Stakeholders react as FG plans to restrict imported vehicles, spare parts

Stakeholders in Nigeria’s automobile industry have called on the Federal Government to exercise caution in implementing the proposed end-of-life-vehicle (ELV) policy, which seeks to impose more stringent measures on imported vehicles and spare parts.

The Federal Government, through the National Automotive Design and Development Council (NADDC) has set the second quarter of 2026 for full implementation of the ELV policy.

The Director-General of NADDC, Otunba Joseph Osanipin, on the sidelines of the 18th edition of the Nigeria Auto Journalists Association (NAJA) International Awards 2025, had disclosed plans by the council to restrict some imported vehicles from entering the country without adequate checks and inspection.

According to him, the new regime is aimed at removing unsafe vehicles from the roads and tightening control over the importation of substandard spare parts.

He declared that the new policy was also aimed at reshaping vehicle standards, road safety and the future of Nigeria’s automotive industry, adding that the country could not continue to be a dumping ground for used and unsafe vehicles.

According to Osanipin, groundwork for the ELV initiative had already been laid, with operational procedures currently being finalised in collaboration with relevant government agencies.

Osanipin maintained that once the policy takes effect, vehicles considered unfit for use would no longer be allowed on Nigerian roads, while similar vehicles would be barred from entering the country.

He said: “In the last few months, we launched the end-of-life vehicle programme, and we are putting in place the operational procedures. As we move into the second quarter of 2026, the implementation will be in full force.

“What this means is simple: vehicles that are not supposed to be on the road will no longer be there and vehicles that are not supposed to come into Nigeria will not be allowed in.”

As part of the implementation plan, Osanipin disclosed that the NADDC was also working with the Standards Organisation of Nigeria (SON) on a Vehicle Evaluation and Certification Programme (VEG-CAP), which would extend quality assurance beyond new vehicles to include used imports.

Osanipin observed that while new vehicles and assembly kits imported into Nigeria already undergo conformity assessment verification, used vehicles, which form a significant portion of the market, had largely escaped such scrutiny.

Beyond safety and environmental concerns, he further emphasised that the ELV policy was central to the Federal Government’s plan to revive and sustain local vehicle assembly.

Reacting to the pronouncement, an automobile industry expert, Dr. Emmanuel Mogaji, urged the NADDC to go beyond enforcement to build trust, coordinate stakeholders and integrate informal transport operators into the recycling ecosystem.

Mogaji warned that without inclusive implementation, the policy could deepen transport inequality rather than reduce it.

Mogaji, who also serves as an Associate Professor in Marketing at Keele University in the United Kingdom, fears that if poorly managed, ELV regulations could lead to illegal dumping, cross-border vehicle leakage, and the exclusion of informal actors.

He said: “Strong governance, transparency and engagement with transport unions and communities are essential to avoid unintended consequences.”

He noted that the success of the ELV regulation should not be judged only by economic gains, but rather by its impact on people’s everyday transport experiences.

He argued that many Nigerians rely on ageing vehicles out of necessity, not as a choice, noting that a transformative approach must combine regulation with incentives, affordable mobility alternatives and inclusive transport planning.

In his comment, the Managing Director, Hundred Success Nigeria Limited, Adeyemi Adekanbi, objected to the plan, warning that the initiative, if hastily rolled out, could worsen economic hardship, disrupt livelihoods and inflate transportation costs across the country.

Adekanbi argued that while the objectives of the policy may be laudable, the prevailing economic realities in Nigeria made its implementation impractical and potentially damaging to the economy.

Like Mogaji, he insisted that the ELV policy failed to take into account the purchasing power of Nigerians who procure ageing vehicles for use.

He explained that the astronomical rise in the prices of vehicles was driven by high exchange rates, import duties and high logistics costs.

Adekanbi advised the government to impose a “year of manufacturing “regime on imported vehicles, rather than the ELV policy.

According to him, age restrictions on imported vehicles had already been put in place over the years, but called for effective monitoring for implementation.

He said: “The implementation of the ELV policy means scrapping of older vehicles without viable replacement options. This will cripple millions of transport operators and small businesses. The fortune of local assembly plants, which the government is attempting to protect, will nosedive.

“This policy of the government can only work in developed economies where citizens can afford new vehicles and there is a functional public transport system, but the reverse is the case with Nigeria. However, maybe this government thinks the country is only for itself and the other wealthy people in the country.”

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