China partners with Nigeria to set up a 70,000 unit Electric Vehicle (EV) Manufacturing Plant in Lagos and Abuja

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Chinese Giant EV car manufacturers Launch Design Shanghai and Nigeria’s Automotive heavy weight Hybrid Motors have signed a strategic partnership to establish Electric Vehicle (EV) manufacturing plants in Lagos and Abuja.

‎The move is aimed at strengthening Nigeria’s automotive industry and positioning the country as a regional vehicle export hub.

‎The agreement, signed in Shanghai, China, would support the production of “Acely,” Hybrid Motors Nigeria’s indigenous automobile brand designed specifically for Nigerian roads and driving conditions.

‎‎The collaboration combines Hybrid Motors Nigeria’s local market knowledge with Launch Design Shanghai’s automotive engineering expertise, as the two companies described the initiative as a significant milestone for Nigeria’s industrial and clean mobility development.

‎‎Speaking at the signing ceremony, the Chief Executive Officer of Hybrid Motors Nigeria, Jubril Arogundade, said the project demonstrated the company’s commitment to building a sustainable automotive ecosystem in Nigeria.

‎According to him, the partnership was beyond commercial interests, representing a long-term investment in the future of Nigeria’s automotive sector.

‎“With Acely, we are showing that globally competitive vehicles can be conceived, designed and assembled in Nigeria by Nigerians for Nigerians,” Arogundade said.

‎He added that the collaboration with Launch Design would bring international engineering standards to the company’s operations while maintaining the Acely brand’s local identity.

‎On his part, the Chief Executive Officer of Launch Design, Wang Xun, described the partnership as an opportunity to contribute to the development of Africa’s automotive manufacturing capacity.

‎‎“Launch Design is proud to partner with Hybrid Motors Nigeria in this transformative venture.

‎‎“Our turnkey engineering capabilities, combined with Hybrid Motors’ understanding of the Nigerian market, provide a strong foundation for success. Beyond vehicle production, this partnership is about building an industry,” he said.

‎Under the agreement, both companies plan to establish manufacturing operations in Lagos and Abuja, with a projected combined annual production capacity of 70,000 vehicles upon full operation.

‎The Lagos facility, to be located along the Lekki-Epe corridor, would serve as the primary production and assembly centre with an estimated annual capacity of 50,000 units.

Its proximity to the Lekki Deep Sea Port is expected to support export activities to West African countries, including Ghana, Benin Republic, Togo and Côte d’Ivoire.

‎‎The companies said the Lagos plant would leverage the state’s commercial and maritime infrastructure to enhance regional distribution and international trade logistics.

‎The Abuja facility, expected to be situated within the Free Zone Business Area of Centenary Economic City, would function as a secondary manufacturing and technology hub with an annual production target of 20,000 units.

‎According to the firms, the Abuja plant would serve Northern Nigeria and neighbouring Sahel markets while benefiting from free-zone incentives and the Federal Capital Territory’s strategic location.

‎The companies noted that operating two manufacturing facilities would help reduce logistics costs, improve operational efficiency and create jobs across different parts of the country.

Who is Launch Design Shanghai China?

Launch Design (officially Shanghai Launch Automotive Technology Co., Ltd.) is one of China’s largest independent automotive research and development institutions, specializing in “turnkey” vehicle engineering and design. Founded in 2000 and headquartered in Shanghai, the company offers end-to-end design and manufacturing support.

A Brief Profile of Hybrid Motors Nigeria

Hybrid Motors Nigeria is a newly established automotive firm making significant waves by spearheading local alternative-energy vehicle manufacturing. Led by CEO Jubril Arogundade. The automotive company was officially announced and established by its founder and CEO, Jubril Arogundade, on February 28, 2026, with the goal of scaling up alternative energy and clean mobility vehicles across Nigeria

‎Why this Matters for Nigeria?

‎‎Nigeria is currently grappling with problems that comes with an automotive industry heavily dependent on Fuel (PMS) and foreign Imported already used cars.

‎‎PMS fuel run cars are known to be a good factor of Green House Gas effects as they emit a lot of harmful Carbon Emissions into the atmosphere that ultimately destroys the Ozone layer.

‎Furthermore, Nigeria in years past, has highly favored the importation of already used cars from foreign countries. This act has turned Nigeria into a dumping ground where advanced countries dump their cars whose active life span has been severely depleted leading to user challenges and ceaseless Automotive repairs.

‎‎Last week, the Federal Government announced the implementation of Mandatory Certification on all imported cars. This is a move to end the evil importation of Cars and push Local Production of Electric Vehicles in order to meet up to the Sustainable Development Goals on Transportation SDG 11 which hampers of cleaner, safer and more efficient transportation for all.

‎‎This shows that Nigeria too is finally gaining Wisdom by ending this evil importation of already used Cars which are sold to Nigerian users at very huge costs with very short active use life-spans.

‎‎The 70,000 annual unit Electric Car Manufacturing plant by Launch Design and Hybrid Motors is a game changer for Nigeria by providing a means for the Manufacturing and sales of home made electric vehicles to Nigerians.

‎Potential Challenges that May Arise Electric Vehicle Manufacturing in Nigeria

‎‎-High Tax: Given the Federal Government’s daily rollout of new taxes on companies, businesses and consumers, Electric Vehicle Manufacturing may not be left out of the mix. These huge operational taxes could lead to increased costs of production and ultimately result in higher EV car sales.

‎‎-Inadequate Power Supply: Car Manufacturing requires constant stable power supply for effective and efficient EV manufacturing. Given Nigeria’s history of erratic power supply, EV manufacturers might be forced to look for alternative Power Supply sources which comes with increased production costs.

‎‎-Affordability of Electric Vehicles by final consumers: High taxes in terms of EV manufacturing, importation and operations means that final EV products will come at a high cost to final users. Presently, lowest cost of a newly produced Electric Vehicle is N10 Million Naira. This means that many Nigerians will struggle to afford brand New Electric Vehicle’s despite the numerous benefits Electric Vehicles has over PMS fuel run cars.

‎‎-Inadequate Electric Vehicle Car Charging centers: In Nigeria today, electric vehicles are gradually rolling out in small numbers across different states in Nigeria. However, there is a low amount of Electric Vehicle Car charging centers required for commercial Electric Vehicle charging. While a fully charged electric vehicle can travel for a distance of up to 300KM on full charge, concerns still exists regarding Electric Vehicle use in areas without EV Car Charging centers.






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