KamAZ, GAZ, and UAZ are preparing to localize production in Ethiopia

The assembly of methane-powered vehicles will be established first

Russian automakers KamAZ, GAZ, and UAZ are actively preparing to enter the Ethiopian market. This was reported by Russian Ambassador to Ethiopia Evgeny Teryokhin.

KAMAZ-65956
KAMAZ-65956

According to the diplomat, negotiations on localizing the production of Russian motor vehicles in the country are proceeding in a substantive manner, taking into account the specifics of local regulation. The Ethiopian government allows the import of only electric and gas-powered vehicles, which is forcing Russian companies to adjust their proposals. In this regard, the most promising area appears to be the organization of assembly of natural gas vehicles — KamAZ and GAZ hold strong positions here.

Teryokhin noted that Russian manufacturers, including UAZ, are completing a feasibility analysis in order to offer the market a competitive product. The diplomat emphasized that time plays a key role, and efforts are now being made to ensure that the assembly lines of Russian companies are among the first to be launched in Ethiopia in the new segment.

An important incentive for advancing the projects was the decision of the Ethiopian government in October 2025 to abolish tax burdens on natural gas-powered transport. This creates a unique window of opportunity, especially given the limited ability of competitors to fully meet the growing demand for environmentally friendly and economical transport in the country.

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Sources:
TASS Agency

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