Golden Dragon Wins First Major Order for Electric Bus KD Project in Africa

03 December 2024

Chinese buses have achieved a new milestone in their "going global" journey! Recently, Xiamen Golden Dragon Bus Co., Ltd. (abbreviated as Golden Dragon) has started mass production and gradual delivery of its electric bus KD (kit assembly) project in Ethiopia. This project marks the first new energy KD project established by a Chinese bus company in an East African country, setting a new paradigm for capacity cooperation between China and Ethiopia, and adding a new highlight to BRICS cooperation and the Belt and Road Initiative.
 
Deep Cultivation of the Market Secures First Major Order for Electric Bus KD in Africa
 
Recently, a grand delivery ceremony for pure electric buses was held at the Ethiopian Electric Power Corporation in Addis Ababa, the capital of Ethiopia. The vehicles were jointly delivered by Golden Dragon and the Benini Kind Group of Ethiopia, including five Golden Dragon pure electric light buses and four pure electric 12-meter buses. Notably, the four pure electric buses are the first new energy buses assembled locally in Ethiopia in KD form, marking a milestone breakthrough in the local new energy transportation sector.
 
Representatives from the Xiamen Municipal Bureau of Commerce and Golden Dragon witnessed this important moment together. In recent years, with the support of the Xiamen Municipal Bureau of Commerce, Golden Dragon and the Benini Kind Group have deepened their cooperation in the new energy field, expanded the export of KD components, and formed a strong strategic partnership.
 
"We have been cultivating the Ethiopian market for nearly a decade and are now in an accelerated development phase," said Jiang Yonghui, Vice President of Golden Dragon Bus. He explained that this order includes 150 pure electric light buses and 100 pure electric 12-meter bus kits, representing the first major order for pure electric KD kit buses in Ethiopia and the entire African region. Currently, all 150 pure electric light buses have been delivered, and the remaining 100 pure electric bus KD kits have arrived in Ethiopia, with production and delivery to be completed soon.
 
These buses will operate in Addis Ababa to improve local public transportation, enhance travel convenience, and facilitate the electrification of local public transportation. By then, Golden Dragon's market presence in Ethiopia will reach 900 buses, making it the Chinese bus brand with the largest number of new energy buses in the local market, showcasing its exceptional performance.
 
Capacity Cooperation Establishes First New Energy KD Project in an East African Country
 
This order adopts the KD export format. Golden Dragon, in collaboration with its partner the Benini Kind Group, has pioneered the establishment of a pure electric vehicle KD project in Ethiopia, marking the first such project in an East African country.
 
According to reports, Golden Dragon and the Benini Kind Group began discussing KD project cooperation as early as 2018. In recent years, Ethiopia has encouraged the development of electric buses and the transfer of related technologies while banning the import of fuel buses. This has led to the upgrade of the cooperation project from a traditional fuel vehicle KD project to a electric bus KD project.
 
The Golden Dragon-Ethiopia pure electric bus KD project covers an area of 7 hectares and includes production workshops for large and medium-sized buses and light buses. Given Ethiopia's low industrial manufacturing level and weak foundation, building a modern vehicle assembly factory on an empty site and producing vehicles of the same quality as those produced in the Xiamen production base is a challenging task. "We sent a team of engineers and senior technicians to Ethiopia to fully participate in the factory design and layout work, while also sharing technical expertise in production and management with the locals," said Jiang Yonghui. Furthermore, Golden Dragon and the Benini Kind Group have jointly established a technician training school to help cultivate electrical engineers.
 
Through perseverance and acceleration, the project successfully commenced trial production in 2023 and has entered mass production this year. The project's implementation has not only enhanced the competitiveness of Golden Dragon's products and brand but also created local jobs, driven the development of the local automotive industry chain, and achieved transportation optimization and upgrading, allowing local residents to enjoy the convenience and comfort of green public transportation.
 
More significantly, the project has also achieved the "group export" of the three-electric system (battery, electric drive, and electric control). "This project is not just about producing buses; it involves an entire production system and supporting usage system. We have brought charging stations, charging equipment, batteries, and other supply chain enterprises to take root locally, providing a comprehensive solution for pure electric busles and enabling the local commercial vehicle charging facilities to adopt Chinese standards," said Jiang Yonghui. The project not only realizes the overseas export of China's new energy bus capacity and technology but also implements "Chinese solutions" and "Chinese standards," granted the project special significance in the Chinese bus industry.
 
Seizing the Momentum to Write a New Chapter in Overseas Markets
 
The road to "going global" may seem easy, but truly taking root is challenging. "If whole vehicle trade is 'going out,' then KD (kit assembly) export is 'going in,'" said Jiang Yonghui. KD export is the inevitable choice and direction for the future "going global" of China's manufacturing industry. This year, Golden Dragon's KD exports have surpassed whole vehicle exports, accounting for 51% of the total.
 
Currently, Golden Dragon has 12 KD projects in overseas markets, including Thailand, Vietnam, Egypt, Tunisia, Ethiopia, Nigeria, and others. Golden Dragon has become the Chinese bus company with the most KD factories established overseas, continuously writing stories of "entry, deepening involvement, and integration."
 
Each KD project faces difficulties and challenges. "Different places have different requirements, some demand Euro 6 emission standards, some require zero emissions, and there are significant differences. Moreover, the vehicles need to adapt to local road conditions and operating habits, requiring personalized customization," said Jiang Yonghui. We participate in the entire process, from factory planning, production processes, worker training, to bus production control, providing technical support to ensure the successful implementation and localization of KD projects. Moving forward, Golden Dragon will continue to expand KD projects based on market opportunities and expand its overseas market presence.
 
From past product exports to current multi-level exports of technology, capacity, brand, and services, Golden Dragon has achieved impressive results in overseas markets. Data shows that this year, Golden Dragon's export sales to BRICS countries have increased by 140% year-on-year. In the European market, which represents the highest level and development direction of global bus technology, Golden Dragon's export volume has also shown steady growth.
 
Forging Ahead to Write a New Chapter, Setting Sail Again for Stable and Far-Reaching Progress. Jiang Yonghui stated that Golden Dragon will seize the development opportunities in BRICS countries and the Belt and Road Initiative, striving to write a new chapter in overseas markets and allowing Chinese autonomous bus brands to continue to shine on the global stage.
 

Source : www.chinabuses.org

Editor : Isabella

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