The National Automotive Design and Development Council (NADDC) has declared that the Federal Government has suspended the issuance of licenses for now vehicle assembly plants.
The Director General of the Council, Mr Aminu Jalal made this known in a statement he issued on Friday.
He said the decision would help the Council consolidate the existing vehicle assembly operations and focus on developing local content.
Jalal noted that those investig in Original Equipment Manufacturing are not affected by the order as OEM licenses are still being issued.
“The major objective of the National Automotive Industry Development Plan is to bring back Completely Knocked Down (CKD) automotive assembly and develop local content.
“NADDC is investing over N5 billion to establish automotive test centres that will ensure that the vehicles and components meet international safety and environmental standards.“The response to the policy so far has exceeded our expectations. The current status of implementation of the policy is that 14 existing assembly plants started assembling new products (cars, SUV, buses, pick-up trucks) in 2014," he said.
He identified the 14 plants as Volkswagen of Nigeria (VON), Peugeot Automobile Nigeria (PAN), Innoson Vehicle Manufacturing, ANAMMCO, Leyland-Busan, NTM, Steyr, Nissan, Hyundai, Kia, Honda, Shacman, MAN Diesel, and Ashok-Leyland.
The statement also disclosed that some other companies that have been licensed to manufacture automobiles are in the process of setting up their plants.
“Eleven new companies, including Century Auto (Toyota), TATA, Coscharis Auto(FORD, Joylong, Dongfeng) and Dana Motors (Renault) have been given bona-fide manufacturing status and are on track to start assembly operations this year.
“Our emphasis has now shifted to the development of automotive local content.
“Sites for automotive supplier parks in excess of 400 square hectares have been acquired across Nigeria and effort is ongoing to acquire more.”
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