Nigeria now has the capability to manufacture cars locally, and the Minister of Industry, Trade and Investment, Dr Doris Uzoka-Anite, has confirmed this.
She stated that with the government providing support, manufacturers should be responsible for ensuring that the cars start being produced by December 2024.
At present, Nigeria makes less than 10% of the cars used in the country.
The vehicle assembling industry in Nigeria, valued at about N302 billion, experienced a significant decline last year due to rising production costs and reduced demand for locally assembled cars.
The index for motor vehicles and miscellaneous assembly activities dropped below the benchmark in the Manufacturers CEOs Confidence Index, indicating further deterioration.
During the Automotive Component Manufacturers meeting in Abuja, the Minister acknowledged that the automobile industry is encountering challenges and opportunities.
The Federal Government has called for collaboration among stakeholders in the automobile industry to drive sustainable growth and development, as per a statement by the Director of Information and Public Relations, Adebayo Thomas.
This call is part of a broader strategy to enhance the industry's contribution to the nation's economy.
Encouraging stakeholders to support the Nigerian Automotive Development Policy, the Minister emphasized that the auto industry is ready to move forward.
She also warned stakeholders that if locally made cars are not produced by the end of the year, it will be their responsibility, as the government has created the necessary environment for the auto policy to begin.
Anite stressed the importance of cooperation among manufacturers, dealers, regulatory bodies, and other players in the automobile industry to address challenges, streamline processes, and drive innovation.
She urged stakeholders to uphold high-quality standards in vehicle manufacturing, safety features, emissions control, and after-sales services.
Strict adherence to quality will enhance consumer confidence and attract investment, according to the Minister.
The Minister assured everyone that the government will continue to promote increased investment in research and development, emphasizing the importance of innovations in electric vehicles, fuel efficiency, and alternative energy sources for long-term sustainability.
She underlined the significance of promoting local content by sourcing materials and components locally to create jobs, reduce import dependency, and contribute to economic diversification.
By doing this, the sector can create jobs, reduce import dependency, and contribute to economic diversification, she said.
The ministry's Permanent Secretary, Nura Rimi, highlighted the importance of unified action and a shared vision outlined in the Nigerian Automotive Development Policy.
He also advised people involved that the country will overcome challenges and unlock the complete potential of Nigeria’s automotive part industry.
He advised NADDC and other involved parties to take advantage of the opportunity to create partnerships, explore new areas of cooperation, and come up with methods to boost the automotive parts manufacturing industry to new levels of success.
The statement added, “The government’s directive emphasizes the important role stakeholders have in shaping its direction. Their dedication to sustainable practices will move Nigeria’s automotive sector towards a brighter and more successful future.
“Environmental Responsibility: Stakeholders are reminded of their environmental duties. Sustainable practices, recycling, and eco-friendly manufacturing processes are crucial for a more environmentally friendly future.” the statement explained.
