(Reuters) – Ford Motor Co announced 17 new vehicles forĀ Sub-Saharan AfricaĀ on Thursday, as carmakers jostle for position in one of the last major markets where potential growth remains largely untapped.
The models, among 25 to be introduced by 2016 in a broader product offensive across theĀ Middle EastĀ andĀ Africa, draw on the U.S. auto giant’s global vehicle architectures to offer more up-to-date features for markets such asĀ South Africa.
“Middle EastĀ andĀ AfricaĀ is the final frontier for global automotive growth,” Ford’s regional chief Jim Benintende said. “We’re putting the infrastructure and people in place to participate.”
Western carmakers are showing renewed interest inĀ Africa, in some cases reviving previously abandoned manufacturing sites or considering new ones. Chinese brands are also a growing presence on the streets of cities such asĀ NairobiĀ andĀ Lagos.
On Wednesday, PSAĀ PeugeotĀ Citroen announced the gradual resumption of car assembly inĀ Nigeria,Ā Africa’s most populous country, and said it may soon add a second and third model there. [ID:nL6N0PR3M3]
Total vehicle sales across theĀ Middle EastĀ andĀ AfricaĀ region are expected to grow 40 percent by the end of the decade, according to Ford’s projections.
The planned model roll-out includes updated versions of the Focus compact andĀ FusionĀ large car, escorted by Ford’s resurrectedĀ MustangĀ sports car.
They bring a step up in fuel economy, touch-screen connectivity and other features intended to hone Ford’s competitiveness against more spartan rivals in African markets.
At the start of this year, Ford created itsĀ Middle EastĀ &Ā AfricaĀ business unit in a region that includes 67 countries, part of which until this year reported to Ford’sĀ Europeoperations, part toĀ North AmericaĀ and part toĀ Asia-Pacific.
Ford sold about 200,000 autos in theĀ Middle EastĀ andĀ AfricaĀ in 2013, including a sales increase of 40 percent inĀ South AfricaĀ to 64,500 vehicles, its top market in the region. Its second-biggest market in the region isĀ Saudi Arabia, where it sold 54,000 vehicles last year.
IHS Automotive consultancy said Ford was fifth in South African auto sales last year with a 9 percent market share and sixth inĀ Saudi ArabiaĀ with a 4 percent market share.
But Ford’s long-established South African manufacturing base may yet be undermined by industrial unrest.
Ford was forced to halt one of its two plants in the country this week as a wave of strikes that had crippled the mining sector and broader economy spread to auto suppliers, with workers seeking pay increases of 12 percent to 15 percent. [ID:nL6N0PP1L7]
The stoppages have also hit General Motors, Toyota, and Mercedes-Benz and may soon affect BMW and Nissan unless resolved swiftly.
Ford regional chief Benintende has sought to play down suggestions that unrest could ultimately force theĀ Dearborn,Ā Michigan-based automaker to move production elsewhere.
