Senate hails Dangote’s investments in heavy duty trucks assembly

The Senate has commended Dangote Sinotruk West Africa Limited for its efforts in industrial breakthrough and putting Nigeria in the global map.

Vice Chairman, Senate Committee on Industry, Senator Shuaibu Lau, gave the commendations when his committee inspected the Dangote Sinotruk West Africa Limited, Ikeja Assembly plant.

Also part of the visiting team were the Director-General of the National Automotive Design and Development Council, NADDC, Oluwemimo Joseph Osanipin, Director, Policy, NADDC, Mr Sani Musa and Deputy Director, Press and Protocol, NADDC, Mrs Felicia Oyebolu.

The committee led by Senator Lau, also had Senator Sadiq Umar, Senator Victor Umeh, Senator Ekong Sampson and Senator Benson Agadaga on the inspection team.

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Speaking shortly after the inspection tour, Senator Lau said he is impressed with what they saw at the assembly plant.

He said, “The leadership of NASS is ready to push and make Dangote compete with other manufacturers globally.”

He advised the company to outsource raw materials to local companies, saying, “We have listened to some of your challenges. The NASS is ready to help you in terms of legislation and policy formulation that will make you do better. We will come early next year, while we await for what you want us to do in order to protect you. We are ready to protect you in terms of policy formulation. We thank Dangote for putting Nigeria in the map of industrial nations.

Also commending the company, Senator Ekong Sampson said “I commend Dangote for what he is doing. Dangote has shown enterprise and courage in what he is doing”.

Senator Umeh, who was equally impressed with Dangote, said, “I am impressed with what we have seen. However, you should be able to put into those lines raw materials from local sources. Part of backward integration should be cutting down what you buy from outside.”

Osanipin pointed out that despite the challenges they are facing, the DSWAL and other manufacturers are still struggling to comply with the expected backward integration policy.

Noting that the visiting team has pointed out areas the assemblers need to adjust, the NADDC DG expressed optimism that there would be changes when the team visits in 2025.

In his response, the Group General Manager of Dangote Sinotruk West Africa Limited, Mr Hikmat Bahadur Thapa, stated that despite the fact that the company is facing some challenges, they are doing their best in areas of backward integration, workers welfare and other areas raised by the committee.

Corroborating Thapa, Senior General Manager – HAM, Mr McDappa Ngo sought the intervention of the Senate for the company to remain in business, saying, “We are facing a situation whereby next oversight function, you may not be able to see us. Several others like us have closed down because they can’t compete, judging from the high labour cost, high overhead and other operational costs.

“We have been surviving from 2017 till now because Dangote has been using money from his other businesses to sustain this. You have to come to our rescue because it is an emergency as it is”, McDappa Ngo emphasised.

Though DSWAL started operations in 2017, completely knocked down (CKD) manufacturing commenced in June, 2024 following a commissioning ceremony presided over by the Senate President, Senator Godswill Akpabio.

Built to produce commercial vehicles, covering heavy duty trucks, medium trucks and light trucks, Dangote Sinotruk is a joint venture between Dangote Group (65 per cent), Sinotruk of China (30 per cent) and Andaz (5 per cent).