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FG approves establishment of Chinese electric vehicle factories in Nigeria

OyoReporters by OyoReporters
May 19, 2025
in Business, News
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AKINWALE ABOLUWADE

The Federal Government has granted approval for Chinese companies to establish electric vehicle (EV) factories in Nigeria, marking a major step towards deepening industrial cooperation between both nations.

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This development was disclosed by the Chinese Ambassador to Nigeria, Yu Dunhai, during a courtesy visit to the Minister of Solid Minerals Development, Dr. Dele Alake, in Abuja.

Ambassador Dunhai emphasized the importance of strengthening bilateral ties, particularly in harnessing Nigeria’s solid minerals for industrial growth. He described Nigeria as a nation richly endowed with natural resources and a key partner in China’s foreign policy.

The ambassador linked the new initiative to recent high-level engagements between Presidents Bola Tinubu and Xi Jinping, during which both leaders agreed to upgrade relations to a comprehensive strategic partnership. This, he said, has opened new avenues for cooperation, especially in the areas of mining and manufacturing.

In a statement released on Sunday by Segun Tomori, Special Assistant on Media to the Minister, the Chinese envoy revealed that plans are underway to set up EV production plants and other manufacturing ventures in Nigeria.

Dr. Alake, while welcoming the initiative, reiterated Nigeria’s commitment to attracting serious investors who support local value addition. He urged Chinese investors to move beyond raw mineral extraction and invest in full-cycle production—ranging from mining to processing and manufacturing.

“For years, our minerals have been exported in raw form to drive industrial growth in other countries. That must change,” the minister stated. “With abundant lithium and a large domestic market, Nigeria is strategically positioned for electric vehicle and battery production.”

Ambassador Dunhai expressed strong support for Nigeria’s drive toward local processing, noting that one of President Xi Jinping’s core objectives is to promote African industrialisation.

“Chinese companies are already active in Nigeria’s mining sector, and we plan to expand this collaboration to include electric vehicle manufacturing, in line with President Tinubu’s economic diversification agenda,” he said.

He also assured that the Chinese government encourages its companies operating in Nigeria to comply with local laws, uphold corporate social responsibility, and maintain environmental and safety standards. He affirmed China’s zero tolerance for illegal mining and pledged cooperation with Nigerian authorities to enforce compliance and prosecute offenders.

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