Auto
Automobile Assembly Plants Can Revive Economy, Create Jobs — LSM MD, Taiwo Shittu
Automobile Assembly Plants Can Revive Economy, Create Jobs — LSM MD, Taiwo Shittu
Managing Director of Lanre Shittu Motors, Mr. Taiwo Shittu, who recently bagged the Vanguard Newspaper Auto Industry Icon Award. He spoke in this interview on a number of industry issues including the high cost of new vehicles, options available; the national auto policy, and challenges facing automobile assemblers. Excerpts:
What is your assessment of the truck segment of the automobile business in Nigeria? And why the shift from Western brands to Chinese?
The first thing you consider in this automotive business is the value to the customer and the return on investment – both for the customer and the distributor. Those trying to sell trucks should put themselves in the users’ shoes. Everything is give and take. The cost of a truck from a Western country can buy almost four units in China. And the truth is that Chinese brands are already here, running shoulder to shoulder with the Western ones.
Gone are the days when people used to say Chinese brands were “upcoming.” They are no longer upcoming; they are here now and doing wonders on the roads. They are pulling their weight and making their way into the United States, doing very well. They are now global products with a high rate of return on investment.
We have trucks we sold to customers 11 years ago, and they are still on the road, performing excellently – from Lagos to Bauchi, Gombe, and other places.
Are Chinese vehicle brands not cheaper because they are perceived as inferior to their Western counterparts?
They entered the market with lower prices to gain acceptance. That was a deliberate strategy. Now, they’ve achieved that goal and are penetrating markets globally.
At Lanre Shittu Motors, we saw the opportunity years ago. We knew Chinese brands would take over the truck business in Nigeria and beyond. Now, they are the fastest-selling and have the highest sales numbers, looking at last year’s records. Everything is about vision. To succeed in any business, you must be visionary. You must have an idea of what will happen in the next 10 years in your sector.
It was obvious what would happen in the auto sector, considering inflation, the devaluation of the Naira, and the general state of the economy both in Nigeria and globally. For instance, a house sold for about £300,000 in London 10 years ago is now worth about £1.4 million.
During inflation and economic downturn, people naturally gravitate towards more viable options. And in the truck business in Nigeria, that viable option is the Chinese brand.
How do you feel being named Nigeria’s Auto Industry Icon at the recent Vanguard Awards? And what do you think informed your selection?
First of all, I give glory to Almighty Allah for making this honour possible. Sometimes, you may have a vision, but people, the economy, or circumstances might hinder its actualization. In my case, the vision came from our late Chairman, my father, Alhaji Rasaki Olanrewaju Shittu, who conceptualized it, nurtured it, and was blessed with the right team. That is a rare gift.
I feel honoured by the award. It is also a challenge – a reminder that I must do more. People are looking up to me, and I’m encouraged. I dedicate this award to my late father. He was visionary and groomed us to stand on our own. I remain indebted to him.
What do you consider one major thing the government can do to improve the auto industry?
I know some people are relocating due to economic challenges, but many Nigerians and companies, including LSM, still believe in this country. The best way the government can support those of us in the auto sector is to fully return to the auto policy. The government should incentivize investors to keep us in business. Without proper incentives, the sector cannot grow or contribute meaningfully to the national economy.
We need better incentives for players in the CKD (Completely Knocked Down) and SKD (Semi-Knocked Down) categories.
In Kigali, Rwanda, a Ghanaian was showcased as Vice President of AAAM (Africa Association of Automotive Manufacturers), not a Nigerian. What can Nigeria do to regain the confidence of Original Equipment Manufacturers (OEMs)?
To attract investors, you must guarantee their investments – and you can only do this with a clear, well-articulated policy backed by law. One of President Bola Tinubu’s campaign promises was to improve the automotive sector. He has already started by introducing CNG-powered vehicles to reduce transportation costs. We are part of the PI-CNG team and have converted many high-capacity buses for the NURTW and other users. These buses are already running, including as airport shuttles. More CNG and electric vehicles from us will be introduced next year.
To get OEMs interested, Nigeria must have a robust auto policy supported by legislation signed by the President. Nigeria’s auto sector can serve all of West Africa – we have the capacity to become the region’s automotive hub.
Do you think the National Assembly is doing enough in this regard?
Industrialization is one of the current administration’s key agendas. The auto industry is central to any country’s industrialization effort.
