Auto
Rush for Nigerian-Used Cars Spurs 22% Spike in Vehicle Inspection Requests
By Modupe Gbadeyanka
Foreign exchange (FX) volatility, rising inflation, and a decline in foreign-used cars, otherwise known as Tokunbo, has triggered a strong demand for Nigerian-used vehicles, leading to a 22 per cent increase in vehicle inspection requests, a new report by Cars45, a leading vehicle inspection and valuation auto tech company, has revealed.
In a report made available to Business Post on Wednesday, the firm observed that it notice this spike in the first quarter of 2025, suggesting a shift in Nigeria’s used car buyer behaviour, also indicating that a silent transformation is taking root in how Nigerians approach used vehicle or tokunbo purchases.
The trend points to a growing culture of caution among consumers, who now treat car buying as a high-stakes investment rather than a routine transaction.
The high cost of guesswork
With a weakened Naira and sharp fluctuations in import-related costs, buyers are no longer willing to rely solely on visual checks or seller claims.
Between January and March 2025, the Naira depreciated by an additional 3 per cent against the dollar.
Additionally, figures from the National Bureau of Statistics (NBS) show that used vehicle imports into Nigeria fell by 65 per cent year-on-year, further driving up prices due to constrained supply.
This has created an environment ripe for exploitation, with a rise in documented cases of sellers offloading flood-damaged or tampered vehicles at inflated prices.
“Every car should be treated like a potential investment. You wouldn’t buy land without a survey. Why buy a car without an inspection?” the Head of Technical Services at Cars45, Mr Damilola Ojurongbe, stated.
A more informed buyer is emerging
Traditionally, many buyers have depended on a mechanic’s glance or a test drive before closing a deal. Today, inspection requests increasingly involve diagnostic scans, flood and accident history reports, body panel reviews, and transmission and engine assessments, even for relatively lower-priced vehicles.
Industry observers attribute this shift to multiple factors:
FX-driven price sensitivity
With used car prices rising across the board, consumers are more cautious about making costly mistakes.
Digital fraud exposure
As online auto listings grow, so do scams. Verified inspection data from reliable platforms like Cars45 and Jiji offers some level of protection against seller misrepresentation.
Education and transparency
Auto-focused content from digital platforms and inspection firms is improving consumer awareness around vehicle health indicators.
Changing market expectations
A report by Researchgate.net shows that used vehicles make up about 85% of all cars imported into Nigeria, a statistic corroborated by local dealerships and independent marketplaces.
Cars45 market analysts predict that verified inspections could become standard in the transaction process, especially as platforms and dealers offering transparency gain a competitive advantage.
“There’s a visible shift from urgency to diligence. People want to know what they’re really paying for; and in today’s market, information is the most valuable asset,” Mr Damilola added.
By Modupe Gbadeyanka
A bill aimed at prohibiting hawking, trading or preaching inside commercial vehicles in Nigeria has been passed by the Senate.
The bill known as the Federal Road Safety Corps (Amendment) Bill, 2026, imposes fines between N50,000 and N100,000 for violations if assented to by the President.
The piece of legislation was passed by the red chamber of the National Assembly on Thursday and should later be transmitted to President Bola Tinubu for assent.
Members of the upper chamber of the parliament explained that the law was amended to discourage distractions in commercial vehicles and improve the safety of commuters.
In addition, motorists who fail to cooperate with officials of the Federal Road Safety Corps (FRSC) during roadside breath tests conducted on reasonable suspicion are liable to fines or imprisonment or both.
Lawmakers noted that this was to improve compliance with road safety regulations and reduce road crashes, as fines for driving under the influence of alcohol or intoxicating drugs were raised to N100,000 from N5,000, with the risk of spending two years behind bars.
It was also proposed that disobedience to traffic lights, road signs, pavement markings and other traffic control devices will now attract N100,000, while the fine for speed limit violations is now N100,000, with reckless driving now a fine of N100,000 or two years’ imprisonment.
By Dipo Olowookere
Residents and motorists plying the Aina Obembe Road in Baruwa, Ipaja, Lagos, may soon heave a sigh of relief as the excruciating traffic gridlock being experienced in the area both day and night may soon be a thing of the past.
This is because the chairman of Ayobo-Ipaja LCDA, Mr Lukmon Agbaje, has directed those involved in indiscriminate truck parking along the road to remove the heavy-duty vehicles within one week, threatening to invoke appropriate enforcement measures for noncompliance with this directive.
Speaking during a meeting on Wednesday with the management of SENA Company, which owns the affected trucks, as well as the leadership of Oluwadara CDA and other key stakeholders like the Lagos State Traffic Management Authority (LASTMA), at the council’s secretariat, Mr Agbaje frowned at the prolonged inconvenience suffered by the community, stressing that public roads must remain accessible and safe for all users.
He emphasised the need for a collaborative approach in resolving the issue without undermining legitimate business operations, noting that he’s focused on finding a lasting solution to the gridlock experienced between Oluwaga and Aina Obembe, where parked trucks have continued to obstruct traffic, disrupt business activities, and pose safety concerns for residents and motorists.
He tasked the firm and the CDA to jointly identify and implement alternative parking arrangements that would remove all trucks from the affected roads and restore the free flow of traffic.
He declared that, “The welfare of our people remains our highest priority. No individual or corporate organisation should obstruct public infrastructure or create avoidable hardship for residents. We must ensure that economic activities coexist with public safety, order, and convenience.”
The council chief reaffirmed his administration’s commitment to promoting orderly development, ensuring safe and accessible roads, improving traffic management, and creating an environment where businesses can thrive alongside the well-being of residents.
By Adedapo Adesanya
The federal government has cut import levies on new and used vehicles by as much as 10 per cent in a move aimed at reducing the cost of vehicle importation, even as it commenced the implementation of a new Green Tax surcharge.
According to an update issued by the Nigeria Customs Service (NCS) on Wednesday, the import levy on new vehicles has been reduced from 20 per cent to 10 per cent, while the levy on used vehicles has been slashed from 15 per cent to five per cent under the 2026 Fiscal Policy Measures, which took effect on July 1, 2026.
The customs said the policy is designed to ease the cost of vehicle imports while advancing the government’s environmental sustainability objectives through the newly introduced Green Tax.
The implementation also reduces the overall import duty on fully built passenger vehicles from 70 per cent to 40 per cent.
As part of the Green Tax framework, a new environmental surcharge of between two per cent and four per cent will apply to petrol-powered vehicles with engine capacities exceeding 2,000cc. However, mass transit buses, electric vehicles, and passenger cars with engines below 2,000cc are exempt from the surcharge.
Beyond the automobile sector, the fiscal measures also lower import duties on several essential goods. The duty on imported rice has been reduced from 70 per cent to 47.5 per cent, while crude palm oil now attracts a 28.75 per cent duty.
In addition, import duties on agricultural and manufacturing machinery have been completely removed to support local production, while Waste PET has been added to the export prohibition list to encourage domestic recycling.
