AvtoVAZ, Russia’s largest automaker, is making a major push into Nigeria by setting up a spare parts hub and service center at the Lekki Free Trade Zone in Lagos before the end of 2025. The company is also in talks with the Nigerian government to establish a local assembly plant, aiming to tap into the country’s growing vehicle demand.
As part of its strategy, AvtoVAZ plans to introduce compressed natural gas (CNG) vehicles in Nigeria, leveraging tax exemptions for CNG-powered cars. The company will collaborate with a Russian engineering firm to locally convert Lada cars to gas-powered engines.
With competition heating up in Russia from Chinese automakers like Great Wall Motors and a potential return of Hyundai and Renault post-ceasefire, AvtoVAZ sees Nigeria as a key market in its African expansion. However, it will face challenges competing with dominant brands like Toyota, Honda, and Hyundai, as well as Nigeria’s preference for used vehicles.
Read the full news here: TechCabal