Economy

Nigeria to Host Chinese Electric Vehicle Plants Under New Strategic Minerals Partnership

The Federal Government is set to deepen bilateral cooperation with China through the development of electric vehicle (EV) manufacturing plants in Nigeria.

This follows a courtesy visit by the Chinese Ambassador to Nigeria, Yu Dunhai, to the Minister of Solid Minerals Development, Dr. Dele Alake, where both parties reiterated commitments to strengthen industrial collaboration under a broader strategic minerals framework.

According to a statement issued by Segun Tomori, Media Assistant to the Minister, the Chinese government has outlined preliminary plans to establish electric vehicle production facilities in Nigeria. The initiative aligns with Beijing’s broader strategy of promoting African industrialisation and economic partnerships with resource-rich nations.

Ambassador Dunhai highlighted Nigeria’s potential as a key investment hub in West Africa, citing the country’s vast reserves of critical minerals and a large domestic market.

He referenced recent talks between President Xi Jinping and President Bola Ahmed Tinubu, which elevated bilateral relations to a comprehensive strategic partnership, now being translated into actionable investments.

The proposed electric vehicle plants are expected to be integrated with Nigeria’s domestic mining sector to enable full-cycle mineral processing and manufacturing. This includes the extraction and refinement of lithium for use in EV batteries.

Minister Alake reaffirmed Nigeria’s policy shift away from raw mineral exportation and toward in-country value addition.

He called on Chinese firms operating in Nigeria to align with this mandate by investing in downstream processing and manufacturing infrastructure.

“Nigeria is now focused on attracting serious investors that will support our industrial development through full-cycle engagement — from resource extraction to local manufacturing,” Alake said. “With our abundant lithium, we are prioritising initiatives that support the local production of batteries and electric vehicles.”

The minister also addressed regulatory compliance, noting the need for responsible corporate conduct. He acknowledged China’s efforts to promote ethical investment but cautioned against the negative impact of illegal operations by a minority of firms. He called for continued cooperation in enforcing standards and prosecuting violators.

Ambassador Dunhai echoed this position, stating that the Chinese government maintains a zero-tolerance policy on illegal mining and encourages its companies to respect Nigerian laws and environmental regulations.

He added that plans are underway to expand manufacturing ventures in Nigeria, with a focus on sustainable development and job creation.

Alake further noted that the government’s deployment of Mining Marshals across key regions is already yielding results in curbing illegal mining.

He said the enforcement mechanism has increased awareness and compliance among both local and foreign stakeholders in the sector.

The evolving partnership is expected to stimulate Nigeria’s push toward clean energy adoption, enhance local capacity in technology-driven sectors, and contribute to broader economic diversification efforts under the Renewed Hope Agenda.

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