An industry shakeup is underway, as the federal government has unveiled new strategies to clamp down on unregulated importation of used cars.
The regulators in this industry will, with one move, clamp down on the activities of illegal importers, and also encourage local production.
Speaking in a meeting in Lagos, the Director General of the National Automotive Design and Development Council (NADDC), Mr. Joseph Osanipin announced that the regulator would be enforcing stricter dealership regulations.
FG to stop unauthorized importation of used cars
Osanipin stated that Executive Order 005 mandates ministries and agencies to encourage and even prioritise patronage of locally produced products over imports, Leadership news reports.
He noted that by stricter rules on dealers, the regulator would protect Nigeria from becoming a dumping ground for substandard and high-emission products that compromise the growth of local industry.
He sais this would ensure environmental sustainability, and grow local industry to position Nigeria as a notable player in the automobile production industry.
Motor dealers react to new move
The Association of Motor Dealers of Nigeria (AMDON) President, Prince Ajibola Adedoyin, who was also present at the meeting commended the government’s move.
Adedoyin, however, noted that affordability is a key challenge in the industry as Nigerians are struggling with low purchasing power, and imported used cars are often the most affordable