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Discussion Starter · #1 ·
It is now safe to say that Nigeria is poised to be an Auto-Manufacturing Giant in the coming years. The Nigerian Automotive Policy which is anchor government policy for auto-manufacturing is yielding tremendous result. In order to keep track of these progress, Post News, Images, or Information relating to the Auto Industry in here.

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Discussion Starter · #2 · (Edited)
At least 12 automobile manufacturing firms have indicated interest in setting up vehicle assembly plants in Nigeria, the Director-General, National Automobile Council, Mr. Aminu Jalal, has said.

He also said old assembly plants such as those of Leyland and Leventis Motors were being revived to give a new lease of life to the nation’s auto industry.

Apart from Nissan, which has commenced the roll-out of the Patrol sport utility vehicle in Lagos, the NAC DG said three new auto assembly plants, including Hyundai, would commence operation next month.

Jalal, in a telephone interview with our correspondent on Thursday, also confirmed the July 1, 2014 date for the enforcement of a new tariff on imported vehicles, including fully built units, which was raised from 20 per cent to 70 per cent.

The Federal Government had on October 3, 2013 announced the introduction of a new auto policy to discourage the importation of used cars and encourage the local manufacturing of new vehicles.

A two-page document dated November 14, 2013 and signed by the Minister of Finance, Dr. Ngozi Okonjo-Iweala, had stated that a fully built car would attract a duty of 35 per cent and a levy of another 35 per cent of the cost of the vehicle.

Hitherto, importers and dealers were parting with 20 per cent and two per cent as duty and levy, respectively on new cars. Ten per cent flat rate was also imposed on commercial vehicles.

Jalal said on Thursday that the 12 firms had concluded all the preliminary works on the planned assembly plants and were expected to begin the roll-out any moment from now.

He listed some of the vehicles that would be assembled as Kia, Renault, Foton, Higer automobiles and Joylong, among others.

He said Dana Motors facilitated the coming of the Kia and Renault brands; while Coscharis Motors sealed an assembly plant agreement with a Chinese firm, JiangSu Joylong Automobile, for the production of over 14,000 Joylong and other Chinese vehicles every year.

Globe Motors Holdings Nigeria Limited is also bringing in a Chinese firm to establish a $120m assembly plant that will produce Higer automobiles.

“By the end of the year, all the 12 auto manufacturing companies are expected to have established their vehicle assembly plants in the country,” Jalal said.

He noted that Toyota was currently doing feasibility studies and would hopefully declare its intention to join the train before the end of the year.

For instance, he said activities at the Innoson Vehicle Manufacturing Company in Nnewi and Volkswagen Nigeria in Lagos were being boosted in readiness for the expected boom in the locally assembled vehicles market.

He expressed satisfaction with the response of the global auto manufacturers and vehicle dealers to the new auto policy of the Federal Government.

Meanwhile, the Nigeria Customs Service said it had commenced a new vehicle transit regime for automobiles being imported into the country from Benin Republic and Seme Border.

A statement on Thursday by the Customs Public Relations Officer for the Seme Border Command, Mr. Ernest Olottah, said the exercise would be extended to other neighbouring countries such as Cameroon, Chad and Niger Republic in due course.

“The new policy, which is a fall out of the March 26, 2014 meeting of the comptrollers-general of Customs of the five proximate countries held in Abuja, and in line with the Transit Code, will see all Nigeria-bound vehicles imported from the affected countries being handed over to the Nigerian Customs by the country’s customs administration after due clearance,” it said.


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It is now safe to say that Nigeria is poised to be an Auto-Manufacturing Giant in the coming years. The Nigerian Automotive Policy which is anchor government policy for auto-manufacturing is yielding tremendous result. In order to keep track of these progress, Post News, Images, or Information relating to the Auto Industry in here.

Just wait till this boko bastards are finished, and electricity is full restored, then we will see..

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Discussion Starter · #4 ·
Silent revolution in automobile manufacture

June 1, 2014

Despite what many may describe as the harsh business environment in Nigeria, the country still produced an Aliko Dangote who has become Afriva’s richest and the 27th richest man in the world not through any oil field assigned to him by a rentier state but through manufacturing.

