The Federal Government has made a strong call for Nigerians to shift their patronage from imported used vehicles, popularly known as 'Tokunbo', to brand-new cars produced by local manufacturers. This appeal was made during a strategic visit to the assembly plant of Elizade JAC Autoland Limited in Lagos.
Government Declares Tokunbo Vehicles 'Possible Death Traps'
During the visit on December 22, 2025, the Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, issued a stark warning about the dangers of imported used cars. She described many of these vehicles as damaged units that have been refurbished and polished for sale.
"They're essentially possible death traps if we're not careful. So, we don't want Nigerians buying substandard used goods that other countries have rejected," Dr. Oduwole stated emphatically.
The Minister's position aligns with the federal government's renewed commitment to support domestic auto assembly plants. She praised Elizade JAC's investment, noting that industrialisation remains a top priority for the current administration.
Elizade JAC's 2026 Market Disruption Strategy
In response, Elizade JAC Autoland Limited unveiled an ambitious plan aimed at making brand-new vehicles more accessible to the average Nigerian by 2026. The company's Managing Director, Mr. Demola Ade-Ojo, shared this strategic vision with the minister.
Ade-Ojo explained that the goal is to positively disrupt Nigeria's automotive market, which is currently dominated by used imports with significant reliability and safety concerns. "For 2026, that's exactly what we're going to do. We want to begin to inform Nigerians so that they can understand why it is beneficial to them and to the nation to drive new vehicles rather than used ones," he said.
The company's strategy is multi-faceted and not limited to just selling cars. Key components include:
- Introducing more affordable pricing models.
- Offering comprehensive warranties.
- Providing robust after-sales service and maintenance packages.
Executive Director of Sales, Mr. Biola Odukomaiya, emphasised that the company is packaging lower-priced products with essential maintenance and service support.
Educating the Public on Long-Term Value
Acknowledging that new vehicle sales are currently low compared to tokunbo imports, Ade-Ojo stated that public education will be central to their 2026 campaign. The plan is to highlight the superior long-term value of new vehicles, which includes:
- Lower maintenance costs over time.
- Better fuel efficiency.
- Higher reliability and safety standards.
- Improved resale value.
- The security of comprehensive manufacturer warranties.
"We are looking at how Nigerians can enjoy using and owning new vehicles. It's not just about price but about total value over time," Ade-Ojo elaborated.
Government Tours Expanded Assembly Plant
During the engagement, Dr. Oduwole toured Elizade JAC's expanded Ikotun assembly plant in Lagos. She inspected two operational assembly lines: a single-track line dedicated to passenger vehicles and a dual-track system for industrial vehicles.
The minister noted that this expansion significantly boosts the company's production capacity, positioning it to better meet the growing demand for locally assembled vehicles. She reiterated the government's keenness to support domestic investors who reinvest in expanding their operations and boosting local production.
This move by the Federal Government and Elizade JAC comes alongside other automotive sector policies, including a recently announced mandatory vehicle recycling fee aimed at formalising the country's auto recycling market and curbing the abandonment of disused vehicles.
