FG Moves to Strengthen Nigeria’s Automotive Industry

FG Moves to Strengthen Nigeria’s Automotive Industry

By Juliet Ezeh

The Federal Government has intensified efforts to transform Nigeria’s automotive sector through policies aimed at boosting local production, reducing import dependence, and creating jobs.

This push was outlined by the Director-General of the National Automotive Design and Development Council (NADDC), Joseph Osanipin, during a media briefing in Abuja.

Local Manufacturing Takes Centre Stage

According to Osanipin, the government is prioritising patronage of locally assembled vehicles as a strategic move to stimulate domestic manufacturing.

He noted that increasing demand for made-in-Nigeria vehicles would encourage investment, expand production capacity, and generate employment across the value chain.

Nnewi Automotive Park to Drive Industrial Growth

A key component of the government’s strategy is the development of the Nnewi Automotive Development Park in Nnewi, designed to serve as a hub for manufacturers and component producers.

The facility will provide shared infrastructure, allowing businesses to operate more efficiently without the burden of building independent systems from scratch. This model is expected to attract investors and accelerate industrial growth in the sector.

Electric Vehicle Push Gains Momentum

As part of broader reforms, the government is also supporting the transition to electric mobility by investing in charging infrastructure and promoting the adoption of electric vehicles.

This initiative aligns with global trends toward cleaner transportation while opening new opportunities for innovation and local production.

Focus on Local Components and Skills Development

The NADDC is also driving capacity-building programmes to enable local production of key vehicle components such as batteries and tyres.

Osanipin explained that strengthening local supply chains would reduce reliance on imports, improve value addition, and enhance Nigeria’s contribution to the automotive industry.

Financing and Policy Reforms Underway

To support industry players, the council is working with the Bank of Industry (BOI) to facilitate access to funding through the National Automotive Development Fund.

In addition, plans are underway to present a new bill to the National Assembly aimed at strengthening the council’s regulatory framework and aligning it with global standards.

Call for Stakeholder Support

Osanipin called on investors, manufacturers, and consumers to support the government’s vision by embracing locally assembled vehicles.

He emphasised that sustained collaboration among stakeholders would be critical to repositioning Nigeria’s automotive industry as a major contributor to economic growth and job creation.