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China-Nigeria EV Alliance Sparks Major Auto Manufacturing Drive In Lagos, Abuja

newspegonline24 by newspegonline24
May 11, 2026
in News
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China-Nigeria EV Alliance Sparks Major Auto Manufacturing Drive In Lagos, Abuja
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By Nkechi Eze

Nigeria’s push for cleaner transportation and industrial expansion has received a major boost following a landmark partnership between Chinese automotive engineering firm Launch Design Shanghai and Hybrid Motors Nigeria to establish electric vehicle manufacturing plants in Lagos and Abuja.

The strategic alliance, sealed during a signing ceremony in Shanghai on May 8, 2026, is expected to accelerate local electric vehicle production, deepen technology transfer, create jobs, and strengthen Nigeria’s emerging automotive manufacturing ecosystem.

At the centre of the collaboration is “Acely,” Hybrid Motors Nigeria’s indigenous electric vehicle brand tailored specifically for Nigerian roads, climate conditions, and consumer needs.

Under the agreement, the two companies will develop manufacturing and assembly facilities in Lagos and Abuja aimed at scaling production of the Acely brand while positioning Nigeria as a key player in Africa’s transition to sustainable mobility.

Executives of both companies described the partnership as a transformative intervention capable of redefining Nigeria’s automotive sector through innovation, local content development, and advanced engineering solutions.

Chief Executive Officer of Hybrid Motors Nigeria, Mr. Jubril Arogundade, said the initiative represents a bold step toward building a globally competitive automotive industry rooted in Nigeria.

“This partnership is more than a business agreement; it is a commitment to building Nigeria’s automotive future,” Arogundade stated.

“With Acely, we are proving that world-class vehicles can be conceived, designed, and assembled right here in Nigeria, by Nigerians, for Nigerians. Our collaboration with Launch Design brings world-class engineering expertise directly into our operations, ensuring that Acely meets the highest international standards while remaining authentically Nigerian.”

Also speaking at the event, Chief Executive Officer of Launch Design Shanghai, Mr. Wang Xun, expressed confidence in the long-term potential of the partnership and Nigeria’s automotive market.

“Our turnkey engineering capabilities, combined with Mr. Arogundade’s leadership and Hybrid Motors’ deep understanding of the Nigerian market, create a powerful formula for success. Together, we are not just building vehicles, we are building an industry,” Wang said.

As part of the arrangement, Launch Design Shanghai will provide end-to-end engineering support covering vehicle architecture, production process engineering, design optimization, and quality assurance systems.

The companies disclosed that the two planned facilities would eventually deliver a combined annual production capacity of 70,000 vehicles.

The Lagos plant, strategically located along the Lekki-Epe corridor, will function as the primary production and assembly hub with an estimated annual output of 50,000 units.

Its proximity to the Lekki Deep Sea Port is expected to strengthen export operations into Southern Nigeria and regional West African markets including Ghana, Benin, Togo, and Côte d’Ivoire.

The Abuja facility, to be situated within the Free Zone Business Area of Centenary Economic City, will serve as a secondary manufacturing and technology hub with a projected annual production capacity of 20,000 units.

The companies said the Abuja plant would support distribution across Northern Nigeria and the Sahel region while leveraging available tax incentives and access to strategic trade corridors.

According to the firms, operating dual manufacturing hubs would significantly reduce logistics costs, improve production efficiency, and generate employment opportunities across different parts of the country.

The partnership will also prioritize local assembly operations, development of Nigerian-tailored vehicle designs, and the deployment of advanced electric and hybrid propulsion technologies.

Industry observers believe the initiative could significantly reduce Nigeria’s dependence on imported vehicles while stimulating local supply chains, industrial diversification, and technical capacity development.

The project also aligns with Nigeria’s National Automotive Industry Development Plan and broader efforts to promote environmentally sustainable transportation systems.

Arogundade described the agreement as a defining milestone not only for the two companies but for the future of mobility in Nigeria and across Africa.

“With facilities in Lagos and Abuja serving distinct but complementary markets across Nigeria and the wider region, we are laying the foundation for a new era of mobility one that is locally rooted, globally competitive, and sustainably driven,” he said.

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