Nigerian Firm, Dangote Sinotruk Automobile Announces Plan to Expand to Other Parts of West Africa

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Dangote Sinotruk West Africa Limited, a growing automobile company, has entered yet another phase in its ongoing expansion drive. The Company is increasing its local input into its assembly plant, even as the firm plans to roll out commercial vehicles in the near future.

The expansion drive, which is part of an ongoing backward integration plan, is meant to enhance value addition and local content.

Group General Manager of the Company, Hikmat Thapa made the announcement during a facility tour of the Ikeja plant by the Lagos State Commissioner of Commerce, Industry and Cooperatives, Mrs. Olayinka Oladunjoye.

Having completed phase one of the project, the Company has embarked on the phase two, which has to do with adding of the facility for cab welding, painting and trimming.

Dangote Sinotruk West Africa Limited is a Joint Venture between Dangote Industries Limited and Sinotruck of China with a total investment of $100 million formed for assembling different types of Trucks. Nigeria’s Dangote Industries owing 65% of the firm’s equity with Sinotruk owning the remaining 35%.

The company was established to assemble and produce a wide range of commercial vehicles covering heavy duty trucks, medium trucks, light trucks and semi-trailers.

Thapa stated that Dangote Sinotruck already has an installed capacity to assemble and produce 15 to 16 trucks per shift or 10,000 trucks annually. He noted that the firm will create over 3,000 different jobs across Nigeria.

“In next one year, we have on our agenda to assemble and fabricate Truck Cabins, different type of trailers, Tipper bodies and Tankers,” Thapa explained.

The Automobile company said it hopes to expand sales to neighbouring West African States.

“We are targeting to sell our products to Economic Community of West African States (ECOWAS) countries in addition to fulfilling local market requirement,” the company said in a statement issued this week.

Commissioner Oladunjoye expressed surprise at the level of activity going on at the plant and commended the entrepreneurial spirit of Alhaji Aliko Dangote, the Chairman of the Company.

Dangote Sinotruk West Africa Limited has since announced plans to form a production hub at Lagos for heavy-duty and light duty trucks and commercial vehicles in West Africa.

The Company hopes to improve the country’s local automobile industry and in turn, boost economic development in Nigeria.

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