The Federal Government has reduced import tariffs on vehicles, lowering the duty on used vehicles from 15 per cent to five per cent and on brand-new vehicles from 20 per cent to 10 per cent as part of the 2026 Fiscal Policy Measures.
Comptroller-General of the Nigeria Customs Service (NCS), Adewale Adeniyi, disclosed the development while defending the agency’s 2026 budget proposal before the House of Representatives Committee on Customs and Excise.
According to him, although the tariff reduction is expected to stimulate trade and provide relief to Nigerians, it may also reduce customs revenue from vehicle imports.
Responding to concerns by lawmakers over cargo diversion to neighbouring ports, Adeniyi said implementation of the revised tariff regime began in May and forms part of broader fiscal measures aimed at improving trade and revenue administration.
Chairman of the committee, Leke Abejide, described the policy as a welcome relief for Nigerians, commending President Bola Ahmed Tinubu for approving the measure.
The Customs Service also disclosed that it generated ₦7.258 trillion in 2025, exceeding its revenue target by ₦1.153 trillion, and has now been assigned a ₦11.074 trillion revenue target for the 2026 fiscal year.