Transport equipment, machinery imports record second-lowest value in 4yrs
Nigeria’s import of machinery and transport equipment has recorded its second lowest value in five years with N1.47 trillion in the second quarter of 2022, according to data on Foreign Trade released by the National Bureau of Statistics.
The value of imported machinery and transport equipment for 2021, 2020 and 2019, stood at N2.49 trillion, N1.6 trillion and N1.67 trillion respectively, with 2021, having the highest value of imported transport equipment within the period.
In the second quarter of 2022, Nigeria’s total trade stood at N12.84 trillion, this was lower than the value recorded in the first quarter of 2022, N13.01 billion but was higher than the value recorded in the corresponding period of 2021 which stood at N9.712 billion.
The countries from which Nigeria imported machinery and transportation equipment included the United States, Italy, China, Sweden, and Hong Kong.
Nigeria spent a total of N190.2 billion on importing motor vehicles, this represents a 12.2 percent increase compared to N169.5 billion recorded in 2021, despite an increase in import duty to 35 percent.
“The nation has adopted all tariff lines with few adjustments in the extant CET. As allowed for in Annex II of the 2022-2026 CET edition, and in line with the Finance Act and the National Automotive policy, NCS has retained a duty rate of 20percent for used vehicles as was transmitted by ECOWAS with a NAC levy of 15 percent. New vehicles will also pay a duty of 20 percent with a NAC levy of 20 percent as directed in Federal Ministry of Finance letter ref. no. HMF BNP/NCS/CET/4/2022 of 7th April 2022,” read an earlier statement by the Nigerian Customs Service.
Nigeria imported used vehicles, otherwise known as “Tokunbo” worth N96.8 billion in the second quarter of the year, being the sixth highest imported item by value.
In the second quarter of 2022, Used Vehicles, with diesel or semidiesel engines, of cylinder capacity >2500cc’ were imported from the United States of America and Italy valued at N79.66billion, and N4.33billion respectively.
There were also imported motorcycles and cycles, imported as Completely Knocked Down (CKD) units by established manufacturers with capacities of >50cc<=250cc from India worth ₦31.98billion.
In terms of manufactured imports, used vehicles were mainly imported from the United States and Italy in values worth N33.78billion and N5.74billion.During the quarter, Machines for reception, Conversion and transmission were imported from China, Sweden and Hongkong in values worth N118.69billion, N8.98billion and 5.22billion. Motorcycles worth N32.72billion and N61.80 billion were imported from China and India.