The Federal Government of Nigeria has reaffirmed its commitment to complete and operationalise the Ajaokuta Steel Complex which has remained nearly but uncompleted for over four decades, as well as resuscitate the long non-performing steel sector.
President Bola Ahmed Tinubu announced this at the inaugural National Stakeholders Summit on Steel development in Abuja on Wednesday.
Highlighting the milestones of his administration in the sector, Tinubu who was represented by Vice President Kashim Shettima, said since the creation of the Ministry of Steel Development in August 2023 by his administration, “we have embarked on a transformative journey to create an ecosystem conducive for sustainable Steel development in Nigeria.
“Some of the key milestones shaping the industry include Ajaokuta Steel Company Limited (ASCL) and National Iron Ore Mining Company (NIOMCO); Operationalisation of Ajaokuta Steel Plant”.
He explained that though a Memorandum of Understanding (MoU) was signed in September 2024 with the original builders of the Ajaokuta Steel Plant Messrs. Tyazphpromexport (TPE) of Russia, “we are currently exploring strategic partnership opportunities in China because of the lingering Russia and Ukraine war”.
He called on all stakeholders to note that the completion and commissioning of Ajaokuta Steel Plant and National Iron Ore Mining Company, Itakpe is a priority of Mr President.
President Tinubu also used the occasion to announce plans for the Nigerian steel sector to produce 10 million tonnes of liquid steel annually begining from2030 and generate over 500,000 jobs.
The summit, themed “Rebuilding and Consolidating Nigeria’s Steel Industry: Collaborative Action for Sustainable Growth and Global Competitiveness,” was convened to chart a roadmap for revitalising the nation’s steel sector, which remains heavily reliant on imports despite Nigeria’s abundant iron ore, limestone, and coal deposits.
“The steel industry will not be revitalised by government alone. We need private investors, the innovation of our universities, the skills of our workforce, and the patronage of our people,” he said.
The administration’s plans include operationalising the Ajaokuta Steel Company and the National Iron Ore Mining Company (NIOMCO), conducting technical and financial audits, and engaging international investors to complete and commission the Ajaokuta Steel Plant.
“Additional initiatives include five mini-LNG plants at Ajaokuta, an industrial park with a free trade zone, and partnerships with the Ministry of Defence and DICON to manufacture military hardware.
Senator Patrick Ndubueze, Chairman of the Senate Committee on Steel Development, pledged the Senate’s unwavering support for the sector, urging stakeholders to turn ideas into actionable outcomes.
Highlighting the Ajaokuta Steel Complex, he noted that over 20 of its 38 completed factories can operate independently if central utilities are restored. He called for unbundling and concession of the factories to capable Nigerians or verified foreign firms, criticising past wholesale concessions that undermined the sector.
“This summit must be a turning point,” Ndubueze said, “ a defining moment to harness the full potential of our steel industry and position Nigeria as a hub for industrial excellence in Africa.”.
On his part, Minister of Steel Development, Prince Shuaibu Abubakar Audu underscored that revitalising local steel production would reduce Nigeria’s $4 billion annual import bill.
He detailed incentives to attract investors, including capital allowances, import duty exemptions, tax holidays, and policies ensuring 30% of steel inputs for government projects are sourced locally.
Audu also highlighted public-private partnerships, industrial parks, mini-LNG plants, and collaboration with the Ministry of Defence to manufacture military hardware, stressing that these measures would stimulate local raw material consumption, generate jobs, and establish Nigeria as a regional steel hub.
Minister of Solid Minerals Development Dr Dele Alake revealed a new industrial trajectory for Nigeria’s minerals, with a $600 million lithium processing plant near the Kaduna-Niger border and a $200 million refinery near Abuja set for imminent commissioning.
“Two additional plants in Nasarawa will be operational by the end of 2025, Dr Alake said, stressing that strict enforcement in the sector, reporting over 2,350 mining marshals deployed, more than 300 illegal operators arrested, and over 20 convictions had been secured.
He highlighted Nigeria’s continental leadership through the Nigeria Solid Minerals Company and chairmanship of the African Mineral Strategy Group, calling on stakeholders to adopt a cluster-based approach integrating mining, processing, and manufacturing to ensure competitiveness, job creation, and export readiness.
Minister of Marine and Blue Economy, Adegboyega Oyetola, highlighted steel’s critical role in shipbuilding, port infrastructure, offshore platforms, and fishing vessels. A reliable domestic steel supply, he noted, would reduce import dependence, cut costs, improve project timelines, and support maritime infrastructure development, fostering innovation and employment across multiple value chains.
Similarly, Minister of Transportation, Sai’du Ahmed Alkali, described the summit as a vital forum to implement the 10-year national steel roadmap, optimize private steel rolling mills, and harness Nigeria’s natural resources within a strong regulatory framework.
Minister of Industry, Trade, and Investment, Olajumoke Oduwole, emphasised the untapped potential across the steel value chain, from mining to rolling, fabrication, and production of critical inputs for construction, automotive, energy, and manufacturing sectors.
She noted that domestic value addition, international partnerships, technology transfer, and targeted reforms will reduce import dependence, create jobs, and help achieve Nigeria’s $1 trillion economy target by 2030.
In his welcome address, Dr Chris Osa Isokpunwu, Permanent Secretary of the Ministry of Steel Development, described the summit as a pivotal platform to chart a new course for Nigeria’s steel industry.
Highlighting the sector’s strategic importance, he stressed that steel underpins railways, bridges, manufacturing, energy, and defense.
Dr Isokpunwu called on all stakeholders to engage actively, share innovative ideas, and forge strategic partnerships, noting that outcomes from the summit would inform the National Strategic Plan of Action for the Steel and Metallurgical Sector, ensuring Nigeria’s steel sector is globally competitive, sustainable, and a driver of national growth.
