FG’s Nigeria-First policy excites NADDC, automakers

FG’s Nigeria-First policy excites NADDC, automakers

 

Key stakeholders in the Nigerian automotive industry including Director General of the National Automotive Design and Development Council (NADDC), Oluwemimo Joseph Osanipin, and indigenous auto assemblers have applauded the ‘Nigeria First’ policy announced last week by the Federal Government as an initiative that will drive patronage for the auto manufacturing plants in the country.

The NADDC DG is particularly excited about the development. He expressed optimism that the policy initiated by President Bola Tinubu-led Federal Government would impact positively on the operations of the local auto plants and on the rest of the industry.

His view was also supported by the Chairman of Innoson Vehicle Manufacturing Company Ltd (IVM), Chief (Dr.) Innocent Chukwuma, CON, who said the new policy was one of the best decisions by the Tinubu administration so far.

Managing Director of Dana Motors, Jacky Hathiramani, described the policy as vision for a prosperous Nigeria.

Announced on Monday, May 5, 2025, the Renewed Hope Nigeria First policy mandates all federal ministries, departments and agencies to give absolute priority to Nigerian goods, services and know‑how when spending public funds.

Reacting to the news in an interview, Osanipin said, “Yes, we are happy, especially in the auto sector. This is the kind of strategic and high-powered decision that will help to improve the patronage of locally assembled vehicles.

“Coming from Mr President, nothing beats this in terms of supporting local manufacturers. So, we at the NADDC, we have seen it, and we are happy.”

He said that following the announcement, the NADDC had updated its list of auto manufacturers in the country which contains their brands, products and other details.

The Council’s report which has always been with the Bureau of Public Procurement (BPP) – the Federal Government agency responsible for regulating and overseeing public procurement processes – would soon be submitted to the appropriate government quarters.

The BPP is saddled with very important roles in the implementation of the ‘Nigeria First’ Initiative.

“The report on the auto plants and their products) being with the BPP is important, so that whoever is interested to work with the bureau will know the locally assembled vehicles that are available.

“The report with BPP, shows the auto brands that are available in Nigeria. It clearly shows that Company A has so so brand and vehicles; they have this pick-up, they have this and that vehicles.”

The ‘Nigeria First’ policy empowers the BPP to ensure that all (100 percent) government procurements are made in Nigeria, but could approve patronage of imported products where there are no local alternatives.

The DG said the Council was eagerly looking forward to the commencement of implementation, saying, “The BPP is expected to issue a guideline on the implementation, and we at the NADDC are eagerly waiting for the guideline.

“President Tinubu has done his own, which is paving the way for all us, Osanipin remarked. “It is now left for us to come up with how it is going to be operational. We are very happy that the whole country is aware and Nigerians are ready for this. We will push it and let Nigerians know the types of vehicles available.”

Also reacting, the Chairman of Innoson Vehicles applauded President Tinubu for being thoughtful enough to introduce the policy which he believes would generate a lot of patronage for serious manufacturers of vehicles in Nigeria, thereby helping them to increase their production.

“Nigerians should be grateful to President Tinubu for the ‘Nigeria First’ initiative. If it is fully implemented, it will help manufacturers in Nigeria, especially we in the auto sector. My concern is full implementation,” he said.

Chief Chukwuma said the auto plants in Nigeria are capable of meeting all the demands of the MDAs, arguing that there is hardly any kind of vehicle they need that cannot be manufactured in Nigeria.

He cited the example of his IVM plant in Nnewi which manufactures a wide range of passenger and commercial vehicles with high level of local content, including cars, SUVs, pick-ups, buses of various capacities, and fire trucks, which are offered in petrol/diesel and Compressed Natural Gas (CNG) options.

“So, they don’t have any reason to patronise imported vehicles. Even if it is CNG they want, we are ready. We started manufacturing CNG buses two years before the government made it a policy. So, we are the leader in that technology.”

Chukwuma said a multi-billion naira new IVM plant manufacturing only CNG and electric vehicles would soon come on stream in Nnewi.

To the Managing Director of Dana Motors Limited, Jacky Hathiramani, the policy is a vision for a prosperous Nigeria through economic stability, social development, and the promotion of local industries.

Hathiramani said, “The policy being approved would foster so much more for the country.

“It will be more promising for automobiles, especially in areas like local assembly, supply chain development, and potential incentives for OEMs (original equipment manufacturers) and conversion centres.”

Dana Motors’ auto plant located in the Isolo area of Lagos assembles a wide range of eco-friendly vehicles, including passenger cars and CNG-powered buses of various capacities.

As the sole representative of the Kia brand in Nigeria, Dana Motors also provides in the local market multi award-winning electric cars, including EV3, EV5, and EV9.