Osanipin Calls for Strategic Development of After- sales Services to Accelerate Automotive Industrial Growth.

The Director-General of the National Automotive Design and Development Council (NADDC), Otunba Oluwemimo Joseph Osanipin, has emphasized the critical role of aftersales services in building a sustainable and globally competitive automotive industry in Nigeria and across West Africa. He made this known while speaking at the opening ceremony of the West African Automotive Summit (WAAS) 2026.

In his keynote address, the NADDC DG described aftersales as the “most potent yet under-leveraged growth engine” in the Nigerian automotive sector, stressing that the future of the industry depends not only on vehicle sales and assembly, but also on the capacity to sustain vehicles throughout their lifecycle. Addressing policymakers, investors, manufacturers, and industry stakeholders at the summit, he noted that while assembly and sales often receive the most attention, the true strength of any automotive ecosystem lies in its maintenance, spare parts supply, technical servicing, and consumer support structure.

According to the DG, recent figures from the National Bureau of Statistics (NBS), as published by Punch Newspaper, revealed a significant increase in vehicle imports and transport equipment across the country. He stated that these figures highlight the enormous economic value and untapped potential of the aftersales market, emphasizing that in developing economies such as Nigeria, only a fraction of a vehicle’s lifetime cost is tied to its initial purchase, while the greater value lies within the aftersales ecosystem through spare parts, lubricants, tyres, diagnostics, and technical labour.

The NADDC DG further explained that consumer confidence in locally assembled vehicles is directly linked to the reliability of aftersales support systems, noting that guaranteed access to genuine parts and efficient service delivery significantly improve the residual value and long-term perception of automotive brands. Highlighting the industrial opportunities within the sector, he stated that aftersales presents a practical and lower-risk pathway toward full-scale local manufacturing, as demand for consumables and replacement components continues to rise significantly across the country.

He stressed that localizing fast-moving automotive spare parts could create thousands of specialized technical jobs while also reducing pressure on foreign exchange and strengthening Nigeria’s industrial base. He also underscored the human impact of a strong aftersales ecosystem, noting that quality maintenance services improve road safety, build public trust, and create opportunities for technicians, engineers, and small-scale manufacturers nationwide.

Calling on investors and industry stakeholders to seize the opportunities within the sector, the DG urged stakeholders to reposition maintenance and aftersales services from being viewed merely as support operations to becoming core pillars of revenue generation, industrial development, and long-term sustainability within the automotive sector.

The Chairman of WAAS, Mr. Lukman Mahmud, stated that sustainable automotive growth cannot exist without strong support systems. He noted that the true impact of vehicles is measured not only at the point of sale, but also through reliability, maintenance, service delivery, technical expertise, and consumer confidence.

The West African Automotive Summit continues to serve as a strategic platform for regional collaboration, innovation, policy discussions, and investment partnerships aimed at advancing the automotive industry across West Africa.

#NADDC#NigeriaAutomotiveIndustry#sustainability#youthempowerment#IndustrialGrowth#westafricaautomotiveshow2026

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ACHIEVEMENTS IN INUSTRIAL AND INFRASTRUCTURE DEPARTMENT

Introduction

The IID focused on advancing Nigeria’s  automotive industry through infrastructure development, skill acquisition, local content promotion, technical support, and policy implementation. Key responsibilities include:
• Developing industrial parks and auto production facilities
• Promoting skills development and job creation
• Supporting vehicle model appraisals
• Coordinating engineering efforts and component parts development
• Managing the informal automotive sector
• Promoting mechanic villages and training institutes

Highlights of 2024 Activities

A. Standards and Guidelines
• Validated National Occupational Standards (NOS) for auto gas and electric vehicles in partnership with NBTE.
• Designed guidelines for registration/licensing of CNG conversion workshops nationwide.
• Held national stakeholders’ engagement to finalize CNG workshop registration standards.

B. Infrastructure and Project Oversight
• Oversaw DG NADDC’s visit to Osun, Ondo, and Ekiti States, inspecting multiple NADDC projects and training centers.
• Completed design and began construction of the access road to NADDC Training Centre, Ikorodu.
• Restarted the Auto Service Hub project in Owerri, with land levy waived by the Imo State Government.
• Engaged in efforts to select PPP managers for NADDC Training Centres.

C. Equipment and Capacity Building
• Received and began installation of training tools at various NADDC centres.
• Partnered with suppliers for staff training on equipment use in Kano, Katsina, Jigawa, and Potiskum.

D. Youth and Technician Engagement
• Hosted a national youth conference on career prospects in the CNG automotive value chain, with over 500 participants and a car design competition.
• Conducted CNG vehicle conversion training in Ekiti State with Lanre Shittu Motors, empowering 45 technicians and converting cars for local institutions.