To fully develop Nigeria’s auto industry, the auto policy must be revived and supported by strong legislation. I believe this government will act, especially as it’s part of their manifesto. That’s why we are positioning our new assembly/manufacturing plant in alignment with the new auto policy law, which has passed second reading in the National Assembly.
Competition in the industry shouldn’t be with “briefcase businessmen” who come in with nothing but sell fully built vehicles. Government should encourage real investors – those who invest in the country, not just import, stock in warehouses, and sell.
Empowering local industries is critical to economic growth, and this applies beyond the auto industry. But you can’t talk about industrialization without prioritizing the auto sector. I believe President Tinubu’s administration is on the right path, and we are positioning ourselves to take full advantage.
What can be done to reduce the cost of new cars?
The auto policy provides special waivers for SKD and CKD assemblers to make their vehicles more affordable. Similar waivers granted to CNG and electric vehicle assemblers should be extended to other manufacturing/assembly plants. Doing this will lead to an immediate 17.5% reduction in the prices of locally manufactured vehicles.
This policy extension will reactivate dormant assembly plants and create significant job opportunities for Nigerians.
What challenges do you face as auto manufacturers/assemblers and distributors?
Automobile investment is capital-intensive. Success requires a strong infrastructure to support operations. Selling a vehicle is easy; retaining customer trust is harder – especially without strong after-sales support.
Unfortunately, Nigeria often fails to provide adequate incentives to structured businesses. Meanwhile, we have to compete with unstructured dealers – people with no showroom or workshop, who bring in fully built trucks and offer no after-sales service. That’s unhealthy competition.
Is there hope for Nigeria’s auto industry?
Yes, there is hope. As I’ve said, President Tinubu’s agenda is to industrialize Nigeria, and the auto sector must play a key role in that effort.
The government must focus on the auto sector and create a level playing field with special incentives for serious investors. We’re not asking for free money. We want policy stability – the assurance that our investments won’t be jeopardized by sudden policy reversals.
How can the excesses of insincere operators be curbed?
Government must strictly follow existing standards and templates. Agencies like the NADDC know the real players with actual capacity. Some may build plants, but without proper incentives, they can’t operate them effectively.
How do you cope with the current tax regime?
We pay multiple taxes – VAT, duty, levy, and others. These charges are burdensome. I urge the government to extend the same waiver enjoyed by CNG and EV assemblers to the broader auto industry.
That will attract OEMs to invest directly or through partnerships with capable Nigerian firms. All they want is a level playing field and investment protection.
Why are banks reluctant to offer auto finance loans?
Many banks previously regretted offering auto loans. Some customers defaulted, and the banks lost money. This led to their reduced interest in auto finance. Some of us still run such schemes, but not at the scale we used to.
Tell us about the new LSM brand name.
The name LSM was coined to immortalise our father legaacy. I credit my late father, Alhaji Rasaki Olanrewaju Shittu, for laying the foundation. He had a strong team and raised us to prioritize integrity over money. He believed that a good name and character would always speak for you – even in your absence.
We also have a supportive family that is committed to preserving his legacy. Even my 19 siblings who aren’t in the business support its continued success. I thank them for allowing me to lead.
Have you stabilized the company?
Yes, I can confidently say the company is stable. But the vision is much bigger than what it used to be. God remains the driving force.
LSM once spoke of plans to build more auto assembly plants. What’s the update?
The project is ongoing. We’re building and putting everything in place.
When will the next plant be completed and launched?
Early next year. The new plant will cover 40,000 square metres – about 10 times the size of the current one at Amuwo Odofin, Lagos.
What brands do you currently control?
We are focusing more on JAC heavy-duty trucks and our own LSM brand.
In what segment is the LSM brand playing?
LSM is active in the commercial segment – CNG buses, light-duty buses, high-capacity buses, and pickups. We’re accrediting distributors for
the LSM brand nationwide. Next year, we’ll introduce LSM CNG and EV passenger vehicles.
Auto
Jetour T2 Earns Top Global Safety Rating, Intensifies SUV Battle in Nigeria
Jetour T2 Earns Top Global Safety Rating, Intensifies SUV Battle in Nigeria
Jetour has thrown down the gauntlet in Nigeria’s increasingly competitive SUV market after its rugged T2 model secured the coveted NCAP 5-Star safety rating — a global benchmark regarded as the highest standard in crash protection and accident avoidance technology.
