In a move poised to significantly reshape Nigeria’s industrial and energy landscape, the Federal Government has approved the establishment of electric vehicle (EV) manufacturing plants by Chinese investors. This initiative is expected to boost local value addition, create thousands of jobs, and position Nigeria as a major player in Africa’s transition to green mobility.
The Chinese Ambassador to Nigeria, Yu Dunhai, made the announcement during a courtesy visit to the Minister of Solid Minerals Development, Dr. Dele Alake, in Abuja. The visit was part of ongoing efforts to deepen the strategic partnership between both nations in the areas of mining, technology transfer, and industrialisation.
According to Ambassador Dunhai, the high-level meeting between President Bola Ahmed Tinubu and President Xi Jinping during Tinubu’s recent visit to China has paved the way for increased economic collaboration. The bilateral talks culminated in a renewed commitment to advance ties from traditional diplomacy to a comprehensive strategic partnership, with particular focus on industrialisation and clean energy development.
“Nigeria is a country blessed with abundant natural resources and a strong market potential. China regards Nigeria as a key partner in Africa and is ready to support its industrial agenda through full-cycle investments,” the ambassador said.
He emphasized that plans are underway for Chinese companies to establish EV factories and other manufacturing ventures, leveraging Nigeria’s solid minerals such as lithium and cobalt — crucial raw materials for battery production.
Responding, Minister Alake lauded the initiative but stressed the government’s new industrial policy, which insists on local value addition. He noted that the days of exporting raw minerals with little benefit to the domestic economy were over.
“For years, our minerals have been exported in raw form to fuel industrialisation abroad. That trend must stop. We are now prioritising local processing and manufacturing. Nigeria is open to investors, but only those ready to commit to end-to-end development within our borders,” Alake stated.
He highlighted the government’s drive to leverage lithium reserves for electric vehicle production, positioning Nigeria as a future hub for EV manufacturing in Africa.
Ambassador Dunhai also underscored that the Chinese government has consistently directed its companies in Nigeria to comply with local regulations, implement corporate social responsibility programmes, and respect environmental standards.
“We have zero tolerance for illegal mining. Any Chinese company found violating Nigerian laws will be held accountable. We are ready to work with Nigerian authorities to investigate and prosecute offenders,” he said.
His comments follow the circulation of a viral video in which a Chinese national was allegedly seen bribing security officials over illegal mining activities. Minister Alake acknowledged that most Chinese firms operate within the law, but urged the embassy to help clamp down on rogue actors.
“We have taken decisive action against illegal operators, including some Chinese nationals. Isolated incidents like these damage China’s image. We welcome your support in ensuring that culprits are brought to book,” Alake said.
The minister also gave updates on the government’s enforcement efforts through the recently established Mining Marshals, a specialized task force targeting illegal mining across the country. He noted that the initiative has helped restore order, raise awareness, and improve compliance in the extractive industry.
“Our mining marshals have made a clear statement: Nigeria will no longer tolerate exploitation. We are determined to clean up the sector and create an environment that rewards lawful, transparent investment,” he added.
Industry experts say the EV factory approvals are expected to attract billions of naira in foreign direct investment, develop industrial clusters, and create thousands of skilled jobs. Local manufacturing of EVs and batteries could also reduce Nigeria’s dependence on imported fuel, in line with the country’s energy transition goals.
“Having EV factories in Nigeria will not only bring technological know-how but also foster supply chain development for batteries, solar panels, and components needed for a green economy,” said Dr. Ibrahim Musa, an energy analyst at the University of Abuja.
The EV collaboration between Nigeria and China represents a bold step in diversifying Nigeria’s economy, harnessing mineral wealth, and championing clean energy solutions. With strategic planning and effective enforcement, stakeholders believe it could usher in a new era of industrial resurgence for the country.