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LSM moves to position Nigeria as global vehicle manufacturing hub – Businessday NG

Last updated: October 14, 2025 6:35 pm
Published: 5 months ago
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Lanre Shittu Motors (LSM) is stepping up efforts to position Nigeria as a global hub for vehicle manufacturing, as it strengthens its partnership with Chinese automaker JAC Motors to advance local assembly and expand the country’s role in regional vehicle production.

Taiwo Shittu, managing director of LSM, said that with a vast population of over 200 million, a youthful workforce, and a strategic geographic location, Nigeria has all the ingredients to become a global automotive hub.

“Nigeria stands on the brink of a major automotive industrial breakthrough, with Lanre Shittu Motors (LSM) leading the charge to position the country as a global hub for vehicle manufacturing,” Shittu stated this during a visit from Oscar Yu, general manager of Chinese automotive giant JAC Motors, to LSM’s flagship assembly plant in Lagos.

“With the unwavering commitment from our partners at JAC and the right government policies, we can transform Lagos into a world-class manufacturing ecosystem.

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“The visit marked a reinvigoration of a decade-long partnership between LSM and JAC, signaling a decisive shift towards deeper industrial integration, increased local value addition, and regional expansion ambitions,” he said.

Yu, impressed by LSM’s assembly capabilities, highlighted how Nigeria’s demographic and economic potential mirrors China’s earlier industrialisation challenges and opportunities.

“China’s journey was not unlike Nigeria’s: initially reliant on used imports, we invested in local production and banned second-hand imports to build capacity. Today, China is a global leader in automotive manufacturing. Nigeria can follow this path with a unified strategy,” he said.

Both executives emphasised the urgent need to curb the flood of unregulated used vehicle imports, which they identified as a major impediment to sustainable growth in Nigeria’s auto sector.

“We are not asking for protectionism, but for fair competition that nurtures Nigerian manufacturing. Industrialisation anywhere in the world has required protecting the productive base until it achieves scale,” Shittu said.

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LSM, positioned as a gateway to the West African market, plans an aggressive scale-up in production, workforce development, and expansion across the region in the next five years, backed by JAC’s technical support, training programs, and financing commitments.

However, Shittu underscored the vital role of government, saying, “the private sector and our international partners are ready. Now Nigeria must be ready with the right infrastructure, regulations, and incentives to unlock this industry’s transformative potential.”

As Nigeria works to shift from vehicle importation to local production, LSM’s renewed drive highlights the country’s growing potential to shape Africa’s automotive landscape and strengthen its position in global manufacturing.

Read more on Businessday NG

This news is powered by Businessday NG Businessday NG

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