Hybrid Motors Nigeria and Launch Design Shanghai have formalized a strategic partnership to establish electric vehicle manufacturing plants in Lagos and Abuja, positioning Nigeria as a potential hub for automotive production in West Africa.
The agreement, signed in Shanghai on May 8, 2026, will drive the production of Acely, Hybrid Motors Nigeria’s homegrown vehicle brand engineered specifically for Nigerian road conditions and mobility needs.
Speaking at the signing ceremony, Hybrid Motors Nigeria Chief Executive Jubril Arogundade described the deal as a defining commitment to Nigeria’s automotive future. “With Acely, we are proving that world-class vehicles can be conceived, designed and assembled right here in Nigeria, by Nigerians, for Nigerians,” he said.
Launch Design Chief Executive Wang Xun said the collaboration creates a powerful formula for developing Africa’s automotive manufacturing ecosystem, combining his firm’s global engineering capabilities with Hybrid Motors’ deep understanding of the local market.
Under the agreement, the two facilities will jointly achieve an annual production capacity of 70,000 units at full maturity. The Lagos plant, situated along the Lekki-Epe axis, will serve as the primary production and assembly hub with a target output of 50,000 units annually. Its proximity to the Lekki Deep Sea Port is expected to facilitate exports to West African markets including Ghana, Benin, Togo and Côte d’Ivoire.
The Abuja facility, to be located within the Free Zone Business Area of Centenary Economic City, will operate as a secondary manufacturing and technology centre targeting 20,000 units per year, primarily serving Northern Nigeria and neighbouring Sahel markets while benefiting from free zone incentives.
The companies said the dual-plant model would cut logistics costs, boost operational efficiency and generate employment across multiple regions.
Acely vehicles will prioritize local assembly, energy efficiency and technologies suited to Nigeria’s terrain and climate, with a gradual shift toward electric and hybrid propulsion systems aligned with global sustainability trends and Nigeria’s clean energy goals.
Industry analysts say the venture could strengthen Nigeria’s automotive value chain through local component manufacturing, technology transfer and skills development, while reducing dependence on imported vehicles and conserving foreign exchange.
Both companies noted that the project aligns with the Federal Government’s National Automotive Industry Development Plan, which seeks to expand local vehicle production and draw fresh investment into the sector.​​​​​​​​​​​​​​​​