The Nigerian government in partnership with Chinese construction firm the China Civil Engineering Construction Corporation (CCECC) will build a rolling stock assemble plant in Ogun state Nigeria.
According to vice president Osinbajo, the plant will produce coaches for the Lagos-Ibadan and Abuja-Kaduna rail line as well as export coaches to other countries within the sub-region and Africa at large.
The plant will be the first of its kind in Nigeria. The country is undertaking huge railway construction projects linking the North, South West and South Eastern parts of the country. As a result, there will be high demands for coaches and this plant will satisfy those needs.
The plant will perform key production processes such as welding, assembly, painting, drying and testing. In addition, 500 coaches will be produce annually once it begins operation at full capacity. Furthermore, five thousand jobs will be created once the plant start operations.
Nigeria looking to make the most of China-Africa relations
This investment by China in Nigeria follows previous investments in the agriculture as well as tech sectors of the Nigerian economy.
China can play a major role in Africa’s march towards industrialization provided African countries know what they want. This is because they have the technical know-how and are also willing to share their technologies.
Nigeria is benefiting from this partnership by building up its industrial capacity to start manufacturing Train coaches. Nigeria is also constructing one of the largest transformer plants in Africa and has sent engineers to china for training.
With the construction of these manufacturing plants, knowledge will be transferred to African engineers and technicians. As a result, spin-offs can be created and additional indigenous African manufacturing sectors would blossom.
Lesson for other African countries
African countries can rapidly accelerate their industrial and technological developments by strategically partnering with China. They need to partner with china to improve their innovation capacities especially in transforming raw products to finished products. These primary sectors of their economies are low-hanging fruits. With the right partnerships with the middle kingdom, they can be developed to provide thousands of jobs to their citizens.