In what could signal a pivotal shift in Nigeria’s automotive and clean energy future, China has expressed readiness to establish electric vehicle (EV) factories and related local manufacturing infrastructure within Nigeria. This development, disclosed by Chinese Ambassador to Nigeria, Yu Dunhai, during a recent bilateral meeting with the Minister of Solid Minerals, Dr. Dele Alake, is more than a diplomatic gesture—it’s a potential game-changer for Nigeria’s industrial and energy diversification agenda.
According to a statement by Segun Tomori, Special Assistant on Media to the Minister, the ambassador emphasized China’s strategic interest in deepening economic and industrial ties with Nigeria—especially in the solid minerals and electric mobility sectors. Dunhai linked the move directly to China’s broader Africa policy, which prioritizes industrialization and sustainable development across the continent.
“Our objective is to partner in value addition to Nigeria’s solid minerals through EV manufacturing,” Dunhai noted, highlighting lithium as a critical mineral of interest.
Nigeria’s Lithium: The New Oil?
The ambassador’s focus on Nigeria’s mineral wealth, particularly lithium—essential for EV batteries—underscores a global race for critical resources where Africa is increasingly centre-stage. Nigeria’s vast lithium deposits, especially in Nasarawa, Kogi, and Ekiti states, have already attracted international attention, but this move marks a strategic shift from raw exportation to domestic industrial utilisation and local manufacturing.
Minister Alake welcomed the partnership, reiterating Nigeria’s firm stance on local value addition and local manufacturing. “We’re prioritising local processing and production. With our large market, EV manufacturing is not just viable—it’s imperative,” Alake stated, echoing President Tinubu’s economic diversification goals under the Renewed Hope Agenda.
China’s Deepening Economic Footprint in Nigeria
This isn’t China’s first major foray into Nigeria’s extractive sector. Chinese firms are already key players in Nigeria’s mining ecosystem—from exploration to mineral processing. However, this new thrust into EV manufacturing elevates the relationship from resource extraction to full-spectrum industrial collaboration.
Yet, this partnership isn’t without its tensions. Alake expressed concern over illegal mining activities tied to some Chinese operators, a sentiment Dunhai addressed firmly. “We advocate zero tolerance for illegal mining. Offenders, including our nationals, must face the law. China supports Nigeria’s regulatory framework and expects our companies to comply fully,” the ambassador stated.
He added that Chinese firms are under strict instructions to implement Corporate Social Responsibility (CSR) initiatives and meet environmental and safety standards—critical to restoring trust and aligning with global ESG (Environmental, Social, and Governance) expectations.
Strategic Implications: More Than Just EVs
Beyond EVs, this development could mark the beginning of a broader industrial renaissance in Nigeria. The EV factory proposal aligns with three of Nigeria’s key priorities: energy transition, industrialisation, and youth employment. It also mirrors global trends where nations are leveraging their natural resource endowments to transition into green-tech economies.
If realised, the EV factories could trigger value-chain investments in battery production, power infrastructure, charging stations, and skills development—fostering a green ecosystem that supports Nigeria’s ambition to reduce its dependence on fossil fuels.
BRANDECONOMY INSIGHT: The Road Ahead
This moment presents both an opportunity and a cautionary tale. Nigeria must avoid the pitfalls of the past—where foreign investments led to resource exploitation without corresponding local benefits. For this partnership to deliver meaningful outcomes, Nigeria must insist on:
- Technology transfer and capacity building
- Local content enforcement
- Transparent joint ventures
- Clear performance benchmarks for foreign investors
China’s EV overture must be treated not just as a diplomatic handshake, but as a springboard for industrial rebirth. With the right policies and safeguards, Nigeria could emerge as West Africa’s hub for electric mobility and clean-tech manufacturing.
As the global economy shifts towards sustainability and decarbonisation, Nigeria—armed with the right minerals and now, potentially, the right partners—must not be left behind.
BRANDECONOMY will continue to monitor developments in Nigeria’s electric vehicle and green energy landscape. For daily business and tech insights, stay plugged in to www.brandeconomy.com.
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