The National Automotive Design and Development Council has unveiled plans to establish a major Automotive Development Park in Nnewi, Anambra State, in a renewed push to close longstanding gaps in Nigeria’s automobile industry and reduce dependence on imports.
Director-General of the Council, Oluwemimo Osanipin, disclosed this on Tuesday in Abuja while highlighting key initiatives under President Bola Tinubu’s Nigeria First policy. He described the policy as a strategic intervention aimed at accelerating local vehicle production.
According to him, the proposed Nnewi Automotive Development Park will provide shared infrastructure and facilities for manufacturers, lowering entry barriers and enabling investors to set up operations without the burden of building everything from scratch.
Osanipin said, “We are developing an Automotive Park known as the Nnewi Automotive Development Park, and we’re going to provide the necessary infrastructure so that users of the park will be able to share facilities.
“They don’t need to have everything on their own before they can set up. We have made significant progress, but we have reached a stage where we need investors to come in and inject more capital so that we can accelerate development.”
The NADDC boss called on private investors, financial institutions, and industry stakeholders to key into the initiative, noting that the success of the park would depend on strong public-private collaboration.
He stressed that the project is designed to transform Nnewi, already regarded as Nigeria’s automotive hub, into a fully integrated manufacturing cluster capable of supporting vehicle assembly, parts production, and innovation.
The move could help address one of the sector’s biggest challenges: fragmented production and high operating costs caused by a lack of shared infrastructure.
Osanipin also urged Nigerians to prioritise locally assembled vehicles, noting that increased patronage would stimulate job creation, deepen local value chains, and boost economic growth.
“The more Nigerians buy locally assembled vehicles, the more we create jobs, develop skills, and grow our economy,” he said.
He added that the current administration is committed to creating an enabling environment for the growth of the sector, particularly through policies that favour local production.
In a significant policy shift, the Federal Government has approved the procurement of electric vehicles for civil servants, with a directive that the vehicles be sourced from local assemblers.
“The Federal Government has approved the acquisition of electric buses to be used by civil servants, and these vehicles will be sourced from local assemblers here in Nigeria.
“The government has also gone further to procure charging stations that will be installed across parts of the country. All these steps are being taken to encourage the adoption of electric vehicles,” the NADDC boss added.
The move is part of a broader strategy to position Nigeria within the global transition to cleaner energy and sustainable transportation.
Osanipin further disclosed that the Council is also investing in capacity building to reduce reliance on imported automotive components, particularly tyres and batteries.
He said, “We are providing training for manufacturers and stakeholders on how to begin local production of key components like batteries and tyres. This is critical if we are to reduce imports, create jobs, and improve our Gross Domestic Product.”
To support the sector’s growth, the NADDC is working with the Bank of Industry to facilitate disbursement from the National Automotive Development Fund to qualified stakeholders.
In addition, the Council is preparing a new legislative framework to strengthen its operations and align Nigeria’s automotive policies with global best practices. “We are working towards sending a bill to the National Assembly that will strengthen our activities and reflect current realities in the global automotive industry,” Osanipin concluded.
Nigeria’s automotive industry has long struggled with underdevelopment, limited local production capacity, and heavy reliance on imported vehicles and components.
Despite earlier policy efforts, including the National Automotive Industry Development Plan, progress has been slow due to infrastructure deficits, inconsistent policies, and limited access to financing.
Nnewi, often referred to as the “Japan of Africa,” hosts several indigenous manufacturers and auto parts dealers, making it a natural choice for the automotive park.
The Nnewi Automotive Development Park could catalyse industrialisation, helping Nigeria transition from an import-dependent market to a manufacturing-driven automotive economy.
However, stakeholders warn that sustained policy consistency, investor confidence, and infrastructure development will be critical to achieving these goals.
As the Federal Government intensifies efforts under the Nigeria First policy, stakeholders say the success of initiatives like the Nnewi park will ultimately determine whether the country can finally unlock the full potential of its automotive sector.
