Nigeria’s importation of passenger motor vehicles recorded a strong rebound in the first nine months of the year, with the total value of imports rising to N1.01 trillion, according to the latest foreign trade data released by the National Bureau of Statistics. The figure represents a notable recovery for the automotive import segment, reflecting renewed activity at the nation’s ports after a period of slowdown driven by foreign exchange instability and high import costs.
Data from the NBS showed that car imports between January and September increased by 12.66 per cent when compared to the N894.09 billion recorded during the same period in the previous year. The improvement suggests a gradual return of confidence among vehicle dealers and importers, who had previously cut back on shipments amid uncertainty in the foreign exchange market and weak consumer purchasing power.
A breakdown of the figures revealed that performance across the quarters was uneven, with the market experiencing early setbacks before a strong rebound later in the year. In the first quarter, the value of imported passenger vehicles stood at N224.58 billion, lower than the N238.73 billion recorded in the corresponding period of the previous year. This decline was largely attributed to cautious business decisions by importers in response to fluctuating exchange rates and rising costs.
The second quarter also saw a dip in import values, with car imports amounting to N254.67 billion, down from N291.93 billion in the same quarter last year. Industry players noted that the sustained pressure on the naira and challenges in accessing foreign exchange continued to limit import volumes during this period, forcing some dealers to delay shipments.
However, the trend changed significantly in the third quarter, when the value of car imports surged to N527.98 billion, compared to N363.42 billion recorded in the third quarter of the previous year. This sharp increase not only erased the earlier declines but also pushed the cumulative nine-month figure above the one-trillion-naira mark. Analysts described the third-quarter performance as a turning point for the sector.
Further analysis of the data showed that Nigeria continued to rely heavily on imported used vehicles, particularly from the United States, which emerged as the country’s largest source of passenger motor vehicles during the period. Imports from the U.S. were valued at about N415.05 billion, accounting for over 40 per cent of the total import value. These vehicles were largely diesel or semi-diesel cars with engine capacities above 2,500cc, reflecting prevailing consumer preferences in the Nigerian market.
Other notable source countries included South Africa, which supplied vehicles valued at N47.27 billion, while the United Arab Emirates also featured prominently, especially in the third quarter, with imports valued at N26.35 billion. The figures highlight Nigeria’s continued dependence on foreign markets to meet domestic vehicle demand, amid limited local manufacturing capacity.
Market analysts linked the rebound in car imports to relative stability in the foreign exchange market during the latter part of the year. The naira recorded modest gains in the third quarter, supported by improved foreign inflows, Central Bank interventions, and rising external reserves. This stability helped importers better plan their transactions and manage costs, leading to increased shipment volumes.
Operators at major vehicle terminals also confirmed increased activity at Nigerian ports, noting a rise in vehicle arrivals in recent months. Customs agents attributed part of the recovery to adjustments in vehicle valuation procedures by the Nigeria Customs Service, which have helped reduce duty burdens on used vehicles and ease the clearance process.
Despite the positive outlook, stakeholders warned that vehicle prices remain high for many Nigerians due to lingering exchange rate risks, import duties, and logistics costs. They stressed that while the rebound in imports signals improving economic conditions, long-term growth in the automotive sector will depend on sustained macroeconomic stability and stronger support for local vehicle assembly and production.
Overall, the rebound in car imports to N1 trillion within nine months underscores the resilience of Nigeria’s automotive market, even as broader economic challenges persist.
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