Unknown to many is the great pool of developmental entrepreneurs in Nigeria who are silently changing the economic landscape through their entrepreneurial activities. One of these is Innocent Ifediaso Chukwuma. He started as a motor cycle parts trader and moved further into manufacture of motor cycles, plastics and household items, tyres and tubes and with Innoson Vehicle Manufactiring he has carved a niche in motor manufacturing.

In his motor manufacturing plant in Nnewi, buses, trucks and SUVs are produced. The plant had scheduled to move into the manufacture of cars in April 2014. In car manufacturing, his dream is to churn out cars that would sell for about a million Naira. He hopes to push Secondhand cars out of the market by producing new cars at lower prices. According to Innocent Chukwuma “ who will like to buy an old car when he or she can spend less and buy brand new…”

Incidentally the entrepreneurial direction and dream of Innocent Chukwuma is on the path of current and future policy framework of the federal government on local automobile production. The federal government has begun steps to encourage local manufacturing of automobiles by using tariff measures to discourage used and new vehicles imports and provided incentives for automobile manufacturers in the country.

The lesson to draw from the entrepreneurial trajectory of Innocent Chukwuma is that beyond the trumped up harsh business environment in the country, there are forward looking, daring and perceptive entrepreneurs that are thriving. Also, Nnewi just like Aba in the South east have become industrial hubs that regional and Federal governments should not ignore.

What is more striking is that the much sought after Nigerian vehicles can come through not only by the efforts of foreign investors, but also by indigenous entrepreneurs who already have an impressive track record in the field of automobiles.

Every revolution that will yield enduring benefits for society must be properly guided. We urge governments to encourage and support the tenacious efforts of indigenous entrepreneurs involved in automobile assembly and manufacture.


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Discussion Starter · #5 ·
Peugeot to restart car assembling in Nigeria June – MD
Mohammed Lere
Published: May 15,2014

“Besides, being the largest economy in Africa, this country is blessed with a young population of highly talented and educated people.”
The Peugeot Automobile Nigeria Ltd, PAN, on Thursday said it would restart its assembly plant in Kaduna for local production of quality and affordable vehicles in June.
The Managing Director of PAN, Ibrahim Boyi, announced this during a meeting with the Minister of State for Industry, Trade and Investment, Samuel Ortom.
Mr. Boyi was part of a delegation of Peugeot International led by its Vice President, Yves Moulin that visited the minister.
He said the company was encouraged by the numerous opportunities created by the new auto policy of the Federal Government for investors in the sector.
The visit to the minister, he said, was part of the company’s consultation with government and other stakeholders before the commencement of its assembly operations.
Earlier, Mr. Moulin told the minister that the company had repositioned itself to tap into the huge potential of the country’s auto industry.
He said: “We have a programme called `Back in the Race’, under which we have changed out management and hope to increase out capital and volume of investment in the sector.
“I hope we will all be together in the race because, there is a huge potential in this country.
“Besides, being the largest economy in Africa, this country is blessed with a young population of highly talented and educated people.
“With the right regulations in place, I am sure we will be able to work together to add value, attract suppliers, create jobs and automobile clusters.’’
Mr. Moulin said the team was in Abuja to discuss with the government on the various areas of collaboration and how to begin operations as fast as possible.
Responding, the minister assured the delegation of the federal government’s commitment to the sustenance and efficient implementation of the policy.
Mr. Ortom stated that the positive responses from the global automotive industry to the policy were an indication that it was working.
“We are committed to our industrial revolution plan, from which the auto policy is derived, to ensure that we get it right in efforts to develop the industry.
“We did enough research by visiting countries that have succeeded in the auto industry before coming out with the policy, and I can assure you that we will succeed,” he said.
The minister said that government would review the policy from time to time to address emerging challenges and solicited advice from the company in this regard.


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Discussion Starter · #6 ·
Kewalram Chanrai, Foton To Establish $62m Nigerian Automobile Assembly Plant
May 12, 2014

VENTURES AFRICA – Kewalram Chanrai Group, a global diversified conglomerate with interest in automobile, agribusiness and textile, is partnering car maker, Foton to establish an automobile assembling plant that will produce Foton range of Vehicles in Lagos, Nigeria’s commercial capital.

