The Federal Government loses a staggering $4 billion every year in foreign exchange to the importation of steel products, the Minister of Steel Development, Shuaibu Audu, disclosed on Thursday.
Speaking at a press conference ahead of the maiden National Steel Summit slated for July 15, 2025, in Abuja, Audu emphasized the urgent need to revive Nigeria’s domestic steel industry and reduce reliance on imports.
The minister said that the steel sector holds the key to Nigeria’s industrial and economic transformation, pointing out that a functional local steel industry would significantly reduce capital flight and boost job creation.
“The Federal Government loses about $4 billion annually in foreign exchange due to imported steel products. This is not sustainable for a developing economy like ours,” Audu said.
Audu also announced that plans are underway to operationalize the first section of the Ajaokuta Steel Plant before the end of President Bola Tinubu’s first term in office.
This marks a significant step toward reviving one of the country’s most ambitious but long-abandoned industrial projects.
He assured Nigerians that President Tinubu is personally committed to ensuring the utilisation of Nigeria’s abundant raw steel materials, with the goal of establishing a robust and self-sufficient local steel industry.
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“President Tinubu is very intentional about the revival of the steel sector. This administration is focused on translating our raw potential into real industrial value,” he added.
The upcoming National Steel Summit is expected to bring together investors, policy-makers, industry experts, and other key stakeholders to chart a realistic roadmap for the steel sector.
According to Audu, the summit will provide a strategic platform for collaboration and investment, while identifying policy reforms and infrastructure support necessary to unlock the sector’s potential.
The steel industry in Nigeria has faced decades of neglect, policy inconsistencies, and lack of investment, with the Ajaokuta Steel Plant symbolizing both its promise and failure.
However, renewed government focus and rising demand for local content in construction and manufacturing could provide the impetus needed for change.
The Minister called on Nigerians and international partners to key into the government’s renewed vision for steel, promising transparency, consistency, and a solid regulatory environment.