The Director-General of the National Automotive Design and Development Council (NADDC), Joseph Oluwememan Osanipa, has declared a renewed push to transform Nigeria’s auto industry through aggressive local content development and a bold policy shift aimed at reducing dependence on imported vehicles and parts.
Speaking after a budget performance review session with the Senate Committee on Industries, Chaired by Senator Francis Fadahunsi at the National Assembly on Tuesday, Osanipa addressed lawmakers’ concerns over the council’s revenue shortfall, explaining that discrepancies in figures were due to misinterpretation of expenditure data rather than mismanagement.
“What they saw was what we’ve actually spent, and after our explanations, they were satisfied,” he said.
Despite the fiscal setbacks, the NADDC boss outlined an ambitious plan to boost local auto production by partnering with key industry stakeholders including the Association of Local Component Manufacturers (ARCMAN), the Manufacturers Association of Nigeria (MAN), and the National Automotive Manufacturers Association (NAMA).
“We’ve identified components that can easily be produced in Nigeria,” Osanipa stated. “Our goal is to ensure that these local producers can meet the required volume for domestic use. Without capacity, the programme will fail and we’re determined not to let that happen.”
The Council, which collected ₦25 billion in 2024 and projected ₦140.5 billion for 2025, admitted that actual collections have been far below target.
The Committee Chairman, Senator Fadahunsi, among others Senators highlighted the need for tighter revenue oversight, improved coordination with Customs, and a clear roadmap for sustainable sectoral growth.
Discussions also centered on the proposed legislation to ban used car imports, a move the Council believes will stimulate local vehicle assembly and protect domestic manufacturers.
Complementing this, Osanipa emphasized the importance of a credit scheme to make new vehicles affordable and a sectoral lending framework to strengthen financing for manufacturers.
The NADDC has also set up a technical committee to map out viable local production chains, particularly for motorcycles and tricycles, segments seen as ripe for rapid localization given their simpler components and high demand.
“It’s not just about producing; we must produce competitively,” Osanipa stressed. “We’re working to provide the financial and technical support needed for our manufacturers to thrive.”
With Nigeria’s automotive sector at a critical crossroads, the council’s push signals what could be the dawn of a new era one that prioritizes homegrown innovation, job creation, and economic independence over endless import dependency.
