Nigeria’s importation of used vehicles surged dramatically by 91.92 per cent to N249.84 billion in the first quarter of 2026, despite the Federal Government’s stricter regulatory measures aimed at improving vehicle quality.
Data from the National Bureau of Statistics (NBS) showed that imports of used vehicles with diesel or semi-diesel engines above 2,500cc rose sharply from N113.36 billion in Q1 2025. The United States dominated supplies with N217.56 billion, accounting for 87.1 per cent of the total. Other major sources were the United Arab Emirates (N10.32bn), Canada (N8.72bn), Italy (N6.64bn) and China (N6.60bn). Imports from the US alone increased by 132.67 per cent.
The surge occurred months after the introduction of the SON-NADDC Vehicle Conformity Assessment Programme (VehCAP), which mandates pre-shipment certification for all imported vehicles to curb substandard and accident-prone cars. Minister of State for Industry, Trade and Investment, Sen. John Enoh, said the policy integrates safety standards with fiscal and revenue systems, with vehicles failing certification denied entry. The rise in imports reflects strong demand for affordable used cars amid high new vehicle prices and economic pressures on middle and low-income Nigerians.
This trend presents a mixed picture for the economy. While it meets immediate transportation needs and supports related sectors like mechanics and spare parts, it raises concerns about road safety, environmental impact, and potential revenue losses from substandard imports. Economists note that persistent demand signals deeper issues, including naira depreciation and inflationary pressures making newer vehicles unaffordable.
The government is expected to intensify enforcement of VehCAP and explore incentives for local assembly to reduce reliance on imports. The data underscores the challenge of balancing consumer access with quality control in a reforming economy. Stakeholders urge faster implementation of policies that promote locally manufactured vehicles to create jobs and strengthen the automotive industry.
As authorities ramp up crackdowns, the coming quarters will reveal whether regulatory measures can effectively moderate the surge while addressing quality and safety concerns.