The assembling plant is estimated to cost over N10 billion ($62 million) and will hold an initial production capacity of 15,000 units annually.

This partnership comes on the back of Nigeria’s recently established automotive policy, which aims to boost production locally assembled automobiles within Nigeria and discourage importation of wholly assembled cars.

“They have already acquired 25 hectares of Land in Ikorodu Lagos state,” the Executive Director of Kewalram Chanrai Group, Raju Sawlani said.

He also said that the company is in the process of finalizing the design and importation of other necessary tools and equipment needed for effective take off.

The plant which will house assembling of commercial and passenger vehicles including Trucks, Vans, Buses, sport utility vehicles and pick-ups.

Foton is the largest Vehicle producer in China and the second Largest in the world. Its vehicles are distributed in more than 40 Countries including South Africa, Angola, Russia, Spain, Italy, Middle East, India, Argentina and Chile.


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Discussion Starter · #7 ·
Globe Motors to build N19bn assembly plant

APRIL 23, 2014

The number of auto firms interested in assembling vehicles in Nigeria has increased with Globe Motors Holdings Nigeria Limited announcing its intention to establish an assembly plant for Higer automobiles worth $120m (about N19.8bn).

This is coming about six months after the Federal Government had announced a new auto policy that was designed to discourage the importation of cars and encourage local manufacturing of vehicles.

A statement from Globe Motors on Monday said the company had entered into partnership with Higer Bus Company of China to build an ultra modern vehicle assembly plant in Lagos.

The plant, it said, would come on stream within 18 months for the assembling of buses. Other Higer range of vehicles would follow thereafter, it added.

The statement quoted the Managing Director of Globe Motors, Mr. Victor Oguamalam, as saying that the company had acquired about 12 hectres of land already being developed for the plant.

He said the firm would be built with the capacity to produce over 22,000 vehicles annually.

Oguamalam, who said the plant would commence with 6,000 vehicles, decided to partner Higer Bus Company because of its high quality of products and wide range of models.

He also disclosed that the new auto assembly plant would be first of its kind in the country with separate divisions to produce two other international automobile brands in addition to the Higer range of vehicles.

Oguamalam said the Globe Motors assembly plant would also introduce completely new models designed solely for Nigeria, stressing that this would give the brand a Nigerian identity.

Higer Bus Company Limited was established in 1998, and considered one of the fastest developing bus manufacturers in China, it noted.

The firm, the statement stressed, was renowned for its innovation and driven by its strong research and development efforts.

It said, “Higer’s technological infrastructure is provided by Toyota, the internationally renowned Japanese auto maker, and also has technical partnership with Scania for developing, manufacturing and exporting buses of very high and international standard to Europe. The company produces and sells buses and other vehicles in different countries in Africa, Middle East, Europe, South-east Asia and South America.

“With 15 years of continuous improvements and growth, Higer has built a modern bus manufacturing base exporting to 85 countries and territories worldwide. It has over 50 series and more than 300 models covering coaches, city buses, new energy buses, mini buses, school buses, Bus Rapid Transit buses, pick-ups, SUV’s among others.

Oguamalam stated that Globe Motors’ partnership with Higer would ensure high quality and affordable automobile vehicles for Nigerians and create jobs in the country.

The statement also gave a background of Globe Motors Holdings Nigeria Limited, which was incorporated in Nigeria about 30 years ago to carry on the business of trading in motor vehicles.

It stated, “From a modest beginning in Surulere, it expanded to Victoria Island, Lagos and thereafter evolved a nationwide automobile sales and services network. Its first workshop was established in 1997 and since then, it has developed into an efficient after-sales centre providing after-sales and maintenance services to all its customers.

“Globe Motors’ new after-Sales centre, located in Lekki is a comprehensive maintenance centre which caters for different brands.”

The firm, it noted, had been involved in the sale of Higher vehicles along with other brands such as Toyota, Mercedes-Benz, and Hyundai, before going into the establishment of an auto assembling plant.

It also stated that the company’s workshops were equipped with the most recent and sophisticated diagnostic equipment.

The workshop, it added had over 50 work bays, a body section, alignment and balancing sections with well trained and experienced technical personnel to attend to customers.


