NADDC Reports Nigeria's Auto Production Capacity Challenges

The National Automotive Design and Development Council (NADDC) reported that Nigeria has an installed capacity to produce between 450,000 and 500,000 vehicles annually, while domestic demand ranges from 350,000 to 450,000 vehicles. Joseph Osanipin, the Director General of NADDC, stated that with appropriate policies, financing, and infrastructure, Nigeria could meet a significant portion of its vehicle demand locally.

He highlighted the importance of access to finance, supportive legislation, and local production of automotive components to maximize manufacturing capacity. The NADDC has developed guidelines for implementing the Federal Government’s Nigeria First Policy in the automotive sector and is working on an automotive bill and a component development program.

Dr Jumoke Oduwole, the Minister of Industry, Trade and Investment, assured support for the industry through consumer credit and regulatory reforms, emphasizing the importance of consumer financing for purchasing quality vehicles. The government aims to assist Nigerian manufacturers in accessing markets across Africa through the African Continental Free Trade Area (AfCFTA).