CMC Motors Group has entered into partnership with French automotive manufacturer Renault Trucks to expand its footprint within the heavy commercial truck segment, to meet growing demand across the East African Region.
According to Renault Trucks Africa Vice President, Cyril Barille, East Africa is one of the fastest growing regions, a factor that has contributed to increased demand for logistics services and equipment.
“East African economies continue to grow creating demand for heavy commercial vehicles. This demand is driven by the end-to-end logistics for industries, retail and agricultural production. Additional demand has come from the construction industry with governments investing in the development of trunk infrastructure such as roads, water and sewerage as well as electricity. Aside from governments, the private sector continues to invest in the development of real estate and the emerging mining sector. Kenya also acts as the regional hub for East and Central Africa, due to its strategic location.” Cyril Barille added.
Under the new partnership, Renault will benefit from CMC’s regional footprint and network with over 8 branches across Kenya, and a central warehouse in Nairobi.
According to Noel Mabuma, CMC Motors CEO, the entry of Renault trucks into the market will enhance its offering within the heavy commercial vehicle segment to meet increasing demand from both existing and emerging industries.
A CMC Motors regional training center will also be opened in Nairobi, repositioning Kenya as the regional Hub for the South East Africa region enabling the upskilling and supporting competence development.
Though the vehicles are of French origin, they will be assembled locally under a partnership between CMC Motors and Kenya Vehicle Manufacturers (KVM). The plant will create over 200 new jobs with additional opportunities set to be generated across the value chain.