Used Vehicle Import Surges 104% to N633bn as US Dominates Supply
Importation of foreign used vehicles into Nigeria rose by 104 per cent in the first half of 2026, data from the National Bureau of Statistics show.
According to the NBS foreign trade statistics, Nigeria imported used vehicles worth N633.21bn between January and June 2026, compared to N263.46bn in the same period of 2025.
On a half-on-half basis, import value rose 31 per cent from N484.61bn in H2 2025. Total import for full-year 2025 stood at N748.07bn.
A quarterly breakdown shows N284.0bn was imported in Q1 2026, rising to N349.14bn in Q2, a 23 per cent increase.
By origin, the United States dominated supply with N491.52bn worth of vehicles classified as ‘Used vehicles, with diesel or semi-diesel engine, cylinder capacity >2500cc’. It was followed by Canada N18.2bn, UAE N17bn, China N16.14bn, Belgium N7bn and Italy N6.64bn.
The surge comes amid concerns over dumping of used vehicles despite the presence of dozens of local assemblers. However, affordability constraints have kept the used segment dominant.
Vehicle imports had dropped in 2024 due to high inflation and naira depreciation. NBS data show passenger car imports fell 14.3 per cent to N1.26tn in 2024 from N1.47tn in 2023.
Import had more than doubled in 2023 from 2022. In 2020, imports stood at N546.79bn, rising to N695.4bn in 2021, then easing to N655.69bn in 2022 before surging to N1.47tn in 2023. It fell to N1.26tn in 2024 and further to N748.07bn in 2025.
The renewed surge may be linked to the reduction in import levies and early 2027 election spending.
Under the 2026 Fiscal Policy Measures effective July 1, 2026, the Federal Government cut import levy on new vehicles from 20% to 10% and on used vehicles from 15% to 5%. The government said the measure is to ease costs while introducing a Green Tax Surcharge to support environmental sustainability.
President of the National Association of Motor Dealers of Nigeria and CEO of Mitchel Automobile Limited, Prince Ajibola, said the cut is positive but its impact depends on the Green Tax rate.
“We don’t know what the surcharge is going to be. If they reduce the levy and introduce another surcharge, we need to know how much it is before we can say there will be any considerable change,” he said.
“If the surcharge is far less than what has been reduced, then it’s a plus. But if it is the same or higher, then it has not really changed anything,” he added.