Categories: Business

FG Moves to End Used Vehicle Imports, Targets Auto Policy Passage in 2026

FG Moves to End Used Vehicle Imports, Targets Auto Policy Passage in 2026

 

The Federal Government has intensified moves to reduce Nigeria’s heavy reliance on imported used vehicles, signalling a decisive policy shift aimed at boosting local automobile production, improving vehicle quality and strengthening the country’s industrial base.

This position was reaffirmed in Lagos at the 18th edition of the Nigeria Auto Journalists Association (NAJA) International Auto Awards, where the Director-General of the National Automotive Design and Development Council (NADDC), Otunba Oluwemimo Joseph Osanipin, said government strategies are now deliberately aligned to discourage the influx of used vehicles into the country.

Osanipin explained that the NADDC, working with relevant stakeholders, is tightening standards to ensure that only quality vehicles enter Nigeria, while government gradually phases out used vehicle imports in favour of locally assembled and manufactured alternatives.

According to him, a key instrument driving the new direction is the National Auto Industry Development Policy (NAIDP), which has remained pending for years but is now receiving renewed attention. He disclosed that the council is targeting the passage of the policy into law by the National Assembly by the second quarter of 2026.

“We are committed to strengthening local manufacturing in Nigeria. One of our major targets is to ensure the Auto Policy is enacted by the second quarter of 2026. We will soon forward it to the National Assembly and engage stakeholders extensively during the public hearing process,” Osanipin said.

He added that the campaign against imported used vehicles is further reinforced by the End-of-Life Vehicle (ELV) Recycling Regulation introduced in March 2025.

The regulation, he noted, is designed to formalise vehicle recycling, promote a circular economy, enhance environmental protection and improve road safety, while also creating new employment opportunities.

The Federal Government’s efforts have also gained momentum following the approval of the Nigeria Industry Policy (NIP) by the Federal Executive Council (FEC), a move regarded as a critical foundation for the eventual enactment of the NAIDP.

Minister of State for Industry, Senator John Enoh, who was represented by Osanipin, said the NIP provides a clear roadmap for Nigeria’s industrial development, with the automotive sector identified as a strategic priority.

“The Nigeria Industry Policy has been approved by the FEC and will guide the country’s industrial growth. The next major step is the enactment of the Auto Policy. These are deliberate actions to give the automotive sector the attention and priority it deserves,” he said.

Osanipin also praised NAJA for sustaining the annual auto awards, describing the initiative as a platform that fosters healthy competition, collaboration and growth within the automotive industry.

Industry analysts say that with the approval of the Nigeria Industry Policy and the renewed push for auto legislation, the Federal Government’s clampdown on imported used vehicles signals a clear commitment to building a sustainable and locally driven automotive industry in Nigeria.

Trends Admin

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