Low Duties and Durability Cement Toyota's Hold on Nigeria's Used Car Market

UsedToyotaCars.com — Monday, March 30, 2026

Table of Contents

• Overview

• How the Duty Structure Favours Toyota

• Why Nigerian Buyers Choose Toyota

• The Models Driving Volume

• Market Context

• Sources

Overview

Nigeria is a left-hand drive country and one of Africa's largest used-vehicle markets. A March 2, 2026 investigation by The Punch found that Toyota accounts for the highest volume of imported used cars entering the country, driven by a combination of lower effective import costs and strong consumer preference for the brand's durability and fuel economy. Industry officials and trade association heads confirmed the trend to the newspaper's correspondent.

How the Duty Structure Favours Toyota

Nigeria's customs duty on used vehicles is applied at a flat rate by year of manufacture — not by brand — meaning a 2015 Toyota Corolla and a 2015 Mercedes-Benz C-Class face the same percentage duty. The difference emerges in the cost of acquisition overseas. Abayomi Duyile, Apapa Chapter Chairman of the National Council of Managing Directors of Licensed Customs Agents, explained it plainly: Toyota's smaller, lower-value models are cheaper to buy abroad, so the absolute naira amount paid in duty is lower, even at the same percentage rate. Luxury brands attract higher assessed values and therefore higher total duty bills. The result is that a buyer clearing a used Toyota pays less in total landed cost than a buyer clearing a comparable European luxury vehicle.

Why Nigerian Buyers Choose Toyota

Ugochukwu Nnadi, a chieftain of the National Association of Government Approved Freight Forwarders, pointed to purchasing power as the core factor. Toyota fields a broader range of small, affordable models — Yaris, Matrix, Corolla — that match the budget of most Nigerian buyers. Ajibola Adedoyin, National President of the Association of Motor Dealers of Nigeria, reduced it further: durability, low fuel consumption, and cheap maintenance. Spare parts for Toyota models are widely available across Nigeria, keeping after-ownership costs manageable.

The Models Driving Volume

The Corolla, Matrix, Yaris, Camry, Hilux, and Hiace are among the most consistently imported Toyota models. Toyota Nigeria Limited's Managing Director Kunle Ade-Ojo confirmed at a press conference in May 2025 that the Hilux, Hiace, and Rush were the top-selling models in 2024 through the official distribution channel. In the wider grey and used-import market, compact sedans and hatchbacks dominate by volume because of their lower price points.

Market Context

Toyota Nigeria Limited (TNL) holds a 27% share of new car sales in the country and has operated as Toyota Motor Corporation's sole authorised Nigerian distributor since 1996. The company sold just over 3,000 new vehicles in 2024, a year marked by naira depreciation and high inflation, and still exceeded its own sales target. The used-import channel is significantly larger than the new-car channel; the United States supplies roughly 96% of used Toyota units shipped into Nigeria, according to shipment data covering the 12 months to April 2025. Nigeria bans the import of vehicles older than 15 years.

Sources

• The Punch — Low duties drive Toyota imports in Nigeria (March 2, 2026)

• Vanguard — Toyota Nigeria projects high sale of 3,000 units despite economic challenges (May 29, 2025)

• BusinessDay — Toyota Nigeria commits to diverse model offerings, customer service (June 3, 2025)

• Volza — Used Toyota Car Imports in Nigeria, shipment data to April 2025

• The Clearing Agent — Customs Tariff for Toyota Cars in Nigeria 2026 (January 5, 2026)