The Federal Government has removed import duties on electric vehicles (EVs), mass transit buses, and manufacturing machinery as part of new measures to ease inflation and reduce economic pressure on Nigerians.
The move, announced by presidential aide Dada Olusegun, follows directives from Bola Ahmed Tinubu to cushion the impact of rising fuel prices linked to ongoing global tensions.
Under the new tariff regime, import duties on electric vehicles and mass transit buses have been cut from 5 per cent to 0 per cent. Duties on manufacturing machinery have also been reduced from 5 per cent to 0 per cent to support local production and lower business costs.
The policy also includes broader tariff cuts across several sectors. Import duties on passenger vehicles have been reduced from 70 per cent to 40 per cent. Bulk rice tariffs dropped from 70 per cent to 47.5 per cent, while broken rice was cut to 30 per cent.
Other adjustments include raw cane sugar, now reduced from 70 per cent to between 55 per cent and 57.5 per cent, and crude palm oil, lowered from 35 per cent to 28.75 per cent. In the industrial sector, steel sheets and coils were reduced from 45 per cent to 35 per cent, while ceramic tiles dropped from 55 per cent to 46.25 per cent.
A 90-day transition period, effective from April 1, has been introduced to allow markets adjust gradually to the new rates.
The measures are aimed at reducing inflation, improving affordability for consumers, and supporting businesses facing rising input costs.
They also align with government efforts to promote cleaner transportation through EV adoption and expand access to affordable public transport.
The policy comes amid volatility in global oil markets triggered by the ongoing Middle East crisis, which has disrupted supply chains and pushed up fuel prices.
President Tinubu had earlier directed economic managers to develop strategies to mitigate the impact on Nigerians, stressing the need for policies that respond to global realities while delivering relief at home.
Rising crude oil prices and increased shipping costs have continued to put pressure on economies worldwide, with Nigeria feeling the impact through higher fuel prices and inflationary trends.
