Russia’s Top Automaker Targets Nigerian Market

Russia’s largest automaker, AvtoVAZ, is making a significant move into the Nigerian market as plans for a local assembly plant gain momentum.
AvtoVAZ’s entry into the Nigerian market aims to offer affordable, locally assembled vehicles to compete with imported used cars and other new models.

Nigeria’s automobile market is one of the largest in Africa, driven by a growing population and urbanisation
This development marks a new phase in Nigeria’s efforts to attract foreign investment and boost local manufacturing capacity, as the automaker moves forward with plans to establish an assembly plant in the country.

Techcabal noted that the automaker, AvtoVAZ, best known for its Lada brand of affordable passenger cars, SUVs, and commercial vehicles, was expanding into Nigeria as part of its strategy to diversify operations beyond its domestic market.
The company, majority-owned by the Russian government, plans to establish a spare parts hub and service center in Lagos by the end of 2025, marking a significant foray into West Africa’s largest economy

The automaker also plans to establish a local assembly plant, a development which aligns with Nigeria’s National Automotive Industry Development Plan. This will reduce vehicle import dependency and encourage local production.
By setting up operations in Nigeria, the automaker is positioning itself to meet growing demand while leveraging the country’s vast market potential.

AvtoVAZ has been expanding its footprint in the African market as part of its global strategy of seeking new opportunities in emerging markets amid geopolitical shifts and trade restrictions in its traditional markets. It plans to establish a spare parts hub and service center in Lagos by the end of 2025,
This development follows AvtoVAZ’s ambitious target set in 2022, aiming to export approximately 20,000 cars in 2023, with a strong focus on expanding into African markets.

The company aims to capitalise on Nigeria’s shift towards alternative fuel vehicles by establishing a compressed natural gas (CNG) conversion plant in partnership with a Russian engineering firm.
AvtoVAZ’s representative in Nigeria, Adewole Opeyemi, noted that the plant, when completed, would enable Lada cars to be fitted with gas-powered engines, either at the factory or through local conversions.

“If you bring CNG cars to Nigeria, you don’t pay any duties, which is why we are in talks with the relevant agencies,” Opeyemi said. “Some Lada cars will arrive with factory-fitted gas-powered engines, while others will be converted locally by Russian specialists.”