French automakers return to Nigeria, team up with Dangote, Coscharis for 44,000-vehicle production

French automakers return to Nigeria, team up with Dangote, Coscharis for 44,000-vehicle production

French automobile manufacturers are mounting a fresh comeback in Nigeria’s automotive sector through strategic alliances with major local players, targeting the production and sale of about 44,000 vehicles annually as part of efforts to revive local assembly.

The renewed push involves two major partnerships: Peugeot’s collaboration with Dangote Peugeot Automobiles Nigeria (DPAN) and Renault’s alliance with Coscharis Group to produce vehicles for the Nigerian market.

The development was disclosed by Marc Fonbaustier, the French Ambassador to Nigeria, who said French carmakers are gradually rebuilding their presence in one of Africa’s largest automobile markets.

According to him, the partnership between Peugeot and Dangote Peugeot Automobiles Nigeria has already restarted operations with the Peugeot 301, while plans are underway to assemble additional models including the 308, 3008, 5008 and 508.

The ambassador noted that the relaunch is part of a broader strategy to scale up production capacity and increase local vehicle supply.

“The target of 44,000 vehicles annually is ambitious but achievable,” he said.

In a parallel move, Renault is partnering Coscharis Group to co-produce vehicles under the Logan brand for the Nigerian market.

French carmakers were once dominant in Nigeria’s automobile industry, largely through the activities of Peugeot Automobile Nigeria, which operated a major assembly plant in Kaduna.

Established in the 1970s, the plant assembled several Peugeot models locally and became a cornerstone of Nigeria’s auto industry. Vehicles such as the Peugeot 504 were widely used by government institutions, businesses and private motorists for decades.

However, economic downturns, policy changes and a surge in cheaper imported vehicles gradually weakened local assembly operations, causing production levels and market share for French brands to decline sharply.

The situation later prompted the Dangote Group to acquire a controlling stake in the company, leading to the creation of Dangote Peugeot Automobiles Nigeria, which has since modernised its assembly facilities and expanded production capacity.

Despite the revival efforts, the competitive landscape has changed significantly. Automakers from China and India have strengthened their foothold in Nigeria with more affordable models and growing local assembly operations.

Still, French investors remain optimistic about Nigeria’s long-term market potential. Fonbaustier said about 100 French companies currently operate in Nigeria, employing roughly 16,000 Nigerians.

He added that although rebuilding France’s automotive presence in Nigeria will take time, the new partnerships with Dangote and Coscharis mark an important step toward restoring local vehicle manufacturing in the country.