In a move towards self-sufficiency, the Nigerian government has unveiled plans to kickstart local vehicle manufacturing within the next decade. Minister of Industry, Trade and Investment, Doris Uzoka-Anite, made the announcement on Friday during the launch of the Nigeria Automotive Industry Development Plan.
Speaking at the event attended by stakeholders from both private and public sectors, Minister Uzoka-Anite emphasized Nigeria’s potential to manufacture a range of vehicles including motorcycles, tricycles, sedans, and heavy trucks. The primary objective, she stated, is to reduce the cost of vehicle acquisition within the country.
“Nigeria can produce its vehicles. We have the raw materials, we have the skills, we have a market, and now we have a plan that can help us produce our vehicles,” the Minister affirmed.
Highlighting the comprehensive nature of the plan, she reiterated the goal of achieving full vehicle production autonomy within ten years. Joseph Osanipin, the Director General of the National Automotive Design and Development Council, outlined a key aspect of the proposed policy: a five-year tax holiday for vehicle assemblers in Nigeria.
Osanipin emphasized that such fiscal incentives aim to foster backward integration and promote local component production. This initiative is particularly significant against the backdrop of a substantial increase in vehicle imports, soaring by 226.46 per cent to N1.063 trillion in 2023 from N325.05 billion in 2022, as reported by the National Bureau of Statistics.
The unveiling of the Nigeria Automotive Industry Development Plan signals a strategic shift towards reducing dependency on imported vehicles and leveraging Nigeria’s abundant resources and skilled workforce to drive domestic manufacturing and economic growth.
