TIM Motors, a Chinese automotive company long known in Nigeria for its heavy-duty trucks—including brands like FAW, Sinotruk, and Shacman—has officially entered the country’s passenger vehicle market. The move marks a bold attempt to disrupt Nigeria’s deeply entrenched second-hand car economy by offering affordable, brand-new vehicles tailored to local needs.
At a launch event held in Lagos on Saturday, TIM Motors CEO Leon Zhan unveiled the company’s new line of sedans and SUVs, positioning them as a compelling alternative to the estimated 500–600 used vehicles imported monthly from North America. These “tokunbo” cars, as they’re locally known, dominate Nigeria’s roads but often come with quality concerns and limited transparency, Zhan noted.
“We want to replace 10% to 20% of Nigerian used cars with Chinese new cars,” Zhan said, adding that the company aims to grow new car ownership in Nigeria to 50,000 users within three years—a significant leap from the current annual new car sales of just 15,000 units.
TIM Motors is entering the market with a value-driven pricing strategy designed to undercut established Japanese brands. For example:
- The MGHS SUV is priced at $38,000, compared to the Toyota RAV4’s $45,700.
- The larger MG RX9 SUV comes in at $48,000, well below the Toyota Fortuner’s $65,300.
The lineup includes petrol, electric (EV), and hybrid options, ranging from compact sedans to full-size SUVs. All vehicles come with a five-year warranty and are backed by a financing partnership with Chinese financial powerhouse C&D, making them more accessible to corporate clients, government agencies, and upwardly mobile Nigerians.
To support its expansion, TIM Motors is rapidly developing a physical footprint in Nigeria. Showrooms and technical support centers are under construction in Ikeja and Victoria Island, two of Lagos’ most affluent districts, with completion expected within two months. Additionally, the company plans to establish a local assembly plant in Abeokuta by 2026, which will be accompanied by a training program for 200 mechanics to build a nationwide service network.
This hybrid approach—combining local assembly, after-sales support, and financing—is designed to build trust and long-term customer relationships in a market where skepticism toward new brands is common.
Zhan, who also serves as a partner at Shanghai Zeal Capital, an automotive-focused private equity firm, emphasized Nigeria’s strategic importance:
For Nigeria, the population is the largest in West and East Africa. The environment is very robust, and we have strong confidence.
China’s automotive industry, which sells over 30 million new vehicles annually, sees Nigeria as a key growth frontier. A successful rollout by TIM Motors could significantly boost China’s export volume to Nigeria, which already stood at $2.24 billion in imports as of May 2025, compared to $252 million in Nigerian exports to China.
By offering modern, AI-equipped vehicles at competitive prices, TIM Motors is not just selling cars—it’s attempting to reshape consumer behavior in one of Africa’s most dynamic economies.
