As rising fuel and distribution costs squeeze Nigerian businesses, Nigerian Sinotrucks Limited, a distributor of China’s Sinotruk commercial vehicle brand, is turning to electric commercial vehicles, projecting that the technology could reduce fleet operating expenses by 40 to 50 percent.
The company introduced Sitrak, electric commercial trucks, into the Nigerian market, targeting manufacturers, fast-moving consumer goods (FMCG) producers, and distributors whose regular urban delivery operations could provide a relatively controlled environment for deploying electric trucks.
Alfred Okugbeni, founder and managing director of Nigerian Sinotrucks Limited, said the introduction was driven by the need to reduce transportation expenses, which contribute significantly to the cost of distributing goods and ultimately affect consumer prices.
“The need to crack this has become imperative, and one of the major ways to crack this is to bring in low-cost operating vehicles,” Okugbeni said.
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He noted that transportation remained a major cost component for businesses, particularly manufacturers and distributors dealing with rising energy and logistics expenses.
According to Okugbeni, the company had recorded fuel cost savings of between 30 and 35 percent among customers using its CNG trucks, adding that electric vehicles could deliver further reductions in operating expenses.
“Moving to electric vehicles, there is further cost savings of nothing less than 40–50 per cent,” he said.
For operators, the economics of switching to electric trucks will therefore extend beyond cheaper energy to the total cost of owning and operating the vehicles over their useful life.
Okugbeni said the initial rollout would focus on light electric trucks designed for intra-city distribution, with plans to introduce medium-duty vehicles for regional operations as market conditions and charging infrastructure improve.
He said the light trucks can cover up to 200 kilometres daily, making them suitable for selected urban delivery routes involving factories, warehouses, retail outlets, and distribution centres.
The company is particularly targeting FMCG manufacturers and distributors, arguing that businesses with established facilities could charge vehicles overnight and deploy them for deliveries during the day.
“Our target is the fast-moving consumer goods manufacturing people because they have excess energy through the night. So, they can easily charge up,” Okugbeni said.
The approach could reduce dependence on public charging stations, particularly for companies operating predictable delivery routes and with access to electricity or dedicated power arrangements at their facilities.
Okugbeni acknowledged the importance of charging infrastructure but expressed optimism that investments in charging facilities would support the gradual adoption of electric commercial vehicles.
“Charging stations are being built. But for commercial vehicles, the trucks, it is even a lot easier because they are working with factories that have excess energy,” he said.
The company’s strategy is to expand vehicle capacity gradually as charging options become more accessible beyond major urban and industrial centres.
Beyond electric vehicle deployment, Nigerian Sinotrucks Limited said it intended to deepen its involvement in domestic vehicle assembly, technical training, and local component development.
Okugbeni described the company as a federal government-recognised vehicle assembler, adding that it would consider investing in full-scale assembly operations when the policy environment became more favourable.
He also identified the development of local suppliers, revival of the steel industry, and expansion of technical capabilities as necessary steps towards building a competitive domestic automotive industry.
Juliet Onyema is a transport journalist who reports on Nigeria’s transport and automobile industry. She covers emerging Electric Vehicles (EVs), ranging from adoption to usage, automobile firms and transport policies which affect them, and also recurring trends affecting commuters’ mobility interstate and intrastate.
