operates. The company sponsors driving events in Bahrain through the Tas’heelat Automotive Company, as well as the Africa Magic Viewers’ Choice Awards (AMVCA).

The company has its sights set on the more mature markets in Europe and North America next, according to Yu Jun, GM of GAC Motor.

“In the emerging market, GAC Motor is focusing on brand publicity, service and support, and talent development. And the SKD and CKD (complete knocked-down) in this market build a foundation for global supply chain and production system. Meanwhile GAC Motor is planning on forming research centers in North America to improve R&D capabilities.”

The domestic vehicle market in China is improving, according to a recent J.D. Power report, though it’s still dominated by foreign brands. It remains to be seen if GAC Motor’s international expansion will make the company a top contender back home.