Cameroon’s budding electric vehicle (EV) market is heating up as local startups face fresh competition from deep-pocketed foreign firms, all vying for dominance in a sector buoyed by generous tax incentives. The government’s push for greener mobility — exempting EVs from excise duties and slashing taxes on batteries and charging stations — has turned the country into an attractive destination for investors. But as international players like India’s Spiro enter the fray, homegrown innovators must now navigate an increasingly crowded and capital-intensive landscape.
On May 10, 2025, Spiro, an Indian electric motorcycle manufacturer, announced its expansion into Cameroon, marking its latest move in a rapid African expansion. The company plans to deploy 100 motorcycles in Douala by July, accompanied by 20 battery-swapping stations spaced every 3 kilometers.
“Our goal is to make electric mobility affordable,” said Rahul Gaur, Spiro’s Managing Director for West Africa and Cameroon. “At 1,500 CFA francs ($2.50) per 100 km, operating costs are significantly lower than petrol bikes.”
Backed by a $50 million financing deal with the African Export-Import Bank (Afreximbank), Spiro also intends to establish a local assembly plant, creating hundreds of jobs while transferring technical expertise — a key selling point for Cameroonian authorities. The funding, secured in May 2024, is part of Spiro’s broader strategy to expand its automated battery-swapping network and introduce new EV models across Africa. With additional backing — including a $63 million loan from GuarantCo and Société Générale in 2023 — the company has now raised over $100 million to fuel its continental growth.
Spiro’s arrival intensifies competition for Cameroonian EV startups, particularly Bee Group, which has been laying the groundwork for electric mobility since 2023. Last June, Bee secured a landmark partnership with Advans Cameroon and Atlantique Assurance to finance and insure 3,600 motorcycle taxi drivers over two years — a deal worth 2.3 billion CFA francs ($3.8 million).
“This isn’t just about vehicles; it’s about financial inclusion,” said Bee CEO Patrick Timani. The startup’s Tembo electric motorcycles, supported by microloans and insurance packages, target the country’s vast informal transport sector.
Meanwhile, independent innovators like engineer Lucien Michel Fezeu are pushing ahead with grassroots solutions. His “Babana 237” electric bike, built with locally recycled materials, costs just 500,000 CFA francs ($830) — a fraction of imported models. But scaling production remains a hurdle. “We need investment to mass-produce,” Fezeu admitted.
The 2025 Finance Act has been a game-changer, eliminating a 12.5% excise duty on EVs and offering a 50% tax break on batteries and charging infrastructure for two years. Officials hope these measures will spur an automotive industry while cutting carbon emissions.
Yet, skeptics question whether local firms can compete with foreign giants. Spiro, already operational in six African nations, boasts over 14,000 EVs on the road. Bee, though ambitious, is still in its early stages.
As Cameroon’s EV market evolves, the key challenge will be balancing foreign investment with local empowerment. While Spiro’s infrastructure promises efficiency, Bee and Fezeu’s models emphasize affordability and community integration.