Nigeria Automotive Industry has been saved
Nigeria Automotive Industry
Reigniting a dormant Automotive industry
Nigeria is West Africa’s unrivalled economic powerhouse. With a population of over 190 million people and a gross domestic product of over US$380bn, Nigeria is Africa’s most populous country and second largest economy.
Key take-outs from this report
- A large share of Nigeria’s vehicle fleet is old. Therefore, automotive manufacturers can capitalise on the high demand for automotive spare parts for used vehicles.
- Opportunities exist for domestic production of parts that are at particular risk due to poor road conditions, such as tires, brake pads and suspension.
- Once domestic expertise has been developed, part manufacturers have an opportunity to move up the value chain and start producing components that are more complex. Improving the depth and sophistication of the value chain would also help to increase domestic assembly activities and to unlock the potential of the domestic automotive industry.