Ultimate magazine theme for WordPress.

FG affirms continuity of Auto policy, says NADDC DG

DG NADDC, Engr. Aminu Jalal

Director General of National
Automotive Design and Development Council (NADDC), Engr. Aminu Jalal has
affirmed the Federal Government’s commitment to the continuity of the Nigerian
Auto Policy.

Jalal said that President Muhammadu
Buhari had repeatedly emphasized Federal Government’s determination to
diversify the economy through the promotion, support and protection of local
industrial production in all areas that the country had sufficient capacity,
including the automotive industrial sub-sector with its potential for mass
He gave this assertion in his office
in Abuja while receiving a group of Chinese investors from the world’s largest
manufacturer of high capacity buses, Zhengzhou Yutong Buses Company Limited,
led by a director of the company, Mr Michael.
On patronage, the NADDC boss said that
government was committed to the patronage of Made-in-Nigeria automobiles,
adding that all federal ministries, departments and agencies were mandated to
source their vehicle procurements from local assembly plants, except where the
specification of the required vehicle was not among the range of models being
produced by the various brand names in the country.
“We have the assurance of government’s
patronage at the Federal level and we are still talking to state governments to
appreciate the benefits of buying from our local producers – the products of
our local plants are of very high quality and standards, they have readily
available service parts, they have after-sales service and they are cheaper
because of the tariff differentials with the imported FBUs.” he assured.
Jalal explained that while the tariff
for FBU imports outside NAIDP is 35% duty plus 35% levy for cars and 35% duty
for commercial vehicles, import tariff for investors within NAIDP range from 0%
to 10% for CKD and SKD assembly operations while concessionary FBU imports within
NAIDP would be at 35% duty for cars and 20% duty for commercial vehicles.
“Financially, you will find that it
does not make economic sense to import FBUs into Nigeria. The direct effect of
the tariff differential makes the locally produced brands relatively cheaper
than the imported FBUs of the same brand. Now that we have succeeded to a large
extent in bringing back assembly operations into Nigeria, we are now focusing
attention on local contents development and quality control.” Jalal explained.
He added that efforts were now geared
towards attracting international Original Equipments Manufacturers (OEMs) to
partner with our indigenous entrepreneurs in setting up manufacturing
facilities where locally available materials would be used to make good quality
vehicle components and parts that can be incorporated into assembly operations. 
The Director General emphasized that
the Council was collaborating actively with the Standards Organization of
Nigeria (SON) to ensure that all the local assembly plants and components
manufacturers complied with stipulated quality controls and safety standards
with a view to ensuring that Nigerian-made automobiles were not in any way
inferior to similar products from reputable plants elsewhere in the world.
The Yutong team was in NADDC
Headquarters to seek clarifications and make necessary business enquiries
especially in respect to government’s position on the continuity of the auto
policy, tariff protection, applicable incentives, products patronage, quality
assurance and standards. This is preparatory to its proposed setting up of
vehicle assembly operations for the building of high capacity buses in Nigeria.
Presently, imported Yutong buses are
in Nigeria for mass transit services especially in Abuja by the Federal Capital
Territory Administration (FCTA) and Trade Union Congress (TUC).
Yutong’s main
products are high capacity coaches, city buses, intercity buses, school buses
and special vehicles. The company is reputed to have successively produced
business purpose vehicles, recreational vehicles, blood collection vehicles,
physical examination vehicles, ambulances.

Others are engineering
vehicles, airport buses, aluminum city buses, learner-driven vehicles, products
display vehicles, mobile library vehicles, sightseeing buses and other products
featuring high technical content, sophisticated product structure and reliable
quality to meet the diverse needs of customers and provide customers with best
Leave A Reply

Your email address will not be published.