Nigeria Increases Tariff on Tyre Imports

The West African nation incurs heavy losses to the exchequer as a result of lower import duties on tyres

Nigerian government has increased tariffs on all tyre imports into Nigeria to 40 per cent from the current rate of 10 per cent. Goverment hopes that the measure would revitalise the ailing tyre manufacturing industry, increase employment as well stem the exodus of many tyre industries to neighbouring countries.

In 2007, the Nigerian government had reduced duties on the import of tyres that led to losses for the tyre manufacturers based in Nigeria. Many relocated to neighbouring countries to avoid the competition they faced from tyre imports from places like Dubai, India, the Far East and China.

According to official sources, the local production of tyres was 2.25 million units while imports accounted for about 0.75 million units before the 2007 policy was implemented. The lowering of duties on tyres in 2007, has an adverse effect on tyre companies in Nigeria. For instance, the only remaining tyre manufacturing company in Nigeria, Dunlop, witnessed a sizeable decline in turnover from $3.4 billion in 2001 to US$226 million in 2008, and recorded net loss in excess of $133 million in 2007.
As per available statistics, the tyre market in Nigeria is approximately 3 million units, including tyres for cars and trucks.

It is believed that the lowering of import duties of tyres had a very negative impact on the Nigerian economy, including loss of employment for as many as 30,000 people in Delta, Edo and Ogun States; loss of foreign exchange of approximately $650 million on importing; and smuggling of over nearly 2.5millioin units of tyres at an average price of $250 per unit.

Business Contacts for Importers in Africa
	Abdul Hadi Trading All kinds of Tyres, Tubes for trucks, trailers, passenger cars, forklift tyres, solid tyres, pneumatic tyres, offroad tyres, agricultural tyres. Supplies many Chinese, Korean and Indian tyre brands...
	Bagader Trading Est Supplier of Tyres, Tubes and Batteries in Dubai. GT Radial, Chengshan, Starfire, DoubleStar as well as Rocket Battery, Tokyo Battery. Also supplies Korean Tubes of all sizes...
	BBG Trading Exporter of Chinese and Korean tyres and tubes to many African markets. Major brands include Westlake Tyres, Good Ride Tyres, Hankook Tyres, Chaoyang Tyres...
	Infinity Tyres Exporter of Infinity brand of Tyres to Africa for Passenger Car Tyres, Light Truck Tyres, Bus Tyres, Agricultural Tyres, Industrial Tyres, OTR (Off-The Road) Tyres...
	Abdul Zahir Bashir General Trading A major exporter of tyres, tubes, batteries and lubricants to Africa from Dubai. Deals in several popular brands like Double Star Tyres, Triangle Tyres, Rock Stone, Crown, Sonar, Durun, Ling Long, Three A. Also deals in popular batteries like Platinum, SBK, Mustang, MF Power etc.
	VRB Trades FZE Importer, exporter, wholesaler and stockist of a wide range of Indian, Chinese and Korean tyres. Has been a leading supplier of tyres to many African markets...
	Bashiri General Trading LLC One of the largest suppliers of tyres, tubes, batteries and lubricants in Dubai dealing in popular brands like Ling Long Tyres, Nexen Tyres, Double Happiness Tyres, Dong Ah Tubes, Turbo Batteries, Uniq Batteries, Yuasa Batteries, 3G Battery, Chiba Battery. Leading exporter to Africa...