FEMI OWOEYE
Nigeria has been identified as a priority market in the African Association of Automotive Manufacturers’ (AAAM) 2026 strategic vision, as the continental auto body moves to translate policy momentum into concrete industrial outcomes under the African Continental Free Trade Area (AfCFTA).
Presenting the strategy recently via a video message, AAAM Chief Executive Officer, Victoria Backhaus-Jerling, said the new year marks a turning point for Africa’s automotive industry, with major implications for Nigeria’s long-running push to build a sustainable auto manufacturing base.
“As we enter 2026, this is the year where momentum turns into measurable outcomes,” Backhaus-Jerling said, describing the year as one of “progressive development through collaboration.”
A central pillar of AAAM’s 2026 agenda is the operationalisation of automotive trade under AfCFTA, a development expected to directly affect Nigeria, Africa’s largest vehicle market. According to Backhaus-Jerling, African heads of state are expected in February to formally adopt a 40 per cent African originating content threshold for automotive products.
“This is an important milestone that will allow automotive products to begin trading under the AfCFTA framework,” she said, adding that AAAM will work closely with the AfCFTA Secretariat and African governments to guide manufacturers through implementation.
For Nigeria, the move could open export opportunities for locally assembled vehicles and components, provided manufacturers deepen local content and sourcing. Industry analysts say the threshold could also force a rethink of Nigeria’s heavy reliance on imported fully built vehicles.
AAAM also placed Nigeria among countries where it will actively support automotive policy implementation and refinement in 2026. Backhaus-Jerling listed Nigeria alongside Egypt, Ghana, Kenya and others as priority markets for policy engagement.
“Policy certainty really remains the foundation of sustainable industrialisation,” she said, a comment that resonates strongly in Nigeria, where inconsistent application of the National Automotive Industry Development Plan (NAIDP) has weakened investor confidence in recent years.
Beyond policy, AAAM’s strategy places strong emphasis on component manufacturing and localisation, an area Nigeria has struggled to scale. The association aims to secure at least five concrete component manufacturing investments across Africa this year.
“Our objective is to secure at least five concrete component manufacturing investments in Africa, driven by targeted matchmaking, feasibility studies and strategic partnerships,” Backhaus-Jerling said.
Given Nigeria’s large domestic market, regional access and labour pool, industry stakeholders believe the country could attract investments in tyres, batteries, wiring harnesses and other components if the right policy and infrastructure conditions are in place.
Sustainability and new energy technologies also form a key part of the 2026 vision, with relevance for Nigeria’s congested and rapidly urbanising cities. AAAM plans to advance work on remanufacturing, alternative powertrains and micromobility solutions.
“We want to promote greater regional alignment, reflecting the growing importance of micromobility as a key component of affordable, sustainable and accessible mobility,” the AAAM CEO said.
AAAM will further expand its work on automotive data and market intelligence, an area Nigerian policymakers and investors have long identified as a weakness. “Accurate, credible data remains critical for informed policymaking and investment decisions,” Backhaus-Jerling pointed out.
On human capital, Nigeria is expected to benefit from AAAM’s skills development initiatives, including a second cohort of its government executive short course and the launch of an industry executive programme.
Finally, AAAM’s focus on mineral beneficiation and value-chain integration aligns with Nigeria’s ambition to move beyond raw material exports and plug into regional manufacturing value chains.
With AfCFTA rules nearing activation and continental coordination deepening, AAAM’s 2026 vision positions Nigeria not just as a consumer market, but as a potential anchor for Africa’s automotive industrial future.
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