Local manufacturing of vehicles is on the horizon for Nigeria as the government gears up to kick start the process in the coming decade.
During the launch of the Nigeria Automotive Industry Development Plan, Minister of Industry, Trade and Investment, Doris Uzoka-Anite, unveiled this ambitious plan on Friday.
Stakeholders from both the private and public sectors gathered to witness the Minister’s announcement about the country’s upcoming venture into producing vehicles that range from motorcycles to heavy trucks.
The primary objective highlighted by the Minister was aimed at reducing the financial burden on Nigerian consumers when purchasing vehicles.
Expressing confidence in Nigeria’s capabilities, the Minister emphasized, “We have the resources, expertise, a ready market, and now a comprehensive plan to aid in our vehicle production journey.”
“Our target is to achieve full-fledged local vehicle manufacturing within the next ten years. We aspire to make owning a vehicle more affordable for the average Nigerian,” he added.
In support of the plan, Joseph Osanipin, Director General of the National Automotive Design and Development Council, discussed a proposed policy offering assemblers of vehicles in Nigeria a five-year tax exemption to facilitate the realization of this vision.
Osanipin stressed, “The strategy includes incentives like tax relief and prioritizing local component production to foster indigenous vehicle production.”
This development unfolds against the backdrop of a significant surge in vehicle imports, which skyrocketed by 226.46%, reaching N1.063 trillion in 2023 from N325.05 billion in 2022, as reported by the National Bureau of Statistics.