Nigeria’s National Automotive Industry Development Plan and related measures aim to strengthen local vehicle assembly and gradually reduce heavy dependence on imported used cars, popularly called Tokunbo. For the majority of buyers who still rely on these vehicles, the practical effects appear in higher compliance requirements, shifting costs, and a longer-term signal that the market is being steered toward newer and locally assembled options.One immediate change is the Vehicle Conformity Assessment Programme. Imported vehicles, both new and used, now require pre-shipment certification before they can complete the usual import documentation and clearing process. The goal is to keep out substandard, accident-damaged or otherwise unsafe cars. For Tokunbo buyers this means greater scrutiny of the vehicles that reach the market. Cleaner documentation and better condition standards can improve confidence, yet the extra layer of certification adds cost and complexity for importers. Those costs are often reflected in the final retail price.
Age-related rules continue to shape what is available. Nigeria has applied maximum age limits on used imports for years, with the exact threshold and enforcement intensity varying over time. Vehicles that fall outside the permitted window face rejection or higher barriers. Buyers seeking older, cheaper examples find fewer legal options, which pushes demand toward the newer end of the used spectrum and supports higher prices for compliant Tokunbo cars. The policy logic is that a younger imported fleet should be safer and less polluting, but the trade-off is reduced affordability at the lower end of the market.Fiscal adjustments in 2026 have produced mixed signals on cost. Some levies on used vehicles were reduced in an effort to ease prices, while a green surcharge was introduced on larger-engine imports. The net effect depends on the specific vehicle. A smaller, more efficient Tokunbo model may benefit from the levy cut.
A large-engine SUV or luxury car can face an additional charge that raises its landed cost. Buyers therefore need to calculate the full duty, levy and surcharge package rather than relying on older pricing assumptions.The broader direction of the automotive policy is to favour local assembly through tariff differentials, government procurement preferences and support for local content. Fully built-up imports, including Tokunbo, are intended to become relatively less attractive over time so that demand shifts toward vehicles assembled in Nigeria. In the short to medium term, however, locally assembled cars remain more expensive for most private buyers. High production costs, limited financing and the weak naira keep new and locally built options out of reach for large segments of the population. As a result, Tokunbo vehicles continue to dominate actual transactions even as policy seeks to change the long-term balance.For buyers the practical implications are clear. Expect stricter documentation and condition checks on incoming used cars. Factor certification and any applicable green surcharges into the total cost. Recognise that the supply of older, lower-priced imports is under pressure, so clean, compliant examples command stronger prices. At the same time, the policy environment is still evolving; further changes to duties, age limits or enforcement can alter calculations quickly.
The policy does not eliminate Tokunbo overnight. Affordability realities ensure that used imports will remain central to personal and commercial mobility for years. What it does is raise the quality threshold for those imports, adjust relative costs, and signal that the government’s preferred long-term path is greater local production. Tokunbo buyers who stay informed about certification requirements, current age rules and the full set of import charges are better placed to navigate the market as these measures take fuller effect.