The achievement is expected to boost the brand’s appeal among Nigerian motorists seeking tough, family-oriented SUVs that combine advanced safety, luxury and off-road capability for the country’s challenging road conditions.
Jetour Nigeria discloses this in a statement, stressing that it is backing the T2 with a growing nationwide dealership and after-sales support network, including trained technicians, genuine spare parts, structured maintenance plans and warranty coverage aimed at boosting long-term ownership confidence.
Positioned as a bold “super SUV,” the Jetour T2 was designed specifically with Nigerian driving conditions in mind, according to the automaker.
In a country where motorists often encounter congested urban roads, long-distance highways and rough rural terrain within the same trip, the T2 is engineered to adapt seamlessly to changing environments.
Safety is seen as one of the vehicle’s strongest selling points. The SUV comes equipped with a comprehensive airbag system, SRS airbags, parking sensors, rear camera and surround-view monitor.
It also features advanced driver-assistance technologies such as Anti-lock Braking System, Emergency Braking Assist and Auto-Brake Assist, which help detect potential collisions and automatically apply braking when necessary.
Beyond safety, the T2 projects a muscular and commanding presence aimed at drivers looking for both ruggedness and refinement.
Jetour says the SUV was built to offer confidence for daily commuting while remaining capable enough for off-road adventures.
Inside, the cabin combines premium comfort with practical space. Measuring 4,785mm in length, 2,006mm in width and 1,880mm in height, the SUV offers generous legroom and headroom for occupants, making it suitable for long-distance travel and family use.
Under the hood, the T2 is powered by a 2.0-litre turbocharged engine delivering 187kW (254hp) and 390Nm of torque.
Paired with a 7-speed dual-clutch transmission, the setup provides strong acceleration, smooth overtaking capability and enough power to tackle steep inclines and demanding terrains.
A major highlight of the SUV is its advanced multi-terrain capability. The T2 features a BorgWarner sixth-generation four-wheel-drive system and XWD automatic intelligent drivetrain.
Multiple drive modes — including Sport, Eco, Normal, Mud, Rock and X Smart — allow the vehicle to adjust to varying road conditions ranging from muddy rural tracks to sandy and rocky surfaces.
Technology and convenience also feature prominently in the package. A 15.6-inch LCD touchscreen serves as the hub for infotainment, vehicle diagnostics and off-road information.
Apple CarPlay, Android Auto, Bluetooth connectivity, intelligent voice commands, cruise control and crawl control are integrated to enhance the driving experience.
Additional features such as remote start, push-button ignition, lane departure warning and blind-spot detection further improve convenience and safety for drivers.
With the T2, Jetour is seeking to position itself as a brand that understands the realities of Nigerian roads and the increasing appetite among motorists for SUVs that combine adventure, luxury and safety without compromise.
Jetour Nigeria specifically lists its accredited dealers spread across the country as Elizade Nigeria Limited, New Era AutoVehicle Services Limited, Kojo Motors, Germaine Auto Centre, Tab Autos Limited, R. T. Briscoe Motors and Mandilas Autos.
Auto
Forland, TSS Motors strengthen technical capacity with specialised truck training
Forland, TSS Motors strengthen technical capacity with specialised truck training
Forland Motors, one of the world’s leading manufacturers of light commercial trucks, has strengthened its partnership with local assembler and distributor, Transit Support Services Ltd (TSS), through a specialised three-day technical training programme aimed at boosting the competence of technicians handling the brand’s vehicles in Nigeria.
The programme was organised to equip the TSS technical team, comprising assembly and after-sales technicians, with in-depth knowledge of Forland light trucks, which are assembled and distributed in Nigeria by the company. The training covered assembly, installation, troubleshooting, and maintenance, with the goal of ensuring high service standards in both vehicle assembly and after-sales support.
The training, held at the TSS Motors Training Centre on Ikorodu Road in the Anthony area of Lagos, was facilitated by Forland instructors who arrived from China, alongside TSS technical personnel drawn from Lagos, Enugu, and Abuja.
Also in attendance were technical personnel from Yuchai, the major supplier of engines to Forland trucks. Yuchai is one of China’s largest manufacturers of powertrain solutions.
Forland training at TSS office in Lagos
Providing further insight into the programme, the Head of After-Sales Services at TSS, Mrs. Phebian Iwalokun, said the training focused on general maintenance, engine servicing, and preventive maintenance programmes.
According to her, the initiative was designed to ensure that TSS technicians are fully equipped to manage the growing number of Forland vehicles operating in Nigeria.
