NADDC Invites Investment for Nnewi Automotive Development Park
The National Automotive Design and Development Council (NADDC) has issued a call for investors to support the establishment of a proposed automobile development park in Nnewi. This initiative aims to bolster local automobile manufacturing and reduce Nigeria’s reliance on imports.
During a recent briefing in Abuja, Executive Secretary Mr. Oluwemimo Osanipin highlighted the initiative as part of President Bola Tinubu’s Nigeria First policy, aimed at addressing critical challenges facing the nation’s automotive industry.
The Nnewi Automotive Development Park is envisioned as a strategic response to longstanding issues such as high production costs and disjointed operational processes within the automotive sector. Osanipin noted that the park will offer manufacturers shared infrastructure and essential amenities, enabling investors to launch their ventures without the substantial financial burden of establishing independent facilities.
“By creating an automobile park, we seek to provide the necessary infrastructure that will allow park users to share facilities,” Osanipin explained. He emphasized the importance of attracting investors and further capital to accelerate the project’s development, stating that significant progress has already been made.
Collaboration between the public and private sectors is crucial for the success of this initiative, according to Osanipin. He urged financial institutions, manufacturers, and other stakeholders to join the effort to transform Nnewi, recognized as Nigeria’s automotive hub, into a fully integrated industrial cluster that supports vehicle assembly, parts manufacturing, and innovation.
This initiative promises to significantly enhance operational efficiency in the sector while fostering competitiveness and adding value to the region. Osanipin also highlighted the importance of consumer support for locally assembled vehicles, asserting that increased purchases will lead to job creation, skill development, and overall economic growth.
In related news, the NADDC chief announced that the federal government has authorized the acquisition of electric vehicles for civil servants, stipulating that these vehicles will be sourced from local assemblers. This is part of a broader strategy to align Nigeria with global shifts toward cleaner energy and sustainable transport systems, coupled with the development of supportive charging infrastructure nationwide.
Furthermore, the council is investing in capacity-building initiatives aimed at boosting local production of crucial auto parts like batteries and tires, thereby reducing import dependencies and strengthening domestic supply chains. Osanipin also disclosed ongoing efforts to coordinate with industrial banks to improve financing options for industry players, alongside plans to update legal frameworks governing the automotive sector to align with global best practices.
Nigeria’s automotive industry has historically struggled due to inadequate infrastructure, limited production capacity, and inconsistent policies. Despite prior reform efforts, these challenges have hindered progress, making the NADDC’s latest initiatives vital for the sector’s future.
