NADDC, ALCMAN seek urgent passage of NAIDP Bill to unlock auto industry potential

The Director-General of the National Automotive Design & Development Council (NADDC), Otunba Chief Joseph Oluwemimo Osanipin, has applauded President Bola Tinubu for his commitment towards the development of Nigeria’s automotive sector for national development, but regretted that, the lingering non-passage of the Automotive Policy into law is discouraging Original Equipment Manufacturers (OEMs) from investing into Nigeria’s local assembly plants.

Delivering the keynote address on Wednesday, October 8, 2025 during a Summit held by the Lagos Chamber of Commerce & Industry (LCCI) Auto Sub-Sectoral Group with the Theme; “The Impact Of Non-Passage Of The NAIDP Into Law On The Automotive Industry”,
the NADDC said the prolonged delay in the bill’s passage has stalled critical investments and slowed down sectoral growth.

“The NAIDP has been our roadmap for developing Nigeria’s automotive industry. But the inability of lawmakers to pass the comprehensive report into law has been a major hindrance,” Osanipin emphasized.

According to him, NADDC has recorded notable achievements, including the establishment of 18 training centres across the country and training over 30,000 technicians to enhance local expertise.

However, he warned that without a legal framework, issues such as uncontrolled importation of used vehicles and lack of credit schemes will continue to undermine the industry. “Nobody wants to commit their money into the auto industry without adequate legislation to protect their investment,” he noted.

On his own submission, Chief Anselm Ilekuba, National Coordinator, Local Content Manufacturing of the Automotive Local Content Manufacturers Association of Nigeria (ALCMAN), described Nigeria’s automotive industry as a key building block of economic growth, but lamented that the absence of enabling legislation has continued to erode investor confidence and hinder its development.

The ALCMAN boss said that ALCMAN will is working towards resuscirating the local content manufacturing sector of the Nigerian economy. He lauded the President Tinubu’s commitment towards the local auto sector through the huge efforts of the current Director-General of the NADDC.

According to Ilekuba, the continued delay in passing the Nigeria Automotive Industry Development Plan (NAIDP) bill into law is discouraging investments and slowing down industry growth.

“Without the passage of the NAIDP bill, investment will continue to erode the Nigerian auto industry. Stakeholders must continue to advocate for its passage because once passed, we will see effective development in the auto industry,” he stated.

He also decried policy inconsistency, stressing the need for legislation that protects local components producers and guarantees their investments.

President and Chairman of Council of LCCI, Gabriel Idahosa, commended NADDC for its commitment to industry growth and urged immediate action on policy refinement. He called for a balanced tariff structure, warning that further delays would worsen unemployment and weaken local production capacity.

Similarly, Chairman of the Automobile and Allied Services Group of LCCI, Femi Eguaikhide, emphasized that proper legislation and increased investment could transform the Nigerian auto sector into a major foreign exchange earner.

“This symposium is about addressing the challenges from the non-passage of the NAIDP Bill and exploring strategies to boost local manufacturing,” he said.

During the interactive session, Syam Abdulkadir, National Operations Manager of Mikano Motors, identified legislation as the sector’s biggest obstacle, asserting that “once that is taken care of, every other thing will fall into place.”

Otunba Adekunle Jaiyesimi, Deputy Managing Director of CFAO Mobility Nigeria Ltd, highlighted the effect of exchange rate disparities on vehicle affordability, citing neighbouring Benin as an example where auto loan schemes support easier vehicle acquisition.

He urged NADDC to deepen engagement with local representatives of vehicle manufacturers to drive faster policy outcomes.

Also contributing, Assistant Comptroller the Nigeria Customs Service (NCS) Limai Oluwakemi, representing the Comptroller General of Customs, Bashir Adewale, reaffirmed the Nigeria Customs Service’s commitment towards supporting local content in the automotive industry and enforcing the Federal Government’s “Nigeria First” policy through inter-agency collaboration.

MIKE OCHONMA
EDITOR