Nigeria implements ‘Nigeria First’ policy to boost local vehicle production

The National Automotive Design and Development Council (NADDC) and the Bureau of Public Procurement (BPP) are collaborating to implement the ‘Nigeria First’ policy. This initiative aims to ensure that all Federal Government entities patronize locally made vehicles to stimulate domestic production and industrialization.

Under this policy, Nigeria is targeting an annual vehicle procurement of three million units, with local assemblers expected to provide approximately 80 percent of that demand. The NADDC intends to facilitate a transition from Semi-Knocked-Down (SKD) production to Completely-Knocked-Down (CKD) assembly, which requires higher levels of local content.

Joseph Osanipin, Director-General of the NADDC, noted that the policy is designed to prepare Nigerian manufacturers for the African Continental Free Trade Area (AfCFTA), which requires a 40 percent rule of origin for products to be traded within the continent. The BPP will work alongside the NADDC to monitor government patronage, assess compliance with standards, and track investments and employment growth within the sector.