The Federal Government has announced a reduction in the import levy on new and used vehicles as part of measures aimed at lowering the cost of vehicle importation and easing the financial burden on Nigerians.
Under the new policy, the import levy on new vehicles has been reduced from 20 per cent to 10 per cent, while the levy on used vehicles has been cut from 15 per cent to five per cent. The revised rates take effect from Wednesday.
The measure forms part of the Federal Government’s broader fiscal policy reforms designed to reduce the cost of key imports, curb inflationary pressures and improve affordability for consumers and businesses.
Industry stakeholders are expected to welcome the development, with many expressing optimism that the reduction in import levies will lower vehicle landing costs and, ultimately, retail prices in the domestic market.
The latest adjustment follows the implementation of the 2026 Fiscal Policy Measures, under which the government also reviewed tariffs on several imported goods, including passenger vehicles, food items and industrial inputs, in a bid to stimulate economic activity and ease the cost of living.
