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Home » Blog » NADDC Pushes Forward with Nigerian Automotive Industry Development Plan
BusinessNewsNigeria

NADDC Pushes Forward with Nigerian Automotive Industry Development Plan

Essential Ndubuisi
Last updated: September 2, 2024 4:19 am
Essential Ndubuisi
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As the Nigerian Automotive Industry Development Plan (NAIDP) gains traction, the National Automotive Design and Development Council (NADDC) has intensified efforts to realize the plan’s objectives. In a recent initiative, NADDC’s Director-General, Mr. Joseph Osanipin, along with partners from the African Association of Automotive Manufacturers (AAAM), embarked on a tour of local automotive content manufacturers across the country.

The tour, which focused on the eastern region, included visits to Innoson Vehicle Manufacturing Company Ltd (IVM) and Afro Asia Nigeria Ltd in Nnewi, Anambra State, as well as several firms in Enugu. During these visits, Osanipin praised the innovation and local content utilization by the companies, particularly highlighting Innoson’s production of complete compressed natural gas (CNG) buses from locally sourced materials such as glass, iron, and plastic.

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Osanipin expressed a strong interest in replicating Innoson’s successful manufacturing model across Nigeria, emphasizing the importance of setting standards and conducting peer reviews with other economies. He assured Nigerians that the vehicles produced by IVM meet global standards and encouraged the company to further enhance its local content levels, given the available capacity and expertise.

David Coffey, CEO of AAAM, joined the tour as part of the association’s mission to help industrialize and grow Africa’s automotive sector. Coffey identified key steps in this mission, including working with African governments to develop and refine policies, promoting affordable and low-emission vehicles, and fostering partnerships across the public and private sectors. He acknowledged the impressive manufacturing capabilities in Nigeria but pointed out the lack of demand as a significant challenge. Coffey also emphasized the need for increased investment in the automotive sector and suggested collaboration with local businesses to localize production and bring in advanced technology.

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Chief Innocent Chukwuma, CEO of Innoson Vehicle Manufacturing Company Ltd, welcomed the visitors and asserted that Nigeria has no need to import CNG buses, as IVM is fully capable of meeting the market’s demand. He commended the Federal Government’s zero-duty policy on CNG equipment and components and urged Nigerians to embrace CNG as a cost-effective and environmentally friendly fuel alternative.

The tour continued with a visit to Afro Asia Nigeria Limited, where CEO Dr. Chika Okafor showcased the company’s manufacturing processes, from plastic recycling to the production of various items. Dr. Okafor highlighted policy inconsistency as a major challenge facing the industry and called for legislative backing of the NAIDP to unlock the full potential of Nigeria’s automotive sector.

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The delegation later visited Innoson Technical and Industrial Company in Emene, Enugu, a leading manufacturer of plastics and automotive accessories, as well as General Tyres and Tubes, another Innoson subsidiary, and the ANAMMCO auto plant in the same area.

TAGGED:Nigerian Automotive Industry Development Plan
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