When fully operational, the assembly plant which has the capacity to produce 10,000 trucks annually, is expected to generate employment for an estimated 3,000 workers.
In a statement, the Group’s Chief Corporate Communication Officer, Mr. Anthony Chiejina said that Dangote would be partnering a leading Chinese Company, National Heavy Duty Truck Group Company Limited, SINOTRUK to float the plant.
In a partnership that was formed in 2014, Dangote group reveals it owns 60 percent stake in the assembly plant while SINOTRUK holds 40 percent.
Nigeria is a major market for SINOTRUK products, with Dangote Group, operating the largest fleet in Africa, having over 10,000 trucks for the distribution of its products across the continent. The Group imported 12,000 trucks from China in 2014.
Mr. Chiejina disclosed that before now, Dangote had been spending heavily on importing trucks to distribute its products both locally and across African countries. This new assembly plant would save Nigeria huge foreign exchange being spent on importation of heavy duty vehicles.
He said there will be room for project expansion in future as it meets the national truck demand and will explore exportation to neighbouring countries to generate foreign exchange for the nation.
Mr. Chiejina said Aliko Dangote who still believes that Nigeria is one of the best places in the world to do business, is optimistic that the current economic challenges would make Nigeria stronger if approached positively.
SINOTRUK is the largest exporter of trucks in China for 10 consecutive years, securing a sale of 34,000 trucks out of the 176,000 vehicles exported in 2014.
Its revenue from overseas sales amounted to 9 billion yuan ($1.45 billion), accounting for about 13 percent of the total sales.
SINOTRUCK is a Chinese state-owned truck manufacturer, established in 1956, with its headquarters in Jinan, Shandong Province.
The company developed strategic technical partnerships with major international brands such as Steyr in Austria and Mann in Germany, all of which had helped it penetrate key global markets.