Posted by: S M J | September 27, 2007

Nigeria’s Automotive Industry in Decline

Various news sources have revealed that Nigerian automotive industry is in decline the same way as its textile industry.

Like the moribund textile industry or the already comatose solid minerals and mining industry, the nation’s automobile industry is virtually on the edge of a precipice, and waiting for its eventual fall.

Apart from the Peugeot Automobile Nigeria (PAN) Limited (and perhaps the Anambra Motor Manufacturing Company Limited ANAMMCO), all other hitherto known indigenous automobile manufacturing outfits such as Steyr and Volkswagen Nigeria Limited have long died. No one even bothers to talk about them as they now belong to the history books.

Several causes have been identified by experts, the leading one being the inadequate patronage of locally-assembled automobiles; he cited most Nigerians’ inability to afford them as a reason.

Other problems mentioned by experts include poor capital base, high cost of production, poor performance of local content suppliers, poor operating environment, as well as obsolete technology.

To read more on this subject, go here: http://allafrica.com/stories/200709240646.html.

For latest and comprehensive research reports on automotive or textile industry and market, visit Parfields Research at www.marketsandreports.com. Attractive discounts are available !

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Responses

  1. The Automobile Industry is composed of various sections including, design, manufacture, assembly, sales and maintenance. While I agree that the suimmation of te NIgerian Auto Industry is in a crisis phase, I beleive that all is not all together lost. Maintenance for sure is one thing the Auto Industry in Niigeria will never loose. Maybe it’s time for certain Auto Makers to reconsider the peculiarity o the Nigerian market and give room to a whole new way of doing business in Nigeria. The key, in my opinion lies in the creation of standardised Automobile Maintanance and Service Centres -we will forever need those as long as we drive our cars!


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