The Dangote Group's decision to partner with the Kaduna State government to assemble Peugeot vehicles in Nigeria is a long-awaited boost for Nigeria's economy.

The assembly plant where the French car manufacturer Peugeot was built is located in the South East of Nigeria. The plant has already commenced commercial production of the Peugeot 207, which is a great achievement for both companies and Kaduna State as a whole. Through this collaboration with Dangote Group, Peugeot will be able to tap into the Nigerian market which is arguably the largest in Africa.

 Benefits of the plant to Nigeria's economy

The Dangote Group recently announced the groundbreaking of its Peugeot Automobile Nigeria (PAN) Automotive Assembly Plant in Kaduna with a promise to generate massive direct and indirect jobs for Nigerians. The new facility, which is coming on stream after the company relocated operations from Lagos to Kaduna, will produce Pan’s range of vehicles from CKD kits sourced from Peugeot France and other Pan plants worldwide.

According to the Managing Director/Chief Executive Officer, Pan Limited, Ibrahim Boyi, the plant would start production as soon as the infrastructure was ready.

Benefits of the plant to Nigeria's economy

But how do Kaduna people view this development?

For Engr. Herbert Nda Egbeja, “ the establishment of Dangote Peugeot automobile assembling plant in Kaduna is a welcomed development. We hope, however, that it won’t be too expensive for the average person to afford. Vehicles today are above the reach of civil servants unlike what it used to be in the past, it is our prayers that this will be better” he said.

On her part, Hajiya Sadiya Yahaya said, “ I am happy because at least, it will create both

The models to be produced

Dangote Group has just taken the lead in Nigeria's automotive industry with its decision to partner with the world's leading automotive brand, Peugeot, to assemble its Peugeot brand of cars. In a recently released report by MYNIGERIAINFO, Dangote Industries Limited (DIL) and Stallion Group, which are stakeholders in the Dangote Peugeot Automobile Nigeria Limited (DPAN), have succeeded in taking up the challenge of reviving Nigeria's once vibrant automobile sector.

In February this year DPAN commenced the assembling of Peugeot brand vehicles at its newly built Green Field Assembly Plant in Kaduna. At the roll-out of the first 301 car, both the management, staff and people of Kaduna State celebrated the coming on stream of the vehicle at the plant before it was officially commissioned by President Muhammadu Buhari during his state working visit to Kaduna.

DPAN is scheduled to expand its model line-up to meet the varied demands and needs of the Nigerian auto market and vehicles expected to be introduced into the local market between now and 2023 include:

  • Landtrek
  • 3008
  • 5008
  • the new 508

which are expected to flaunt their outstanding aesthetics, rich technological end

An history

The strategic alliance between Dangote Industries Limited (DIL) and Peugeot Automobile Nigeria Limited (PAN) through the acquisition of 51 percent shareholding in the automobile firm by the former is a move to boost the economy, analysts have said.

Peugeot Automobile Nigeria Limited (PAN) was incorporated on December 15, 1972, as a limited liability company with an authorized share capital of N3 million and commenced full operations on March 2, 1975.

After about two decades of smooth operations, the company ran into unpleasant situations occasioned by a series of policy somersaults by the government and inadequate tariff protection for local assembly plants.