Amid Soaring Tokunbo Prices, Chinese Cars Gain Traction On Nigerian Roads

Chinese car brands are increasingly visible on Nigerian roads, signaling a shift in the country’s automotive market that has long been dominated by Japanese and European vehicles. Popular brands such as Changan, Haval, GAC, Geely, Chery, and Jetour are now vying for attention alongside traditional players, particularly among companies and government agencies seeking brand-new vehicles.

BusinessDay reports that some banks and state governments have started procuring Chinese cars for official use, attracted by prices far lower than comparable Japanese or German models. For example, while a new Toyota Camry can cost between N48 million and N53 million, a Chery Tiggo 4 or Tiggo 7 Pro Max sells for N15.4 million to N29.4 million depending on the model.

Ojurongbe Damilola, head of technical services at Cars45, highlighted a growing demand for Chinese vehicles among businesses that prioritize new cars. He noted that the FX crisis has influenced consumer preferences, pushing buyers away from used imports known locally as ‘Tokunbo’ toward affordable, brand-new options.

At the forefront of this movement is TIM Motors, a Chinese-backed distributor historically known for heavy-duty trucks. Earlier this year, the company launched a passenger vehicle line aimed at Nigerian consumers, with ambitions to replace 10–20 percent of used cars in the country with new Chinese models. Leon Zhan, TIM Motors CEO, projects new-car ownership could rise from fewer than 15,000 units annually to 50,000 within three years.

The company’s competitive strategy rests on aggressive pricing, local investment, and service guarantees. The MGHS SUV retails at $38,000 below Toyota’s RAV4 at $45,700 while the MG RX9 is offered at $48,000, nearly $20,000 cheaper than a Fortuner. Both models are available in petrol, hybrid, and fully electric variants, with five-year warranties and financing via China’s C&D financial services group.

China’s push into Nigeria’s automotive sector is part of a broader geopolitical and economic strategy. With tariffs on Chinese goods in the US and other Western markets, Africa has emerged as a key growth frontier. In the first half of 2025, Chinese exports to Africa surged 25 percent year-on-year to $122 billion, with passenger cars more than doubling. President Xi Jinping has further boosted trade by scrapping tariffs on imports from African countries.

The transition from Tokunbo vehicles to Chinese new cars is supported by local infrastructure investment. TIM Motors plans technical support centres in Lagos, training for 200 mechanics, and an assembly plant in Abeokuta by 2026. These moves aim to ensure reliability and after-sales service, addressing a major concern of Nigerian consumers accustomed to used imports.

“People underestimate how much Nigerians value reliability,” said Zhan. “We are not just selling cars; we are building the ecosystem that supports them.”

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