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Discussion Starter · #8 ·
TSS to assemble Chinese trucks in ANAMMCO

June 4, 2014

Chinese commercial vehicles manufacturer, Shaanxi Heavy Duty Automobile Import and Export Company Limited and its Nigerian partner, Transit Support Services Limited, have signed an agreement to commence the assembly of various models of Shacman commercial vehicles in Nigeria, starting with heavy duty trucks and tractors.

The partners announced after the agreement signing ceremony in Enugu recently, that the CKD production stage would begin in three months making use of a section of ANAMMCO assembly facilities in Emene Industrial Estate in Enugu.

No fewer than 3,000 units of the trucks will be produced annually at the plant on contract basis with likelihood of raising output to 4,000 or even higher, with time.

Commenting on the investment, the chairman, Transit Support Services, Frank Nneji, and the Shacman manager in charge of Africa, Zhong Yi, applauded Federal Government’s new development policy for the auto sector, stressing that the partnership was fostered on providing for the local market top quality commercial vehicles that had been accepted in over 80 countries across the world.

Yi disclosed that Shacman first made a mark as a manufacturer of military off-road vehicles supplied to many countries, including Africa, before expanding to heavy duty commercial vehicles that earned it the credit of being China’s best-selling truck brand

“It is the same technology, the same top quality vehicles that we plan to bring to Nigeria with our partner, TSS,” the manager remarked.

About 1,000 units of the trucks are already on Nigerian roads and have surpassed users’ expectations in terms of performance and return on investment, he said, saying “so, what we want to do is to localise the production of subsequent units to build on this initial success.”

He assured that in committing itself to the production of high standard vehicles, the auto maker would not de-emphasise affordability. Zhong Yi further assured, is not coming to Nigeria with a business-as-usual attitude of dumping vehicles in the market, but is prepared for direct, long term investments in partnership with Transit Support Services, in form of cash, technology, equipment and local content development.

Pledging Shacman’s commitment to the project, he explained that, apart from government’s recent initiatives towards lifting the auto sector, the auto maker is encouraged by developments in the economy, particularly the improving GDP.

He said the Chinese were pleased that they were partnering with Transit Support Services and its chairman, who would both be bringing to bear on the relationship their rich experiences and competencies in the transportation business. He added that, “we know that they are well known in the transport sector, and we know that they started small and then grew very big. They are willing and committed to the project and what they have is what we need, and we are going to share experiences.”

Nneji said users of the trucks and tractor heads will enjoy uncommon dual benefits in terms of competitive prices and low running (maintenance) costs.

Prior to the signing of the agreement in Enugu, a team of experts from the Chinese auto maker had visited the ANAMMCO plant and were amazed at the range and functionality of the production facilities in use. This, it was learnt, further encouraged the Chinese company to enter into an agreement to utilise a section of the Mercedes-Benz plant.

Zhong Yi stated: “Our experts inspected ANAMMCO production facilities, and they are in a perfect condition to start assembling our vehicles immediately without making any change on lines. That is why we are going to start the assembly of the trucks in three months time.”

Mike Ochonma


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Discussion Starter · #9 ·
Coscharis to set up $55m local auto assembly plant

April 7, 2014

Coscharis Motors Nigeria Limited has signed a Memorandum of Understanding (MoU) with Joylong automakers of China and MG brand manufacturers to set up an assembly plant in the country within the next two years.

The move is in response to the new automotive poli¬cy introduced by the Federal Government. The policy, amongst other imperatives, aims to encourage local automobile manufacture, discourage new imports and stimulate employment generation to the citizens.

Briefing newsmen at Coscharis office on Awoyaya, Lekki, Lagos, Josi¬ah Samuel, group managing director, Coscharis Motors Limited, said the new assembly plant will assemble the Joylong range of intra and intercity commercial and passenger buses, passenger cars and pickups, including MG brands.

With the total cost of the plant put at $55 million to be sourced from a consortium of local banks, the new Chinese automobile assembly plant is expected to roll out 13,000 units annually, of vehicles, with one shift of eight hours daily. The plant hopes to increase the shift to two, with 26,000 units expected to be churned out of the plant annually when fully utilised to capacity.

Josiah Samuel told newsmen that with January 2014 and December 2015 targeted as the completion dates of the project, the assembly which will meet global industry standards will be located on 14 hectares of land located on the Lekki sprawling business district of Lagos, Nigeria’s commercial nerve centre.

