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Volkswagen Group Plans to Reestablish Auto Manufacturing in Nigeria

Volkswagen Group, a German frontline auto maker has expressed a strong desire to, in partnership with the federal government, bring back a robust auto manufacturing presence in Nigeria.

Delegates from Volkswagen Group Africa, led by Michael Petrie, Head of Strategic Plant Development, and Chrystal Christian, Head of Sub-Saharan Africa Operations made this known recently during a meeting with top Federal Government officials at the Bank of Industry office in Abuja.

Delivering the automaker’s message at the meeting, leader of the Volkswagen delegation, Michael Petrie, Head of Strategic Plant Development, cited the historical legacy of the brand in the country. He emphasized that, while short-term partnerships were a starting point, the ultimate goal was to build an automotive ecosystem in Nigeria similar to successful models in countries like Malaysia, India, and North Africa.

He stated: “Volkswagen Group Africa’s plans include building a strong manufacturing footprint on the continent, with Nigeria as a key starting point for further expansion. Petrie expressed optimism about the future, noting that the potential in Nigeria is enormous, and Volkswagen is committed to identifying suitable partners and moving forward with the project as soon as possible.”

The meeting was attended by the Honorable Minister of State for Industry, Senator John Owan, NADDC Director General, Oluwemimo Joseph Osanipin, alongside delegates from Volkswagen Group Africa, led by Michael Petrie, Head of Strategic Plant Development, and Chrystal Christian, Head of Sub-Saharan Africa Operations.

Speaking at the meeting, Osanipin, highlighted Volkswagen as one of the world’s leading Original Equipment Manufacturers (OEMs) and a key player in the establishment of the African Association of Automotive Manufacturers. He noted that discussions with Volkswagen have been ongoing for some time regarding the possibility of establishing operations in Nigeria to assemble and produce Volkswagen vehicles locally.

Osanipin emphasized that, the company has expressed interest in expanding to Nigeria.

“This visit,” he pointed out, “is a continuation of those discussions, with Volkswagen representatives seeking to explore opportunities for local partnerships.”

The DG indicated that the next steps depend on the outcome of these discussions, particularly in securing the right local partners.

“Once the feasibility of these partnerships is assessed, further plans will be developed,” he added.

Senator Owan welcomed the Volkswagen team to Nigeria, highlighting the government’s commitment to developing the country’s automotive industry. He stressed that Nigeria’s strategic position within Africa, coupled with the saturation of markets in South Africa and Morocco, made it an ideal location for the automotive industry to thrive.

The Hon. Minister also pointed to the importance of having the right policy frameworks and local partnerships to facilitate the establishment of manufacturing operations. He expressed confidence that the government under President Bola Ahmed Tinubu is already on the right path in creating favorable conditions for such investments.

The primary focus of Volkswagen’s visit was to explore its potential to expand its operations in Nigeria, both in the short and long term. Discussions centered on the opportunities for Volkswagen to set up assembly and production facilities within Nigeria, a significant step towards making the country a hub for automotive manufacturing in Africa.

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