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- Industry News
- 14 December 2025
Volkswagen has signed a Memorandum of Understanding (MoU) with the Government of Rwanda to establish a modern farm with electric tractors.
The MoU was signed by Dr Ildephonse Musafiri, the Minister of Agriculture and Animal Resources, Serge Kamuhinda, CEO of Volkswagen Mobility Solutions Rwanda, and Martina Biene, Chairperson and Managing Director of Volkswagen South Africa, in the presence of Imelda Labbé, member of the Brand Board of Management of Volkswagen for Marketing, Sales and After-sales.
As part of the MoU, the Government of Rwanda has agreed to provide land in Gashora (Bugesera District) for the project, as well as to assist with permitting and licensing requirements of the project.
The objective of the GenFarm Project in Rwanda is to make a positive, sustainable socio-economic and environmental impact on the community by creating a carbon neutral business ecosystem.
The GenFarm Project is a holistic ecosystem of e-powered mechanised farming service for rural areas in Africa that is reliable, sustainable and environmentally friendly. The excess energy used to charge the electric tractors will provide power for post-harvest handling and storage.
The pilot project in Rwanda is steered by Volkswagen Group Innovation in partnership with Volkswagen Mobility Solutions Rwanda.
“The signing of the MoU with the Government of Rwanda marks yet another milestone for Volkswagen’s sustainable mobility lighthouse projects in Rwanda. Our long-term plan is to build up demand for electric batteries in Africa by introducing locally relevant business solutions.
“The future of mobility in Africa will also be determined by the storage and distribution of green energy. With the GenFarm, we hope to address the mobility needs of customers with high transformational impact on the African economy,” says Martina.
According to a Reuters report, Ford and Renault have agreed to work together on a new generation of compact, lower-priced electric cars for Europe, while also expanding cooperation on commercial vans, as both manufacturers seek to defend their market positions against increasingly aggressive Chinese rivals.
As South Africa forges ahead in the automotive landscape, a notable divide has emerged in the growing realm of new-energy vehicles.
Kenya’s automotive industry recently made headlines when Tad Motors unveiled its first range of locally assembled electric vehicles (EVs), igniting discussions across Africa about the continent’s growing capacity for indigenous mobility solutions.