The Federal Government has directed ministries, departments and agencies (MDAs) to purchase vehicles exclusively from licensed local assemblers or their authorised retailers under its Nigeria First Policy.
The directive is aimed at strengthening Nigeria’s automotive industry, creating employment opportunities, reducing dependence on imported vehicles and encouraging the production of vehicle components locally.
Under the new arrangement, government agencies will no longer be allowed to purchase foreign-assembled vehicles unless they can demonstrate that no suitable locally assembled alternative is available and obtain direct presidential approval.
The government has also warned that suppliers who violate the directive could face regulatory sanctions, including blacklisting and the revocation of their licences.
FG Directs Local Assemblers to Increase Production
Speaking in Abuja, the Director-General of the National Automotive Design and Development Council (NADDC), Oluwemimo Joseph Osanipin, urged local vehicle assemblers to increase production, improve product quality and strengthen their after-sales services to meet the government’s expectations.
Osanipin disclosed that Nigeria’s vehicle assembly plants have a combined annual production capacity of 370,520 vehicles.
He explained that prioritising locally assembled vehicles in government procurement would create more opportunities for domestic manufacturers while supporting the growth of the wider automotive industry.
“We are fundamentally shifting the Nigeria First Policy. All vehicles procured by ministries, departments and agencies, including project utility vehicles, must be sourced exclusively from licensed local assemblers or their authorised retailers,” he said.
He further explained that any government agency seeking to purchase a foreign-assembled vehicle must prove that there is no domestic alternative and obtain direct presidential clearance.
Government Introduces Strict Vehicle Verification Requirements
The government has also introduced verification requirements to ensure that vehicles supplied to public institutions genuinely come from licensed local assembly operations.
According to Osanipin, every vehicle purchased by the government must have a traceable Vehicle Identification Number (VIN) verified through the NADDC.
He warned that suppliers who bypass licensed local assembly arrangements would face immediate regulatory action.
“Every vehicle supplied to the government must carry a traceable Vehicle Identification Number (VIN) verified through the NADDC. Any supply outside licensed local assembly lines will attract immediate regulatory sanctions, including blacklisting and licence revocation,” he stated.
The verification requirement is intended to improve transparency in government procurement and ensure compliance with the Nigeria First Policy.
BPP Warns Assemblers Against Poor Quality
The Bureau of Public Procurement (BPP) has also warned local vehicle assemblers that the government will not overlook poor product quality, inadequate after-sales support or violations of the new procurement rules.
The bureau emphasised that local manufacturers must meet the required standards if they want to benefit from the government’s decision to prioritise domestically assembled vehicles.
BPP Director-General Adebowale Adedokun urged manufacturers to invest in modern technology, stronger quality-control systems and reliable maintenance services.
He stressed the importance of building an automotive industry capable of meeting government demand while remaining competitive and dependable.
FG Seeks to Strengthen Nigeria’s Automotive Industry
The Nigeria First Policy forms part of the government’s efforts to encourage local production and reduce reliance on imported goods.
By directing MDAs to prioritise locally assembled vehicles, the government hopes to increase demand for domestic manufacturers, support local component producers and expand employment opportunities across the automotive value chain.
However, the success of the policy will depend partly on the ability of local assemblers to meet government demand while maintaining competitive prices, product quality and adequate maintenance services.
With the new directive, local vehicle manufacturers are expected to play a more significant role in government procurement, while agencies seeking exemptions for foreign-assembled vehicles will face stricter requirements.
