Friday, April 24th 2026

FG, Inner Galaxy Group Sign Pact to Boost Nigeria’s Steel Production


FG, Inner Galaxy Group Sign Pact to Boost Nigeria’s Steel Production
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The Federal Government has signed a declaration with Inner Galaxy Group’s Stellar Steel Company Limited to accelerate Nigeria’s industrialization and achieve self-sufficiency in steel production.

The Minister of Steel Development, Prince Shuaibu Abubakar Audu, disclosed this in a statement on Tuesday, October 28, 2025, following the signing ceremony in Abuja.

Audu described the agreement as a major milestone in President Bola Tinubu’s administration’s drive to revive the steel sector and position it as a catalyst for economic growth toward a $1 trillion economy by 2030.

According to a statement signed by the minister’s media aide, Lizzy Okoji, the new steel plant will be developed in phases, with the first phase scheduled to begin production by the end of 2026.

“The project will encompass a full industrial chain — from iron ore mining and smelting to steel processing and sales — positioning Nigeria as a regional hub for steel manufacturing in West Africa,” the statement read.

Industrial Growth and Job Creation

Audu reaffirmed the Federal Government’s commitment to providing fiscal incentives, infrastructure support, and an enabling regulatory framework to attract strategic investors to the steel sector.

He said the initiative aligns with President Tinubu’s Renewed Hope Agenda to promote industrial growth, reduce import dependence, and create sustainable jobs for Nigerians.

The project supports Nigeria’s target of producing 10 million tonnes of crude steel annually by 2030 and is expected to save over $1 billion in foreign exchange outflows each year. It is also projected to create more than 2,000 direct and 20,000 indirect jobs, stimulate downstream industries, and promote eco-friendly steel production.

Environmental Sustainability

Signing on behalf of Stellar Steel, Group Chairman Xiaotian You expressed the company’s commitment to deploying advanced technologies and adhering to environmental sustainability standards.

He said Stellar Steel would implement a localised recruitment and training programme in collaboration with Nigerian universities and technical institutes to build capacity in steel technology and management.

Audu recalled that the ministry had earlier performed the groundbreaking for a $400 million steel plant in Ewekoro, Ogun State, in April 2025, adding that the ongoing investments would serve as benchmarks for modern steel production in Nigeria.

Also present at the signing were the President of Inner Galaxy Group, Li Shuang, Vice President Jackie Chen, and a Director of RSIN Group.

 

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