- The Renault-Nissan Alliance and Stallion Group sign Memorandum of Understanding for vehicle assembly in Lagos
- Nissan to become the first major global auto manufacturer to assemble vehicles in Nigeria following legislation change
- Potential to develop plant into a major manufacturing hub for Nissan in Africa
LAGOS, Nigeria (9 October 2013) - Today Nissan and West African conglomerate Stallion Group announced their intention to jointly launch vehicle assembly in Nigeria.
The announcement is in expectation of final approval by the Federal Government of the new Automobile Industrial Policy, designed to encourage development of the auto industry in Nigeria, and would see Nissan become the first major international manufacturer to launch vehicle assembly in the country following the new legislation.
The parties have signed a Memorandum of Understanding which will result in Stallion – already Nissan's exclusive distributor in Nigeria - increasing capacity at its existing plant, VON Automobile Ltd in Lagos.
Stallion currently produces commercial vehicles at the facility. The plant's annual capacity will be expanded to 45,000 units to assemble a range of cars, light duty trucks, pickups and vans. Full details of the product lineup will be confirmed at a later date, however it is anticipated the first product to be introduced will be the iconic Nissan Patrol SUV in spring 2014.
Capacity at the plant will also be opened to Nissan's Alliance partner Renault, to be utilized according to future business needs.
Nissan President and CEO, Carlos Ghosn, said: “We welcome the proactive measures being taken by the Government of Nigeria to encourage inward investment and job creation driven by local auto manufacturing. Together with our local partner, Nissan is preparing to make Nigeria a significant manufacturing hub in Africa. As the first-mover in Nigeria, we are positioned for the long-term growth of this market and across the broader continent."
Sunil Vaswani, Chairman of Stallion Group said “The new automotive policy spearheaded by His Excellency The President and Commander–in-Chief of Armed Forces of the Federal Republic of Nigeria, Dr Goodluck Jonathan, and the Honorable Minister Olusegun Aganga is a laudable Government initiative aimed at making Nigeria the regional leader in the industry. Our group is committed to invest in a fully integrated automobile industry that fosters the creation of several ancillary industries with associated socio-economic benefits." He added: “We value our partnership with Renault and Nissan immensely and are aiming to deliver their world class expertise to Nigeria."
Nissan in Africa:
Nissan is positioned for significant future growth in Africa as part of its mid-term business strategy. By FY 2016 the company is aiming to double annual sales on the continent, up from 110,000 units at the end of FY 2012. To help achieve this, a number of new models have already been confirmed including an all-new pickup truck which will be produced locally by Nissan at its plant in Rosslyn, Pretoria and the launch of the Datsun brand in South Africa before the end of FY 2014.
About The Renault-Nissan Alliance:
The Renault-Nissan Alliance is a strategic partnership between Paris-based Renault and Yokohama, Japan-based Nissan, which together sell one in 10 cars worldwide. The companies, which have been strategic partners since 1999, sold 8.1 million cars in nearly 200 countries in 2012. In addition to AVTOVAZ, the Alliance operates strategic collaborations with automakers including Germany's Daimler, China's Dong Feng, and India's Ashok Leyland.
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