… Fed. Govt. Strikes Strategic Engagement with Volkswagen Group Africa.

The Federal Government of Nigeria and Volkswagen Group Africa are set to reopen the opportunity to begin Auto Assembly again in Nigeria, aimed at fostering the growth of the Nigerian Automotive industry.

The meeting of the Stakeholders held at the Bank of Industry office in Abuja, was attended by the Honorable Minister of State for Industry, Senator John Owan, NADDC Director General, Oluwemimo Joseph Osanipin, alongside delegates from Volkswagen Group Africa, led by Michael Petrie, Head of Strategic Plant Development, and Chrystal Christian, Head of Sub-Saharan Africa Operations.

The primary focus of the visit was to explore Volkswagen’s potential to expand its operations in Nigeria, both in the short and long term. Discussions centered on the opportunities for Volkswagen to set up assembly and production facilities within Nigeria, a significant step towards making the country a hub for Automotive manufacturing in Africa.

Speaking at the meeting, NADDC DG, Oluwemimo Joseph Osanipin, highlighted Volkswagen as one of the world’s leading Original Equipment Manufacturers (OEMs) and a key player in the establishment of the African Association of Automotive Manufacturers. He noted that discussions with Volkswagen have been ongoing for some time regarding the possibility of establishing operations in Nigeria to assemble and produce Volkswagen vehicles locally.

Osanipin emphasized that, the company has expressed interest in expanding to Nigeria. This visit is a continuation of those discussions, with Volkswagen representatives seeking to explore opportunities for local partnerships. The DG indicated that the next steps depend on the outcome of these discussions, particularly in securing the right local partners. “Once the feasibility of these partnerships is assessed, further plans will be developed” he said.

Senator Owan welcomed the Volkswagen team to Nigeria, highlighting the government’s commitment to developing the country’s automotive industry. He stressed that Nigeria’s strategic position within Africa, coupled with the saturation of markets in South Africa and Morocco, made it an ideal location for the automotive industry to thrive.

The Hon. Minister also pointed to the importance of having the right policy frameworks and local partnerships to facilitate the establishment of manufacturing operations. He expressed confidence that the government under President Bola Ahmed Tinubu is already on the right path in creating favorable conditions for such investments.

Petrie, representing Volkswagen, expressed the company’s strong desire to re-enter the Nigerian market, citing the historical legacy of the brand in the country. Despite setbacks due to the COVID-19 pandemic. He reiterated Volkswagen’s long-term vision for establishing a robust manufacturing presence in Nigeria. He emphasized that, while short-term partnerships were a starting point, the ultimate goal was to build an automotive ecosystem in Nigeria similar to successful models in countries like Malaysia, India, and North Africa.

Volkswagen Group Africa’s plans include building a strong manufacturing footprint on the continent, with Nigeria as a key starting point for further expansion. Petrie expressed optimism about the future, noting that the potential in Nigeria is enormous, and Volkswagen is committed to identifying suitable partners and moving forward with the project as soon as possible.

The discussions marked a significant step towards realizing Nigeria’s potential as a major player in Africa’s Automotive industry. Both parties agreed to continue exploring avenues for collaboration