Nigeria aims for 19% local auto parts production target

The Federal Government of Nigeria has set a target to produce 19% of the country's automotive components locally, addressing the over $3bn spent annually on importing vehicle spare parts and components. Dr Chris Osa Isokpunwu, the Permanent Secretary of the Federal Ministry of Industry, Trade and Investment, stated that achieving this goal requires a transition from vehicle assembly to local manufacturing, supported by affordable financing, reliable infrastructure, and enhanced public-private collaboration.

Speaking at a sensitisation workshop organized by the National Automotive Design and Development Council (NADDC) in Lagos, Isokpunwu pointed out that Nigeria has over 11 million vehicles on its roads, creating a significant market for automotive components. Currently, around 90% of vehicles and spare parts are imported, with only 5-6% assembled locally.

He warned that continued reliance on imports could undermine local industrialization. The NADDC's Director-General, Otunba Oluwemimo Joseph Osanipin, emphasized the importance of local component manufacturing for economic growth and employment.