Indian motorcycle and two- and three-wheeler manufacturer TVS Motors is in talks to establish a production facility in Egypt, according to a statement from Egypt’s Ministry of Investment, reported by Ecofin Agency.
A company delegation is expected to visit the country soon to carry out a detailed feasibility study for the project.
“This project aims to establish the largest motorcycle and tricycle manufacturing hub in Africa, leveraging the competitiveness of local labor and free-trade agreements,” the statement said.
TVS Motors plans to begin production with internal combustion engine vehicles, gradually transitioning to electric vehicles in line with global industry trends.
If negotiations are successful, Egypt would become the first African country to host a manufacturing facility operated by the Indian company.
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Currently, TVS Motors’ presence in Africa is largely limited to distribution and assembly. Establishing a local production base could improve price competitiveness in a market that still relies heavily on imported two- and three-wheelers.
Market research firm Mordor Intelligence reports that Africa’s two-wheeler market is expected to reach $5.55 billion in 2026 and grow to $7.29 billion by 2031, with a compound annual growth rate of 7.08%.
Rapid urbanization, a mostly young population, and incentive-based tax policies in several countries support this growth.
Asian manufacturers such as Bajaj, Honda, and TVS currently dominate the African market, with Nigeria, Kenya, and Ghana among the continent’s largest importers.
A manufacturing presence by TVS Motors in Africa could increase competition for the relatively few emerging local manufacturers.
No formal timetable or commitment has been announced, as the project is still in the discussion and preliminary study phase. Its execution will depend on the outcomes of negotiations and the investment and industrial conditions offered.
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Image Credit: ET Manufacturing
