Tag: NADDC

National Automotive Design and Development Council (NADDC) Director-General, Mr. Joseph Osanipin, has called for stricter regulations in Nigeria’s automotive sector to curb the influx of smuggled, accidented, and unsafe vehicles into the country.

NADDC is a parastatal under the Federal Ministry of Industry, Trade and Investment.

He made this call during a meeting with the Association of Motor Dealers of Nigeria (AMDON) in Lagos.

The event, with the theme: “Import of Used Cars and Dealership Regulation in Nigeria,” focused on addressing challenges in the auto industry and strengthening regulations.

He also urged Nigerians to patronise locally manufactured cars, emphasising that the auto industry has the potential to generate employment second only to agriculture.

Osanipin stated that NADDC is working closely with agencies such as the Nigeria Customs Service, Federal Road Safety Corps (FRSC), and the Bank of Industry (BOI) to implement policies that will reform the sector.

A key focus of the engagement was addressing concerns about illicit vehicle imports and developing a framework to ensure only roadworthy automobiles are sold in Nigeria.

“We cannot allow our country to become a dumping ground for scrap cars. Some of the vehicles on our roads should not be here in the first place. We need to self-regulate and work together to eliminate bad actors in the industry,” Osanipin said.

To boost local production, NADDC is pushing for increased patronage of made-in-Nigeria vehicles and has introduced a consumer credit scheme in partnership with financial institutions to make locally assembled cars more affordable.

Additionally, the council is working on stricter dealer registration requirements to differentiate legitimate auto businesses from illegal importers.

The NADDC boss highlighted the economic benefits of a thriving local auto industry, noting that reducing vehicle imports would help conserve foreign exchange while increasing job creation.

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“If we get this right, we can transform Nigeria’s automotive sector into a major driver of economic growth,” he added. With ongoing efforts to regulate the sector, promote local production, and encourage responsible dealership practices, Osanipin assured stakeholders that NADDC remains committed to shaping a sustainable and globally competitive automotive industry in Nigeria.

The Chairman of the Nigerian Automotive Manufacturers Association (NAMA), Mr. Bawo Omagbitse, said manufacturers, component makers, and car dealers must work together to improve the industry, reduce smuggling, and set better standards.

Omagbitse warned that the industry cannot succeed if it remains divided.

He stressed that Nigeria must reduce its reliance on imported vehicles and develop a stronger local car manufacturing sector.

Omagbitse identified smuggling and poor regulation as major problems. He said many accidented and damaged cars are being brought into Nigeria as “used vehicles,” making it harder for locally made cars to compete.

He also highlighted the need for a well-organized pre-owned vehicle market, where Nigerian-assembled cars can be resold with proper maintenance records. “There’s a huge market for used cars, but we need to do it the right way. If vehicles are properly maintained and sold within a regulated system, it will add value to our local auto industry,” he said.

The NAMA chairman also called for better standardization in the car dealership business.

He urged AMDON members to set up certified workshops to provide maintenance services and protect customers from buying defective vehicles.

“You cannot just leave cars under the sun for days. In other countries, dealerships have proper storage and maintenance facilities. Nigeria must do the same,” he stated.

Omagbitse warned that Nigeria will never grow its auto industry if it continues to import most of its cars. He said local manufacturers should be encouraged to use Nigerian-made car parts instead of depending on imports. “If we don’t take steps to industrialize, nothing will change in the next 100 years. We need to produce our own vehicles and ensure our dealers support Nigerian-made cars,” he added.

In his keynote speech, The National President of the Association of Motor Dealers of Nigeria (AMDON), Prince Ajibola Adedoyin, an engineer, called for a better vehicle registration system to regulate the auto industry and improve accountability.

Adedoyin said a robust and effective registration framework would help identify legitimate car dealers and prevent illegal vehicle sales.

He noted that many unregistered individuals import cars into Nigeria, repair them, and sell them without proper checks, making it difficult to trace the origin of such vehicles.

He also emphasized the need to regulate the auto sector, stating that without proper oversight, damaged and unsafe vehicles would continue to flood the Nigerian market.

According to him, some imported cars are in terrible condition and should not be allowed on the road.

Adedoyin highlighted the challenges of buying locally assembled cars, pointing out that the cheapest new Nigerian-assembled vehicle costs around ₦26.5 million, which is too expensive for many Nigerians.

He urged stakeholders to design an affordable Nigerian car to encourage more people to buy locally made vehicles instead of importing used cars. The AMDON president also called for government incentives and support to boost the auto industry.

He urged the NADDC to provide financial and non-financial incentives for dealers and manufacturers.

He stressed that vehicle registration fees should be low or removed entirely to encourage compliance.

On the auto component production, Adedoyin praised NADDC’s efforts but said more needs to be done.

He explained that without locally made spare parts, Nigeria’s dream of a strong automotive industry would remain unrealistic.

Finally, he urged all stakeholders—including dealers, manufacturers, and regulators—to work together to strengthen the Nigerian auto sector and ensure that only safe, high-quality vehicles are sold in the country.