Meanwhile, as a prelude to the final commencement of the multibillion naira project, Coscharis Motors has made presentations with the National Automotive Council (NAC) and hopes to do the same with the Ministry of Trade and Investment. The company chief said that as a company that is proactive, it will fully go into the business using the completely knocked down parts (CKD) and not the conventional semi knocked down (SKD) one and two models.

In his submission, the group managing director said, “This brief but impor¬tant event is to showcase another initiative from our great organisation to create value as a key player in the automobile industry in Nigeria. I equally welcome our technical partners from China who have been with us for the past few days to tidy up and meet our other stakeholders like you.”

The idea of a CKD plan, he said, was conceived in Coscharis about three years ago, but couldn’t be realised for reasons beyond its control. With the introduction of the new automotive policy, it has become imperative to revisit it, he noted.

He stated that Coscharis has also concluded an agreement with DongFeng Design Institute Co. Ltd, a company well-known in China for its world class auto factory design and management. They will design and manage this project including general oversight, he said.

Extensive work, he dis¬closed, is already on-going on the project. The assembly plant design and layout is already in place, as the partners are in Nigeria to finalise discussion on the move to finalise the next phase of the project.


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Discussion Starter · #10 ·
KIA, Dana Motors Signs Deal To Build Assembly Plant In Nigeria

February 20, 2014

Kia Motors, a South Korea auto-giant, has signed an agreement with Dana Motors Limited to set up a vehicle assembly plant in Nigeria within the next 2 years.

The agreement, which was signed by Dana Managing Director, Mr. Jacky Hathiramani and KMC official, Mr. Homer Kim, shows the the auto-maker’s commitment to the development of the country’s auto industry, the company said in a statement.

Kia’s decision to set up plant in Nigeria came at the heel of Nigeria’s new auto policy, which raised the import duty on fully built cars from 22 per cent to 70 per cent, to discourage vehicle importation and encourage local production.

When fully implemented, the policy has the capacity to create significant good quality employment and wide range of technologically advanced manufacturing opportunities.

According to a data from the Nigerian Bureau of Statistics (NBS) and United Nations Conference on Trade and Development, a total of 400,000 vehicles (300,000 used and 100,000 new) valued at N550 billion (US$3.451 billion ) were imported in 2012 alone.

Hathiramani said the new policy sets the stage for a new era of industrial, Micro, Small and Medium Enterprises development in the country.

Dana explained that the would lead to more jobs, skills acquisition and ultimately the production of cost effective vehicles.


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Discussion Starter · #11 ·
Hyundai Partners Stallion Group to Manufacture Vehicles in Nigeria

19 Feb 2014

Hyundai Motor Company, one the world’s foremost vehicle manufacturers, has associated with a regional conglomerate, Stallion Group, to manufacture Hyundai passenger and commercial vehicles in Nigeria from April 2014.

Hyundai Motors Nigeria Limited, a division of Stallion Group, already represents Hyundai’s range of passenger and commercial vehicles in Nigeria, and operates an ultra modern vehicle assembly plant in Lagos.

Hyundai’s foray into this critical sub-Saharan market follows the announcement of a new auto policy in Nigeria, which is intended to spark a major advancement in the country’s automotive industry, and see it emerge as a key regional player.

An impressive range of Hyundai passenger models including the i10, i10 Grand, i10 Grand Sedan, ix35 SUV and the Elantra will be assembled in Nigeria by Stallion at its world class facilities from April 2014. With regards to the Korean manufacturer’s commercial segment offering, the assembly of models including the Hyundai County Bus and the Mighty Truck had already started.

Head of Hyundai Africa and Middle East Headquarters, Tom Lee, said: “This agreement with Stallion Group represents a major step forward for Hyundai Motor Company’s expansion in to Africa, and our ability to cater for the needs of the customers, not only in Nigeria, but around the Africa as a whole. The Stallion Group has a rich heritage and a reputation for quality when it comes to its automotive offering – something that mirrors Hyundai’s brand values – and we are looking forward to a long and successful relationship.”

