West Africa’s Auto Industry: Can a New Trade Policy Supercharge Growth?

The West African automotive industry is at a crossroads. Stakeholders are advocating for a refined automotive policy to drive growth and development across the region. This article explores the key discussions from the West Africa Automotive Show (WAAS) 2025 and what the future might hold for car manufacturing and trade in West Africa.

Here’s a quick look at what we’ll cover:

  • The call for a new automotive policy
  • Potential benefits of a refined policy
  • Challenges to EV adoption in Nigeria
  • Ghana’s automotive success story
  • Government incentives for CNG and EVs in Nigeria

Driving Force: A New Automotive Policy for West Africa

At the West Africa Automotive Show (WAAS) 2025 in Lagos, Joseph Osanipin, Director-General of the National Automotive Design and Development Council (NADDC), urged West African nations to consider a revamped automotive policy. Represented by Abubakar Gummi, Osanipin emphasized that a refined policy could unlock a larger, more competitive market for automotive production in the region.

Why This Policy Matters: Benefits for the Region

A well-crafted automotive policy can bring several advantages to West Africa:

  • Regional Value Chain: It promotes specialization and strengthens the regional value chain.
  • Standardization: It helps develop regional standards and regulations, including those for electric vehicles (EVs).
  • Eco-Friendly Tech: It encourages the adoption of environmentally friendly vehicle technologies.

The Road Ahead: Collaboration and Key Strategies

Osanipin stressed the importance of collaboration between the government, private sector, and civil society to achieve these goals. Key strategies include:

  • Developing policies that support both traditional (ICE) vehicles and EVs.
  • Investing in infrastructure for EVs.
  • Promoting research and development in automotive technology.
  • Enhancing skill development and training for automotive workers.
  • Facilitating access to finance for automotive enterprises.
  • Raising public awareness about the benefits of EVs and alternative fuels.

Electric Dreams: Overcoming EV Adoption Challenges in Nigeria

Kunle Jaiyesimi, Deputy Managing Director of CFAO Mobility, highlighted electricity as a major barrier to EV adoption in Nigeria. However, CFAO Mobility is tackling this challenge by using solar power and partnering with an EV manufacturing company.

Ghana’s Success Story: Lessons for West Africa

Kojo Annobil, Head of the Ghana Automotive Centre, shared Ghana’s impressive progress, with seven assembly plants and 15 brands established through government incentives. This showcases the potential of strategic policies in boosting automotive manufacturing.

Government Steps In: Incentives for CNG and EVs

Michael Oluwagbemi, CEO of Pi-CNG, emphasized that the government is actively promoting the use of Compressed Natural Gas (CNG) and EVs to alleviate the impact of fuel subsidy removal. Incentives include providing kits to commercial drivers, offering credit facilities, and focusing on capacity development.

The Big Picture: Economic Growth and Sustainability

By embracing sound policies, promoting intra-African trade, and leveraging natural resources, West Africa can create a sustainable automotive industry that drives economic growth, creates jobs, protects the environment by reducing carbon footprint and contributes to regional prosperity. The shift towards electric vehicles and the development of an advanced ecosystem to support their adoption and production are vital steps in this direction.

About The Author

Kayode Nwankwo

Kayode actively participates in workshops and seminars focusing on public health and environmental protection. He collaborates with NGOs and governmental agencies to promote initiatives that support sustainable practices and improve healthcare access in underserved areas.He mentors young journalists interested in science and health reporting, stressing the need for in-depth knowledge and a strong ethical approach.

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