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.