Volkswagen will open its first car assembly plant in Kigali's Special Economic Zone on Wednesday.

The German carmaker will beginning assembling the Hatchback Polo and Passat models.

The firm plans to start with about 150 vehicles for car pooling through an online platform that resembles the Uber car-sharing services.

Another 150 vehicles will be produced for the ride hailing service.

According to Volkswagen South Africa CEO Thomas Schafer, the Kigali plant is expected to employ between 500 to 1,000 people.

The carmaker is seeking to expand its presence in East Africa after opening an assembly plant in Kenya in September 2016.

A Volkswagen production line at the Kenya Vehicles Manufactures (KVM) in Thika. The German carmaker plans to spend $20m in new plant and ride-hailing service in Rwanda. PHOTO | DIANA NGILA | NATION MEDIA GROUP