The National Automotive Design and Development Council,(NADDC) is currently pushing up its partnership further with South African Global Original Equipment Manufacturers (OEMs) through a strategy which aims to make it worthwhile for automotive components and parts manufacturers in South Africa and elsewhere, to locate in Nigeria and produce for the local and export markets. This initiative would drive employment in the industry, as
Nigeria specialises in components that are easily manufactured here, while those yet to be manufactured will be imported from South Africa , that country will receive Nigeria’s products in exchange. In this respect, the Department of Industry of South Africa, equivalent of Nigeria’s Ministry of Industry Trade and Investment and the NADDC are working out the modalities, with the focus being job creation.
BusinessDay learnt that in deepening the partnership with the firms, the NADDC has already held discussions with the African Automobile Manufacturers Association, (AAAM). Members of this association are protected from imported second hand vehicles which are very new. This category makes it difficult for investment in Assembly. “The older vehicles can be allowed with minimum restriction to prevent public outcry until a local secondhand market grows
and matures, as made in Nigeria vehicles age to replace imported imported second hand ones.
He also said part of their discussions was “to ensure that the Nigeria Customs Service come up with better procedures in processing imports of automotive knocked down parts and material for local components manufacture” Products that will be quickly produced in Nigeria may include mostly plastic parts, welded parts(exhaust system,seat frames),electrical parts(batteries,trafficators,wiri ng harness),plastic and rubber parts(tyres,tubes,fan blades,seat foam, seals, hoses, radiator grills) Others include radiator cables, filters, brake pads/ linings,wind screens, side glasses, fibre-glass parts, paint and rubber products-tyres.
