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Nairametrics
Home Business News

Nigeria moves to cut $1 billion annual loss to vehicle parts importation 

Samson Akintaro by Samson Akintaro
November 4, 2024
in Business News
Nigeria moves to cut $1 billion annual loss to vehicle parts importation 
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The National Automotive Design and Development Council (NADDC) has intensified its efforts to reduce Nigeria’s dependence on imported vehicle components, a practice that costs the country over $1 billion annually.

The NADDC Director-General Joseph Osanipin stated this on Monday during the Midas NFX Software Automotive Design Skills Boot Camp held in Abuja.

Oanipin who decried the fact that the country spends over one billion dollars each year on imported spare parts, emphasized the urgent need for local production capabilities.

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“The country spends over one billion dollars annually on imported spare parts. This massive expenditure underscores the necessity of developing advanced design and manufacturing skills locally to stimulate economic growth and reduce reliance on imports,” he said. 

Modernizing Nigeria’s automotive sector 

The boot camp, organized by NADDC, focuses on training engineers and designers using Midas NFX software.

  • This advanced tool facilitates the design and simulation of automotive components, enabling users to optimize material selection and meet precise manufacturing requirements.
  • According to Osanipin, the software represents a key step in modernizing Nigeria’s automotive manufacturing landscape.
  • The initiative aims to train 100 engineers over the next year, equipping them with critical skills that bridge the gap between theoretical knowledge and practical application.

“The training is not limited to NADDC staff but is also open to private sector participants who may lack access to such advanced resources,” he said.

“The only way we can bridge this gap is through knowledge. By fostering innovation within the industry, we not only enhance local expertise but also pave the way for producing quality spare parts locally, ultimately saving foreign exchange,” he added.

Potential for growth in local production 

Osanipin highlighted the untapped potential in Nigeria’s automotive sector, especially in the production of components like batteries, brake pads, and filters.

  • Despite strides in local lubricant manufacturing, there is a vast opportunity to harness local talent for designing and producing these parts. Such efforts could boost job creation and drive self-sufficiency.
  • He added that the automotive aftermarket presents a significant economic opportunity, and training programs like the one currently embarked upon are crucial for harnessing that potential.
  • He revealed that 24 participants would begin training immediately, with plans to expand the initiative in the future.

Meanwhile, Dr. Abdullawal Zubair, Managing Director of FAZSAL Nigeria Limited, while speaking at the training, commended the NADDC for providing access to cutting-edge tools like 3D scanners and printers.

“The equipment provided is among the best globally. Participants should leverage this opportunity to improve their skills, benefiting both their careers and the broader industry,” Zubair encouraged.

The training program is expected to lay the foundation for a more self-reliant and innovative Nigerian automotive industry, positioning the country for competitiveness on the global stage.


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Tags: NADDCvehicle parts importation
Samson Akintaro

Samson Akintaro

Samson Akintaro is a tech enthusiast and has over a decade experience covering and writing about the tech industry. He is currently the Tech Analyst at Nairametrics.

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