In a move that has stirred controversy and raised questions about motives and due process, the Anambra State Government partially demolished the head office of Innoson Vehicle Manufacturing (IVM) in Nnewi on Wednesday, April 16, 2025. The incident has triggered concern and outrage from Nigeria’s foremost indigenous automobile manufacturer, which described the exercise as sudden, unexplained, and potentially targeted.

Unannounced Demolition Sparks Panic

According to Mr. Cornel Osigwe, Head of Corporate Communications at Innoson Group, the demolition took place without prior notice to the company. He emphasized that the company was completely unaware that the building had been slated for demolition.

“The demolition came to us as a surprise,” Osigwe said. “We did not know that the building itself was marked for demolition and if it was, they should have given us time to relocate.”

Osigwe also noted that employees were inside the facility when the demolition began, causing panic as some staff members were trapped momentarily before being evacuated. Additionally, over 20 vehicles were reportedly caught in the building during the partial destruction, raising concerns about property damage and potential legal implications.

Questions Over Selective Demolition

Innoson’s spokesperson raised a red flag over the demolition process, pointing out inconsistencies in the handling of nearby structures that were also reportedly marked.

“There were other buildings close to the head office that were marked for demolition but were left untouched. Yet, the demolition team came directly to our building. This leads us to question if there was another motive behind the action,” Osigwe said.

Although he stopped short of directly accusing the state government of targeting the company, he expressed uncertainty over whether there might be individuals within the administration who harbor a personal grudge.

“Governor Soludo has always supported Innoson, and we have been strong supporters of the Anambra State Government,” Osigwe stated. “But the way and manner this happened raises questions. We are beginning to wonder if those handling the demolition have personal vendettas against the company, unknown to the governor.”

Government Justifies Action

Responding to the uproar, Anambra State Commissioner for Works, Mr. Ifeanyi Okoma, defended the government’s decision. He explained that the IVM head office was among numerous structures designated for demolition as part of a broader road expansion and traffic decongestion initiative.

“These buildings were marked as far back as December or January. It’s not about individuals—it affects everyone along the stretch of road. Even the Catholic Church and several other buildings are not exempt,” Okoma said.

He emphasized that the road project aims to decongest traffic that becomes severe during the festive season, especially in busy areas like Nnewi. “The demolitions are not personal. They are part of urban renewal and public interest,” he added.

Okoma also reiterated the government’s support for Innoson, pointing out that Governor Charles Soludo remains a strong advocate of the company. “Soludo is the only governor nationwide that uses made-in-Nigeria vehicles exclusively. Chief Innoson is our man. Anyone creating a false narrative about this demolition doesn’t mean well,” he concluded.

Historical Ties and Recent Frictions

The relationship between the Anambra State Government and Innoson Group has historically been cordial, especially under Governor Soludo, who has made vocal commitments to patronize local manufacturers. Since his assumption of office in 2022, Soludo has publicly supported the use of locally manufactured goods and was among the first governors to use IVM vehicles as the official government fleet.

However, this incident has cast a shadow over that partnership, raising questions about internal coordination within the government and how much oversight the governor has over field-level actions by state agencies.

This is not the first time Innoson has faced government-related tensions. In the past, the company has clashed with regulatory bodies and banks over property disputes, financial claims, and enforcement actions. However, this particular situation is striking because it involves a state government that had previously held the company in high regard.

The Bigger Picture: Infrastructure vs. Indigenous Business Support

The ongoing debate centers around whether critical infrastructure development should override the interests of indigenous businesses—especially those like Innoson, which play a significant role in promoting local industrialization. Stakeholders have voiced concern that the lack of communication and inadequate transition period could send the wrong signal to investors and entrepreneurs in the state.

Nnewi, often called the industrial hub of southeastern Nigeria, is home to several indigenous manufacturers. It has long been a symbol of entrepreneurial excellence. Any perceived government hostility toward a flagship company like Innoson could have a ripple effect on business confidence and regional industrial development.

Reactions From the Public and Civil Society

Public reactions have been mixed. While some residents supported the road expansion project, others criticized the manner in which the demolition was carried out. Civil society groups have urged the state government to investigate the incident thoroughly and provide compensation if any wrongdoing or lack of due process is confirmed.

There are also calls for Governor Soludo to personally intervene and ensure that such incidents do not occur in the future, particularly against firms that contribute to the local economy and employment.

A Call for Dialogue and Reconciliation

Innoson has yet to announce any legal action, but insiders say the company is exploring its options. Analysts believe that a dialogue between the state government and the company could help prevent the situation from escalating further and damaging the reputation of both parties.

While infrastructure development is a pressing need in rapidly growing urban centers like Nnewi, stakeholders argue that it must be pursued in a manner that respects business operations, protects investments, and upholds fairness. As the dust settles on this incident, the hope remains that the Anambra State Government and Innoson Group can find common ground to rebuild trust and ensure mutual development.