Zambia, Africa’s second-largest copper producer, is actively engaging with global automakers to encourage them to establish electric vehicle (EV) component manufacturing plants near its abundant copper mining sites.

Copper is a crucial material for EV engines, making Zambia a strategic location.

Finance Minister Situmbeko Musokotwane highlighted these discussions, noting recent talks in Germany where he urged companies to consider producing EV components in Zambia.

He suggested these components could then be supplied to factories in South Africa, which exports globally, describing this as a “powerful way of value addition.”

This initiative comes amidst rising investor confidence in Zambia’s role in the global EV supply chain.

As an example, last year, the world’s largest EV manufacturer, Build Your Dreams (BYD), expanded into Zambia through a partnership with Pilatus Electric Mobility Zambia Limited (PEM).

In related news, Minister Musokotwane affirmed Zambia’s commitment to maintaining prudent fiscal policies even after its current International Monetary Fund (IMF) program concludes in October, though the cabinet has not yet decided on pursuing a new loan.

He also commented on the gradual decline of some U.S. aid programs to Zambia and Africa, which he acknowledged was anticipated.