African Industrial Landscape Undergoes Significant Transformation
The African industrial landscape is experiencing a major turning point. According to the 2025 edition of the African Industrialization Index (AII), the continent is entering a new phase of economic transformation. A new leader has emerged, while several countries long considered to be lagging behind are now making rapid progress.
A Common Ambition: Reducing Dependence on Raw Materials and Strengthening Local Transformation
Behind this evolution, a common ambition is taking shape: reducing dependence on raw materials and strengthening local transformation.
Morocco Takes the Lead
This is the main lesson from the report. For the first time, Morocco has become the leading industrial power in Africa, surpassing South Africa. The kingdom has built its strategy over several years around modernizing infrastructure, developing industry, and diversifying exports. Several sectors, including automotive, aerospace, textiles, and renewable energy, have contributed to strengthening its position on the continent. South Africa, however, still maintains significant economic weight, despite a slowdown due to structural difficulties that weigh on its competitiveness.
A Broader Evolution
The report also highlights a broader evolution. Between 2010 and 2024, 41 out of 54 African countries improved their level of industrialization. The most rapid progress concerns historically less industrialized economies. This movement reflects a beginning of catching up between the most advanced countries and those that have long been left behind by major industrial dynamics.
DRC, Djibouti, Gabon: The Most Notable Progress
Certain countries stand out particularly for their evolution. The Democratic Republic of Congo has made the most significant progress on the continent, with a gain of 16 places in 15 years, driven in part by a significant increase in manufacturing value added per capita. Djibouti and Gabon have also made significant progress, with 13 and 11 places gained in the ranking, respectively. Benin, Mauritania, Senegal, and Somalia are also among the countries that have accelerated their industrial development in recent years.
Regional Trends
At the regional level, North Africa remains the most industrialized region, followed by Southern Africa. However, in terms of growth, trends are evolving. East Africa and West Africa are now showing the most sustained growth rates. In contrast, Southern Africa is slowing down, particularly due to the South African slowdown.
Challenges Ahead
Despite these advances, several weaknesses persist. The report highlights the weakness of production capacities in certain countries. While infrastructure is progressing, many industries are still struggling to produce competitive goods with high value added. The political and security environment also remains a risk factor. Macroeconomic instability continues to hinder investment and limit the visibility of industrial players.
The African Continental Free Trade Area (AfCFTA) as a Strategic Lever
For the authors of the report, the next step will involve more advanced economic integration. The AfCFTA is seen as a tool capable of strengthening regional value chains and creating real industrial corridors between neighboring countries. The goal is to build a more integrated African market, capable of supporting sustainable industrialization and better positioning the continent in global trade. It now remains to be seen how this dynamic can be converted into sustainable growth, capable of creating more jobs, investment, and value added on the continent.
Note: The report is the result of efforts by the African Development Bank (AfDB) in collaboration with the African Union and the United Nations Industrial Development Organization (UNIDO).
