Auto industry in 2023: How far, so far?

The year 2023 has come and gone but for the auto industry in Nigeria, it is still a mixed bag of successes, accomplishments and dashed expectations.

For the umpteenth time, the National Automotive Industry Development Plan (NAIDP) Bill otherwise known as Auto Policy Bill remains jinxed without seeing the light of the day in the outgone year.

The bill has been suffering since the time of former President Muhammadu Buhari’s government and throughout the eight years, it did not see the light of the day.

It would be recalled that the Bill was passed by the 8th Assembly under Senator Abubakar Bukola Saraki but former President Buhari declined assent into the Bill citing conflicts with some existing Bills. The Federal Government however promised to send a fresh Bill to the lawmakers which would address all the grey areas highlighted in the previous Bill.

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From 2019 to 2023, the Buhari’s government failed to send the bill to the National Assembly for fresh legislative works despite several promises by the then Minister of Industry, Trade and Investment, Otunba Niyi Adebayo.

The Executive Secretary of Nigeria Automotive Manufacturers’ Association (NAMA), Remi Olaofe once told our correspondent in an interview that the delay in the passage of the auto policy bill is painful. He said the delay in the last eight years has cost the nation unquantifiable losses.

According to him, while the auto manufacturers should be working towards a CKD arrangement, they would be back in square one even if the bill is eventually passed.

He said it would be in the overall interest of the country if the government was able to achieve auto policy before the administration winds down.

“We can’t put a figure to what the delay in having this auto policy has caused. Even from the social side, the number of people that have been thrown out of jobs, people that were gainfully employed, trained, money spent to train them, where are those people? At the macro level, the government is supposed to be deriving a lot of benefits in the area of trade and we should be moving towards a CKD arrangement but we are going back to where we started from, many factories have shut down. Everybody has gone back to import. Why should you import SKD and pay the same duty as importing an FBU (Fully Built Unit)?

Daily Trust however reports that the bill is gaining traction in the present government with the new helmsman in the National Automotive Design and Development Council (NADDC), Mr. Joseph Osanipin driving its revival for presentation to the National Assembly.

Osanipin had in October last year taken over from Mr. Aliyu Jelani who was sacked as the Director-General of NADDC with an arduous task of changing the auto industry landscape amidst the mounting challenges and turbulence faced by auto manufacturers.

The new DG has however promised to deliver on the policy given the current impetus. He recently convened a stakeholders’ meeting in Lagos on the bill.

Speaking recently, he said, “After the stakeholders’ engagement, we moved to the next stage, which is setting up an implementation committee…This is something we are working on gradually.”

Stakeholders, however, await the government walking its talk by representing the Bill to the National Assembly.

Brand alignment, new cars’ unveiling

In the outgone year, the industry witnessed the introduction of new brands of vehicles and realignment of distributorship of some brands.

CFAO Motors’ distributorship of Toyota vehicles

There was a major reconfiguration in the country’s automobile distributorship as CFAO Motors, a leading distributor of mobility products and services in Nigeria with over 120 years of operations in Nigeria, was appointed as an official distributor of Toyota vehicles in the country with immediate effect.

Daily Trust reports that this appointment positions CFAO Motors as the second official distributor of Toyota vehicles in the country after Toyota Nigeria Limited.

CFAO said this reinforces its commitment to providing high-quality mobility solutions to its customers.

CFAO Nigeria adds Sinotruk Howo brand

CFAO Equipment last year signed up as a co-distributor of Sinotruk Howo in Nigeria with plans to increase the market share of the truck brand in the country.

It comes with a promise to users of heavy-duty trucks and equipment in Nigeria of better deals, and a boost in their productivity and profit going forward.

NEOS Grenadier births in Nigeria

INEOS Automotive, a foremost global vehicle manufacturer, has named Coscharis Motors as its official retail partner in Nigeria.

The country is now the sixth market in Sub-Saharan Africa to join the INEOS Automotive brand, following South Africa, Kenya, Tanzania, Namibia and Botswana.

Made-in-Nigeria All-New HR-V debuts

 The All-New Honda HR-V introduced in Nigeria by Honda Automobile Western Africa Ltd (HAWA) in April.

Coming with a stylish and sporty coupe-inspired design, the sub-compact SUV is expected to follow the trail of success blazed by its predecessor.

At the unveiling to the motoring journalists in Lagos, it was revealed that the HR-V was assembled in Nigeria, by Nigerians and for Nigerians, putting into consideration the peculiar terrain of the country.

The new HR-V represents the Third Generation of the Hi-Rider Revolutionary Vehicle, building on the successes of the First Generation (1999-2006); Second Generation (2006-2023) and the All New HR-V which is the third generation.

Ashok Leyland, Stallion unveil Phoenix light vehicle

Also in April 2023, Ashok Leyland, flagship of the Hinduja Group, along with Stallion Motors, its Exclusive Distributor in Nigeria for over a decade, launched the light commercial vehicle – Phoenix to the Nigerian market.

The exclusive national partnership with Ashok Leyland has evolved with time to bring the best-in-class products and services to the Nigerian consumer. These commercial vehicles are assembled locally and are best engineered for the road severity in Nigeria and generating employment.

Mikano’s big partnership with Changan

Also in the outgone year, Mikano Motors, an arm of Mikano International, took the industry by storm by expanding its partnership with Changan.

Mikano in February 2023 unveiled the Changan brands as the exclusive distributor in addition to Geely, Maxus and ZNA pick-ups in its portfolio.

The partnership with Changan Autos, one of the foremost global automakers, was an icing on the cake in its bid to expand its presence in the automotive industry.

With the partnership with Changan, Mikano Motors’ portfolio has been further expanded with no fewer than 15 brands like the CS 15, CS 35 plus, CS55, CS85, Eado DT, Eado Plus, among others.

Also last year, Saglev, a United State EV Manufacturer unveiled Saglev Electric Vehicles to distributors and dealers in Lagos.

It also said it has concluded plans to begin assembling electric vehicles at its 5000sqm Assembly Plant located in Ikorodu, Lagos.

Chairman and CEO of Saglev, Dr. Sam Faleye said the assembling plant has been licensed and approved by the National Automotive Design and Development Council (NADDC).

All-New Ford Territory hits Nigerian roads

Coscharis Motors has unveiled the All-new Ford Territory mid-size Sport Utility Vehicle into the Nigerian market.

Coscharis Motors, which holds the exclusive franchise for Ford vehicles in the country, introduced the new vehicle at its new Ford showroom in Victoria Island, Lagos.

Deputy Group Managing Director, Coscharis Group, Mr. Fred Amobi, said the unveiling has further led credence to the leadership status of Coscharis within the Nigerian automobile ecosystem with the introduction of the All New Ford Territory today.

According to him, the Ford Territory is a midsize SUV designed for tech savvy automobile enthusiasts. He stated that the vehicle is sure to satisfy the work and leisure needs of our customers and other stakeholders alike.

Toyota Nigeria boosts vehicle maintenance

Toyota Nigeria Limited also unveiled a new range of automobile enhancement products in the nation’s market.

This is in partnership with renowned global manufacturers of the items in response to the demand of its customers for quality vehicle maintenance products.

This is coming a few months after the firm introduced Toyota Genuine Motor Oil, a lubricant made not only for Toyota but all types of vehicle engines.

The new vehicle enhancement products include those from Jewelultra Diamondbrite for cleaning/protecting vehicles; smart repair comprehensive tools for minor cosmetics repairs and high-performance abrasives and power tools for professional solid surfaces and innovative sanding produced by Mirka.