She added that continuous skill enhancement had become necessary as TSS prepares for an expansion in production capacity amid increasing demand for Forland trucks across the country.
“Forland trucks are currently gaining ground in Nigeria, with over 1,000 units already in operation, mainly among fast-moving consumer goods companies, logistics firms, and last-mile distribution operators,” Iwalokun stated.
A subsidiary of ABC Transport Plc, Transit Support Services assembles Forland trucks at its plant in Enugu and provides technical and after-sales support to customers nationwide.
Forland has continued to build a strong reputation globally as a successful commercial vehicle and light-truck brand, with its products performing strongly in several international markets.
ABC Transport Group founder, Mr. Frank Nneji (right), presented certificates to the participants
Auto
Nigeria Targets Additional 70,000 Annual Vehicle Output, West African Export with Hybrid Motors, Chinese Firm EV Deal
Nigeria Targets Additional 70,000 Annual Vehicle Output, West African Export with Hybrid Motors, Chinese Firm EV Deal
Launch Design Shanghai and Hybrid Motors Nigeria have signed a strategic partnership agreement to establish electric vehicle manufacturing plants in Lagos and Abuja, a move expected to raise Nigeria’s annual vehicle assembly capacity by 70,000 units and strengthen automobile exports to neighbouring West African countries.
The agreement, signed in Shanghai on May 8, 2026, will drive the production of “Acely,” Hybrid Motors Nigeria’s indigenous vehicle brand designed specifically for Nigerian roads, climate and mobility needs.
The collaboration is being positioned as a major boost to Nigeria’s automotive industrialisation drive, with the two firms aiming to transform the country into a regional hub for vehicle production and export.
Under the partnership, the companies will develop two manufacturing facilities with a combined annual production capacity of 70,000 vehicles at full operation.
The Lagos plant, located along the Lekki-Epe corridor, will serve as the main production and assembly centre with an installed capacity of 50,000 units yearly.
Its proximity to the Lekki Deep Sea Port is expected to support large-scale exports to regional markets including Ghana, Benin Republic, Togo and Côte d’Ivoire.
Industry stakeholders believe the export-oriented facility could significantly expand Nigeria’s automotive footprint across West Africa while reducing dependence on imported vehicles within the region.
The second facility, to be located within the Free Zone Business Area of Centenary Economic City in Abuja, will have an annual production capacity of 20,000 units and focus on supplying Northern Nigeria and neighbouring Sahel markets.
The firms said the dual-plant strategy would improve logistics efficiency, lower production costs and create thousands of direct and indirect jobs across the automotive value chain.
Speaking during the signing ceremony, Chief Executive Officer of Hybrid Motors Nigeria, Mr. Jubril Arogundade, described the project as a defining moment for Nigeria’s automotive future.
“This partnership is more than a business agreement; it is a commitment to building Nigeria’s automotive future,” Arogundade said.
“With Acely, we are demonstrating that globally competitive vehicles can be conceived, designed and assembled in Nigeria by Nigerians for both local and international markets.”
He added that the partnership with Launch Design Shanghai would bring advanced automotive engineering and manufacturing expertise into Nigeria, helping the Acely brand meet international standards while retaining local identity.
Chief Executive Officer of Launch Design, Mr. Wang Xun, said the collaboration would contribute to the emergence of a stronger automotive manufacturing ecosystem in Africa.
“Our turnkey engineering capabilities combined with Hybrid Motors Nigeria’s understanding of the local market create a strong foundation for success,” Wang said.
“Together, we are not only building vehicles but helping to establish a sustainable automotive industry for the region.”
The companies said Acely vehicles would focus on local assembly, energy efficiency and advanced electric and hybrid technologies suited to African operating conditions.
Analysts said the project could stimulate local component manufacturing, encourage technology transfer and deepen technical skills development within Nigeria’s automotive sector.
The initiative is also expected to conserve foreign exchange by reducing vehicle imports while positioning Nigeria as a competitive exporter of made-in-Nigeria vehicles within the ECOWAS sub-region.
Both firms noted that the investment aligns with the Federal Government’s National Automotive Industry Development Plan aimed at increasing local vehicle production, attracting investments and accelerating industrial growth.
“With facilities in Lagos and Abuja serving distinct but complementary markets across Nigeria and the wider region, we are laying the foundation for a new era of mobility that is locally rooted, globally competitive and sustainably driven,” Arogundade added.
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