E. National Programs and Partnerships
• Licensed 70+ CNG conversion workshops across the country.
• Revived efforts on the Nnewi Automotive Industrial Park, with UNIDO reviewing the original Masterplan.
• Coordinated official commissioning of the NADDC Training Centre in Kano.
• Participated in the Anambra State Investment Summit.
• Held internal CNG conversion training for NADDC staff.

Conclusion

Despite funding limitations, the IID made significant progress in infrastructure development, youth empowerment, CNG adoption, and skill-building. Future efforts are poised to strengthen Nigeria’s role in the global automotive sector.

POLICY PLANNING STATISTICS ACHIEVEMENTS

INTRODUCTION

The Policy, Planning & Statistics (PPS) Department of the National Automotive Design and Development Council (NADDC) made notable progress in 2024, advancing the Nigerian automotive industry through strategic policy development, comprehensive planning, and data-driven initiatives.

ACHIEVEMENTS

  1. Growth of Assembly Plants
    New assembly plants registered during the year increased the number of licensed companies to 85. These companies offer a wide range of brands, including partnerships with new Original Equipment Manufacturers (OEMs). Thirty-seven (37) companies maintained production quality standards necessary for yearly license revalidation.   

  2. Revalidation and Processing of Licenses
    The department revalidated 23 licenses for existing local assemblers and processed 14 new applications for bonafide assembly licenses for new entrants into the sector.

  3. Ministerial Deliverables
    PPS submitted inputs to the Federal Ministry of Industry, Trade and Investment for the first to fourth quarters of 2024, aligning its contributions with national targets.

  4. Study Tour to South Africa
    From January 21–27, 2024, PPS organized a study tour to South Africa, targeting key players in the South African automotive industry. The tour aimed to attract investment and catalyze sustainable growth in Nigeria’s automotive sector through collaborative sessions.

  5. Validation of End-of-Life (ELV) Vehicle Recycling Regulation
    In collaboration with the Legal Unit, PPS finalized and secured Federal Ministry of Justice approval for the ELV Recycling Regulation in February 2024, laying the foundation for Nigeria’s vehicle recycling industry.

  6. Stakeholder Dialogue Meeting
    On April 18, 2024, PPS organized a critical dialogue between Local Automotive Component Manufacturers and Assemblers/Manufacturers. The meeting fostered collaboration, encouraged backward integration, and generated stakeholder consensus to strengthen Nigeria’s automotive component manufacturing capabilities.

  7. Inauguration of NAIDP Implementation Committee
    The department facilitated the inauguration of the Nigerian Automotive Industry Development Plan (NAIDP) Implementation Committee on May 23, 2024. The committee is tasked with addressing implementation challenges and ensuring continuous monitoring and evaluation of the NAIDP’s progress.

  8. Engagement with Hejia Industrial Group
    On October 17, 2024, PPS hosted a meeting with Hejia Industrial Group and its subsidiaries, Chengdu Auto Parts Co., Ltd., and Chengdu Chengbao Development Co., Ltd., exploring collaboration opportunities in automotive parts manufacturing and vehicle inspection services.

  9. Participation at Nigeria-Morocco Business Week
    From October 29 to November 1, 2024, PPS facilitated the participation of the NADDC Director-General and delegation at the Nigeria-Morocco Business Week. The delegation engaged in keynote speeches, panel discussions, B2B meetings, and factory visits, strengthening industrial ties between both nations.

  10. Oversight Visit by House Committee on Industry
    From November 12–15, 2024, PPS coordinated an oversight visit by the House Committee on Industry to vehicle assembly plants in Lagos, showcasing the progress in the sector.

  11. Collaboration Meeting with Nigerian Consumer Credit Corporation (CREDICORP)
    On December 5, 2024, PPS convened a meeting with CREDICORP to explore partnerships aimed at making vehicle financing accessible and affordable for Nigerian consumers.

  12. Oversight Visit by Senate Committee on Industry
    From December 8–12, 2024, PPS facilitated another oversight visit, this time by the Senate Committee on Industry, further strengthening government support for local assembly plants.

  13. Automotive Industry Stakeholders Conference
    On December 16, 2024, PPS organized a major conference gathering industry players to critically review challenges hindering NAIDP 2023–2033 implementation and jointly propose actionable strategies to overcome these obstacles.

  14. Annual National Automotive Industry Statistics
    In December 2024, PPS conducted its annual data collection exercise. The initiative assessed the current state of automotive workshops, skilled mechanics, and auto-component manufacturers, providing insights into sectoral quality and performance.

CONCLUSION

In 2024, the PPS Department demonstrated a strong commitment to advancing Nigeria’s automotive industry through strategic planning, effective policy implementation, stakeholder engagement, and data-driven action. Their efforts have significantly advanced the National Automotive Industry Development Plan (NAIDP) 2023–2033, laying a solid foundation for future sector growth and sustainable development.