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Thursday, June 5, 2025

FG Approves Chinese Electric Vehicle Factories in Nigeria

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The Federal Government has given the green light for Chinese firms to establish electric vehicle (EV) manufacturing plants in Nigeria, as part of a broader effort to strengthen industrial ties and harness the country’s vast solid mineral resources.

This development was revealed during a courtesy visit by the Chinese Ambassador to Nigeria, Yu Dunhai, to the Minister of Solid Minerals Development, Dr. Dele Alake. Ambassador Dunhai emphasized the need for deeper collaboration between both nations, particularly in leveraging Nigeria’s natural resources for industrial development.

A statement by the minister’s media aide, Segun Tomori, confirmed that plans are underway for China to set up EV factories in Nigeria. Ambassador Dunhai highlighted Nigeria’s strategic role in China’s foreign policy and praised the country’s wealth of natural resources.

He referenced the recent meeting between Presidents Bola Tinubu and Xi Jinping, where both leaders agreed to elevate Nigeria-China relations to a comprehensive strategic partnership, creating new opportunities for joint ventures.

In his remarks, Minister Alake stressed Nigeria’s commitment to attracting responsible investors and ensuring value addition within its mining sector. “We are shifting away from exporting raw minerals. With our lithium reserves, we want to see local EV and battery production,” he said.

He encouraged China to support full-cycle investments that encompass mineral extraction, processing, and manufacturing within Nigeria, tapping into the country’s large market and reducing dependence on fossil fuels.

Ambassador Dunhai voiced support for Nigeria’s value-addition policy and affirmed China’s focus on supporting African industrialisation. He noted that Chinese firms are already engaged in various phases of Nigeria’s mining sector and that new EV and manufacturing projects are in the pipeline.

He also reiterated China’s zero-tolerance stance on illegal mining and assured the Nigerian government of its willingness to ensure Chinese firms comply with local laws, environmental standards, and corporate social responsibilities.

In response, Minister Alake acknowledged China’s long-standing partnership with Nigeria but raised concerns over the actions of a few rogue operators. Citing a viral video involving a Chinese national allegedly bribing security agents, he urged the ambassador to help ensure accountability.

“We’ve taken decisive action against illegal operators, including some Chinese nationals. Such incidents are isolated but damaging. We appreciate your cooperation in addressing them,” Alake said.

He also highlighted the role of the Mining Marshals in combating illegal mining, stating that the initiative has increased compliance among both domestic and foreign entities.

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