Commenting on the announcement, the Chairman of Stallion Group, Sunil Vaswani, said: “We are pleased to have tied up with Hyundai which is amongst the world leaders in automotive industry. Stallion is sincerely committed to investing in the industry, aligning well with Nigeria’s policy initiatives and socio-economic objectives. Hyundai’s entry at this stage will be a critical catalyst to develop the auto industry eco-system, complementing the other prime brands we are associated with.”


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Renault launches new dealership, says Nigeria is a key market

June 19, 2014

L-R: Toufik Lassoued, Africa operations manager, Renault; Christel Galbrun, Renault vice president for strategy and partnerships, Euromed–Africa; Francis Ogboro, director, Dana Cars and Services Limited, and Joseph Fernandes, vice president, operations, Dana Cars and Services Limited, at the international press conference to inaugurate Renault-Drive the Change in Nigeria, held in Lagos.​

As the Federal Government pushes ahead with its agenda aimed at revamping the Nigerian automotive industry, European automaker, Renault, has expressed its readiness to key into the agenda and play an active role in the country’s automotive market.

The French automaker disclosed this on Tuesday at the inauguration of the first Renault full-fledged sales, service and spares facility in Lagos in partnership with Dana Cars and Services Limited, following the re-launch of the Renault brand under its global slogan, ‘Drive the Change’ at an international press conference in Lagos.

Renault said the new partnership is committed to a strong representation in Nigeria, a key market that is expected to deliver significant growth and contribution to Renault’s global strategy, while boosting its share of the African market.

Renault, whose core market is Europe, where it is renowned for its role in motor sport and formula 1, said it is dedicated to be a long-term player in Nigeria.

Christel Galbrun, vice president, Renault, speaking at the event, said African automotive market continues to promise sustainable prospects for growth in the coming years with Nigeria charting the course in emerging African markets.

“Renault’s vision in Nigeria is to be people-centric and innovative, offering sustainable automobile facility as well as quality and affordable – easy to maintain cars with improved quality of life for every customer, while keying into the Federal Government agenda,” she said.

She added that the partnership with Dana Cars and Services would help Renault achieve these objectives and subsequently raise the profile of the brand in Nigeria. “Our plan is to immediately increase our market share through new model introduction, brand development and retail network expansion.”

Among some of Renault models in Nigeria are Latitude executive sedan, Fluence, Duster, Koleos, Sandero-Stepway and Logan.

Joseph Fernandes, vice president, operations, Dana Cars and Services Limited, the new Renault custodian, described the inauguration of ‘Renault -Drive the Change’ campaign as the beginning of a purposeful relationship and a commitment towards providing world-class automotive experience to customers in Nigeria.

Dana Cars and Services seeks to replicate Renault’s ambitious accomplishments and even surpass it, using time-tested integrated sales and marketing approach to position Renault among leading marquees in Nigerian automobile market, he said.

“Renault is renowned the world-over as an automobile leader in the Formula 1 area with eleven World Championships,” he said. “This is why we partnered with Renault to introduce superior quality cars and vans that are adaptable to the Nigerian weather and road conditions.”

Explaining that the maxim ‘Renault – Drive the Change’ is an ingenuous branding that meets the demands of customers in emerging markets like Nigeria and would attract new clientele to Renault styling and all-terrain capability, Fernandes said Dana Cars and Services has trained its service technicians in multiple auto repair disciplines and acquaint them extensively in Renault’s cutting edge and ever changing technology.

“I, therefore, reiterate that we have some of the best trained technicians that can handle complex auto repair jobs,” he said, adding that Renault and Dana Cars and Services are fully committed to delivering the best European engineered quality cars and services to the Nigerian customer.

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I said it on Oasis back in 2006 that Nigeria could emulate Brazil with these type of policies.

Why stop with cars? Id like to see it extended to other sectors but there needs to be reliable power for sure.

I also hope Nigeria learns from Brazil and stops the tariffs after 10 or 20 years while, in Brazil its now 50 or 60 years and industry is inefficient. For me this should be a shorterterm thing for 10-20 years max.

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Nigerian journalists are ignorant about how to describe the building of a vehicle. They write of the vehicles being ''assembled'' in Nigeria, but they are in fact being manufactured, and these companies are setting up car manufacturing plants in the country.
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