- He stated that the policy is designed to curb inflation, strengthen local enterprises
- duties on manufacturing equipment have been eliminated to reduce production costs
- the government introduced a 90-day adjustment period starting April 1, allowing markets to gradually adapt to the new measures
The Federal Government has approved duty waivers on imports such as mass transit buses, electric vehicles, and industrial machinery.
Eko Hot Blog reports that the decision follows a directive from Bola Ahmed Tinubu, who asked top economic officials to develop strategies to shield Nigerians from the effects of the ongoing Middle East crisis, especially as fuel prices continue to rise.
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In a post shared on X, Dada Olusegun, the President’s Special Assistant on Social Media, explained that the move is part of broader fiscal steps aimed at reducing inflation and easing economic strain on citizens.
According to him, the administration has introduced wide-ranging import duty cuts to support businesses, lower costs, and improve consumer purchasing power.
He stated that the policy is designed to curb inflation, strengthen local enterprises, and make essential goods more affordable.
The crisis involving Israel–US–Iran conflict has significantly disrupted global oil supply, particularly around the Strait of Hormuz, a key channel for about one-fifth of the world’s crude oil.
Under the revised tariff structure, import duties on electric vehicles and mass transit buses have been cut from 5% to zero, a move aimed at promoting affordable and cleaner transportation.
Similarly, duties on manufacturing equipment have been eliminated to reduce production costs and stimulate industrial growth.
Other adjustments include a reduction in duties on raw cane sugar from 70% to between 55% and 57.5%, and crude palm oil from 35% to 28.75%. Tariffs on passenger vehicles have been lowered from 70% to 40%, while bulk rice duties dropped to 47.5% and broken rice to 30%.
In the construction and industrial sectors, duties on steel products such as sheets and coils were reduced from 45% to 35%, while tariffs on glazed ceramic tiles fell from 55% to 46.25%, helping to ease building and manufacturing costs.
To ensure a smooth transition, the government introduced a 90-day adjustment period starting April 1, allowing markets to gradually adapt to the new measures.
The Middle East conflict has caused fluctuations in global energy prices, increasing shipping and insurance costs worldwide, including in Nigeria. Oil prices initially surged to around $120 per barrel due to supply disruptions, later dropping below $95 after a ceasefire announced on April 8.
However, renewed tensions pushed prices back up, with Brent crude exceeding $102 per barrel and WTI reaching $104.16 per barrel on April 13.
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