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Home»News»NASS Commends Dangote for Heavy Duty Truck Assembly Investments, Pledges Ongoing Support
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NASS Commends Dangote for Heavy Duty Truck Assembly Investments, Pledges Ongoing Support

Mary Osisanya-BelloBy Mary Osisanya-BelloDecember 19, 202403 Mins Read
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NASS Commends Dangote for Heavy Duty Truck Assembly Investments, Pledges Ongoing Support
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The Senate has lauded Dangote Sinotruk West Africa Limited for its industrial achievements, positioning Nigeria on the global map for commercial vehicle manufacturing. This recognition came during a recent inspection of the company’s Ikeja assembly plant by the Senate Committee on Industry, led by Vice Chairman Senator Shuaibu Lau.

Also part of the visiting team were the Director-General of the National Automotive Design and Development Council (NADDC), Oluwemimo Joseph Osanipin, alongside other NADDC officials and Senators Sadiq Umar, Victor Umeh, Ekong Sampson, and Benson Agadaga.

Following the tour, Senator Lau expressed his satisfaction with the plant’s operations and assured the company of the National Assembly’s commitment to supporting its growth. He emphasized the need for local sourcing of raw materials and promised legislative and policy support to address challenges faced by the company.

“We are ready to push for policies that will help Dangote compete on the global stage,” Lau said, adding, “We will come back early next year to discuss what needs to be done to protect and support your efforts.”

Senator Ekong Sampson praised Dangote’s entrepreneurial spirit but encouraged the company to focus more on worker welfare, particularly in terms of compensation for industrial accidents.

Senator Umeh also commended the company’s achievements but urged Dangote Sinotruk to prioritize local sourcing of raw materials as part of its backward integration strategy.

Osanipin acknowledged the challenges faced by Dangote Sinotruk and other manufacturers, noting that the company is still working towards meeting backward integration targets, despite the hurdles. He expressed optimism that improvements would be seen during the next oversight visit in early 2025.

In response, Dangote Sinotruk’s Group General Manager, Hikmat Bahadur Thapa, assured the committee that the company is committed to improving in all areas, including backward integration and worker welfare. He also appealed for government support, citing challenges such as high operational costs and labor expenses.

“We are surviving with support from Dangote’s other businesses, but we urgently need help to sustain our operations,” said McDappa Ngo, Senior General Manager – HAM, highlighting the importance of continued assistance.

The Senate committee members toured various sections of the plant, including vehicle manufacturing processes such as cabin trimming, chassis assembly, painting, and sales. Since its operations began in 2017, Dangote Sinotruk commenced completely knocked down (CKD) manufacturing in June 2024 after the formal commissioning led by Senate President Godswill Akpabio.

The joint venture, with Dangote Group holding a 65% stake, Sinotruk China 30%, and Andaz 5%, produces heavy-duty, medium, and light trucks aimed at bolstering Nigeria’s industrial capacity.

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Mary Osisanya-Bello
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I am an accountant by profession and a business writer. I'm passionate about tech and how it is a big enabler of business growth.

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