The National Assembly has vowed to end Nigeria’s heavy dependence on imported vehicles and accelerate legislation to revive the country’s automotive industry.

The Chairman of the Senate Committee on Industry, Senator Francis Adenigba Fadahunsi, made the pledge during an oversight visit to PAN Nigeria Limited in Kaduna, as part of efforts to assess the state of local vehicle manufacturing.

Fadahunsi said the National Assembly will fast-track the passage of the proposed National Automotive Industry Bill 2026, which will provide a stronger legal framework for protecting local investments, enforcing local content and addressing challenges confronting assembly and manufacturing plants.

He said: “We pledge our cooperation with you and assure you that we will do everything within our powers to accelerate legislation on the Bill.”

The lawmaker lamented the huge drain on Nigeria’s foreign reserves caused by vehicle importation, noting that Nigeria spent N6.54 trillion on transport equipment and auto parts between 2023 and 2025, with over N4.3 trillion on vehicle imports alone, according to data from the National Bureau of Statistics.

Fadahunsi appealed to President Bola Ahmed Tinubu to give greater attention to the automotive sector, saying stronger government patronage would stimulate production, create jobs and conserve foreign exchange. He also urged Nigerians to change their preference for foreign used cars, arguing that locally manufactured vehicles offer more durable and cost-effective alternatives.

Earlier, the Managing Director of PAN Nigeria Limited, Taiwo Oluleye, called on the National Assembly to urgently enact the legislation. She said the industry needs consistent policies and adequate protection to attract investment and compete favourably with imported vehicles.

Oluleye said PAN, established in 1972 and which commenced operations in 1975, has an installed capacity of 90,000 vehicles annually, but production has been hampered by rising operational costs, forex challenges, high interest rates and policy inconsistencies.

She disclosed that the company has transformed from a single-brand assembly plant into a multi-brand facility producing SUVs, sedans, buses and pick-ups, including buses converted to ambulances, and has trained about 12,000 artisans including mechanics and forklift operators.

According to her, Nigeria could become a major vehicle-exporting hub in Africa under the African Continental Free Trade Area, AfCFTA, if it achieves the required 40 per cent local content and provides an enabling environment for manufacturers.

The Director-General of the National Automotive Design and Development Council, NADDC, Oluwemimo Osanipin, said the Council is working to address major challenges in the sector, including legislation, patronage and access to credit, and that the new Bill will transition the Council into a Commission with stronger regulatory powers to safeguard incentives under the Nigerian Automotive Industry Development Plan.