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China’s African appetite is far from sated

The continent is grappling with ever new linkages coming from the Middle Kingdom

January 29, 2026

Welcome to Green Rising - Sustainable industry in Africa has undoubtedly benefited from the influx of affordable Chinese technology and infrastructure.

But it’s not that simple. Sales of China-made electric cars are rising, and the move towards localised manufacturing is accelerating, for example in solar.

Yet when the red dragon sneezes, Africa is likely to catch a cold. A recent change in rules for renewables shows that.

China will end VAT export rebates for photovoltaic products from 1 April this year and phase out rebates for battery products by 1 January 2027. Africa relies heavily on Chinese imports, so the move risks slowing momentum after a record year for solar imports. For large projects with tight tariffs, higher equipment prices will directly squeeze margins.

  • The move is likely to reshape China’s solar industry through consolidation, favouring scale and efficiency. For Africa, this could mean fewer suppliers and less competitive sourcing in the long term.

  • Buyers are expected to bring forward orders before the changes take effect, driving a short import surge and upward pressure on shipping costs.

  • Our take: Ending these incentives will somewhat slow battery adoption and dampen the growth of hybrid projects… Read more (2 min)

Chinese carmaker Changan has launched its Deepal electric vehicles in Ivory Coast. It is the fifth Chinese EV manufacturer to expand into new markets in Africa in the space of a week. In the last seven days, BYD has landed in Tanzania, Dayun and Forthing have launched in Egypt, while Chery unveiled its Omoda and Jaecoo electric car brands in Tunisia.

  • Africa has become a battleground for Chinese EV firms looking to grow sales beyond their primary markets. More than a dozen of them have entered major markets such as South Africa and Morocco.

  • The continent has been a dumping ground for used fuel vehicles from Japan and Europe for decades. The influx of low-cost, new Chinese EVs is allowing African consumers to leapfrog to electric mobility. 

  • Our take: China is shifting Africa from a passive recipient of used cars to an active EV growth market … Read more (2 min)

Egyptian firm Kemet has signed two agreements with Chinese companies worth $700 million to establish a 5 GW-per-year solar cell manufacturing facility and a 5 GWh battery energy storage factory. The deals support Egypt’s push to vertically localise its solar supply chain, helping the country capture more value domestically while accelerating its energy transition.

  • Africa’s solar manufacturing sector has received a boost following new US trade tariffs on China, as Chinese companies seek partnerships to relocate production to tariff-friendly countries.

  • North Africa, in particular, is attracting Chinese manufacturers, given geographic proximity and existing trade agreements providing access to European markets.

  • Our take: Localisation efforts are coming at the right time, giving Africa a chance to leapfrog outdated technologies… Read more (2 min)

Number of the week

… is the annual e-waste volume in Kenya alone, swelled by the telecom boom, from discarded SIM cards to broken base stations. Fragmented responsibility, data gaps and weak compliance leave much telecom waste unmanaged. Circular fixes like biodegradable SIMs are available.

Network corner

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👉 Uganda’s Kyanja High School wins the 2026 Zayed Sustainability Prize for a circular farming system aimed at combating malnutrition, reducing waste and strengthening food security.

Top green jobs from…

EVENTS UPDATE 

📆 Join the International Energy Summit in Nigeria (Feb 2)

📆 Sign Up for Automorrow in Egypt (February 5)

📆 Attendthe Africa Energy Indaba in South Africa (March 3)

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