The Federal Government has granted approval for the establishment of electric vehicle (EV) factories by Chinese investors in Nigeria, in a move aimed at deepening bilateral economic cooperation and adding value to Nigeria’s vast solid mineral resources.
This development was confirmed during a courtesy visit by the Chinese Ambassador to Nigeria, Yu Dunhai, to the Minister of Solid Minerals Development, Dr. Dele Alake, in Abuja. Ambassador Dunhai emphasized the strategic importance of Nigeria in China’s foreign policy and highlighted the recent agreement between Presidents Bola Tinubu and Xi Jinping to strengthen bilateral relations through comprehensive strategic partnerships.
According to a statement by the minister’s media aide, Segun Tomori, China’s plans include setting up electric vehicle production facilities and other manufacturing ventures within Nigeria to leverage the country’s abundant critical minerals like lithium.
Dunhai reaffirmed China’s commitment to supporting Nigeria’s industrialisation through responsible investments in the mining sector. He stated that Chinese companies are already engaged in various stages of the mining value chain—from exploration to processing—and intend to expand into local manufacturing, aligning with President Tinubu’s economic diversification agenda.
Responding, Minister Alake stressed that Nigeria is open for business but is now prioritising local value addition. “For years, our minerals have been exported raw to fuel foreign industrialisation. That must change. With the abundance of lithium, we want to see local manufacturing of electric vehicles and batteries,” Alake said.
He urged Chinese investors to pursue full-cycle operations—from mineral extraction to final product manufacturing—within Nigeria’s borders to stimulate local industry and job creation.
Alake also addressed issues surrounding illegal mining, acknowledging that while most Chinese firms comply with Nigerian laws, some isolated cases have tarnished the country’s image. Referring to a recent viral video involving alleged bribery by a Chinese national, the minister said the government had taken steps to prosecute offenders and requested China’s cooperation in curbing such acts.
Ambassador Dunhai affirmed China’s zero-tolerance stance on illegal mining and stated that the embassy continues to instruct Chinese firms to uphold environmental, safety, and corporate social responsibility standards.
The minister further highlighted the positive impact of the recently launched Mining Marshals, a task force designed to combat illegal mining. He noted that the initiative has improved compliance among operators and sent a strong message about the government’s commitment to reforming the sector.
The agreement to establish electric vehicle factories marks a significant milestone in Nigeria-China relations and is expected to accelerate Nigeria’s transition toward green energy and industrial growth.
