IIARD International Institute of Academic Research and Development

JOURNAL OF POLITICAL SCIENCE AND LEADERSHIP RESEARCH (JPSLR )

E-ISSN 2504-883X
P-ISSN 2695 2432
VOL. 11 NO. 3 2025
DOI: 10.56201/jpslr.vol.11.no3.2025.pg66.78

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Industrial Development and the Implementation of Local Content Policy in Nigerias Automotive Sector

NWANGWU, Julius Obeta, Prof Uche OJUKWU

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Abstract

This study examines industrial development and the implementation of local content policy in Nigeria’s automotive sector from 2014 to 2022. The sector holds significant potential as a key driver of the national economy. However, concerns persist regarding the extent to which primary production processes in the Nigerian automotive industry align with the government’s local content policy to facilitate the production of truly made-in-Nigeria vehicles. The study aimed to assess the incorporation of local content policy in Nigeria’s automotive sector between 2014 and 2022. To achieve this objective, the following hypothesis was tested: Local content policy has not been effectively integrated into Nigeria’s automotive sector. Grounded in Schumacher’s Economic Localization Theory (1973), this research adopted a mixed-method approach, utilizing interviews and documentary analysis for data collection. A qualitative descriptive method, based on content analysis, was employed for data interpretation, while thematic analysis was used to categorize dominant themes from interview responses. The findings reveal that the necessary enabling environment has not been fully established, and a lack of legislative backing for the policy framework hinders effective implementation. The study concludes by emphasizing the need for legislation to strengthen compliance with local content policy and promote a more harmonized approach to its execution.

keywords:

Automotive Sector, Industrial Development Policies, Local Content Policy, Technology

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