The National Automotive Design and Development Council (NADDC) has called for a stronger legal framework to accelerate the development of Nigeria’s automotive industry.
NADDC Director-General Joseph Osanipin made this call at a public sector stakeholder consultative meeting on the Draft National Automotive Industry Bill 2026 in Abuja on Tuesday.
Osanipin stated that the proposed legislation would address policy uncertainty, enforcement challenges, and legislative gaps that hinder long-term investment in the sector.
He explained that the bill aims to repeal the NADDC Act of 2014 and establish the National Automotive Development Commission.
According to him, the proposed commission would have enhanced regulatory, oversight, and enforcement powers to improve coordination within the automotive industry.
Osanipin added that the legislation would strengthen local content integration, component manufacturing, green mobility, and vehicle recycling.
“The proposed framework will give investors confidence by providing statutory protection for incentives and ensuring policy stability.
“First, we aim to give investors the confidence and assurance needed to invest significantly in the automotive industry,” he said. He noted that increased investment would drive industrial growth, technology transfer, job creation, and foreign exchange conservation.
The NADDC Director-General emphasised that developing local component manufacturing is essential for a sustainable automotive industry.
He also stated that the proposed legislation would support the development of an organised domestic market for used vehicles through automotive recycling.
Osanipin highlighted that over 70 per cent of automobile components can be recycled, making the circular economy a key aspect of the proposed reforms.
Regarding consumer benefits, he said increased local production would promote competition in vehicle pricing, quality, and after-sales services.
The ChaiThe Chairman of the House of Representatives Committee on Industry, Rep. Enitan Badru, urged stakeholders to ensure the proposed legislation addresses institutional overlaps and enforcement challenges. He said the transition from a “council” to a “commission” mattered because the existing law did not give sufficient authority for effective enforcement.
He emphasised that Nigeria cannot afford to remain a dumping ground for imported vehicles and automotive products.
“We have a good market. A population of close to 200 million is a good market anywhere,” he said.
The lawmaker stressed the importance of ensuring that local content requirements are practical, competitive, and supported by sufficient domestic capacity. He cautioned against imposing requirements that could make locally sourced components more expensive or of lower quality than imported alternatives. Badru also called for clear coordination among the proposed commission, the Standards Organisation of Nigeria, Customs, NASENI, and other relevant agencies. agencies.
He stated that the draft bill should reach the National Assembly by late November or early December to allow adequate time for legislative review.
The lawmaker assured stakeholders that the House of Representatives would work towards accelerating the legislative process while ensuring thorough scrutiny. Stakeholders at the event commended the NADDC Director-General for his vision and efforts to advance Nigeria’s automotive sector, pledging their full commitment and support for this goal.
