L
LequteMan
Guest
Nigeria's auto manufacturing industry has a very long way to go, considering the fact that it is shrinking, Proshare reports.
Vehicle importation in the country remains high- a minimum of 500,000 cars are imported on a yearly basis, with over 80% being used cars (tokunbos).
According to National Automotive Design and Development Council (NADDC), proper implementation of the automotive policy (which aims to improve auto assembly and manufacture in the country) could lead to the assembly of 500,000 vehicles per annum compared with 100,000 assembled in 2014.
However CBN's latest External Sector Development Report reveals that in Q1 2015 manufactured products accounted for 15.2% of fx utilisation for visible imports. Auto imports is believed to fall into this category.
The latest national accounts (Q3 2015) provided by the National Bureau of Statistics (NBS) show that the motor vehicles & assembly segment of the manufacturing sector contracted by -8.7% y/y, compared with 24% growth recorded in the corresponding period in 2014. These figures for the segment, as for many others, reflect the current macro challenges.
Vehicle importation in the country remains high- a minimum of 500,000 cars are imported on a yearly basis, with over 80% being used cars (tokunbos).
According to National Automotive Design and Development Council (NADDC), proper implementation of the automotive policy (which aims to improve auto assembly and manufacture in the country) could lead to the assembly of 500,000 vehicles per annum compared with 100,000 assembled in 2014.
However CBN's latest External Sector Development Report reveals that in Q1 2015 manufactured products accounted for 15.2% of fx utilisation for visible imports. Auto imports is believed to fall into this category.
The latest national accounts (Q3 2015) provided by the National Bureau of Statistics (NBS) show that the motor vehicles & assembly segment of the manufacturing sector contracted by -8.7% y/y, compared with 24% growth recorded in the corresponding period in 2014. These figures for the segment, as for many others, reflect the current macro challenges.