By Ayomide Otitoju
President Bola Tinubu has warned that the prolonged paralysis of the Ajaokuta Steel Company has moved beyond economic loss to becoming a threat to Nigeria’s sovereignty.
Speaking at the Inaugural Stakeholders Summit on Steel Sector Development in Abuja on Tuesday, the President—represented by Vice President Kashim Shettima—described the steel industry as the backbone of industrialisation and national security.
“How can we build, manufacture, or defend ourselves without the material that enables all three? Steel builds our bridges, powers our industries, supports our defence, and lays the foundation for a modern economy,” Tinubu said.
He outlined ongoing revival efforts, including a Memorandum of Understanding with Tyazhpromexport to rehabilitate and operate Ajaokuta and the National Iron Ore Mining Company, as well as proposals from Chinese partners under review.
Other plans include a $500 million project to construct five mini-LNG plants in Ajaokuta, military hardware production at the Ajaokuta Engineering Workshop in collaboration with the Ministry of Defence, and the establishment of an Industrial Park and Free Trade Zone.
Tinubu also noted a $465 million investment proposal for the Aluminium Smelter Company in Ikot-Abasi, while Premium Steel and Mines has committed to resuming operations within 18 months. Additionally, Stellar Steel is investing $400 million in a new Ewekoro plant for hot-rolled coils and plates.
He projected that by 2030, Nigeria could produce 10 million tonnes of liquid steel and create over 500,000 jobs, urging private sector investment to complement government initiatives.
Minister of Steel Development Shuaibu Audu said the government would offer tax holidays, import duty exemptions, and local sourcing policies to boost the sector, which could reduce Nigeria’s $4 billion annual steel import bill.
