In a significant step toward deepening its participation in the African Continental Free Trade Area (AfCFTA), Nigeria has officially launched a dedicated air corridor linking Nigerian exports directly to three key African markets — Kenya, Uganda, and South Africa.

The announcement was made on Sunday, May 19, by Nigeria’s Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, via her official X (formerly Twitter) account.

“On Africa Day, we launch a bold new air corridor linking Nigerian goods to AfCFTA markets—via Uganda Airlines—cutting logistics costs by 50–75%. This opens access to Uganda, Kenya & South Africa,” Oduwole said, noting the initiative’s alignment with the objectives of the continental trade bloc.

The air corridor, to be operated by Uganda Airlines, is designed to support the export of Nigerian-made products — including textiles, cosmetics, and agro-products — into participating AfCFTA markets with greater efficiency, reliability, and affordability. Exporters are expected to see a drastic reduction in logistics costs, which have long been a barrier to accessing African markets.

The launch also coincides with Nigeria’s formal gazetting of AfCFTA tariffs, a move that now legally enforces the country’s tariff commitments under the trade agreement. The Federal Government has confirmed that Nigerian exporters will now benefit from significantly reduced tariffs on 90% of goods, positioning Nigerian products to compete more effectively across the continent.

A Key Step in Unlocking AfCFTA’s Promise

The development marks a major milestone in Nigeria’s efforts to move beyond oil dependency by boosting non-oil exports and expanding access to the African market through infrastructure tailored to the continent’s growing economic integration.

The AfCFTA, established in 2018 and operational since January 2021, aims to create a single market for goods and services across 54 of Africa’s 55 countries, representing a population of 1.4 billion people and a combined GDP of over $3.4 trillion. By eliminating tariffs on 90% of goods and removing other non-tariff barriers, the agreement seeks to increase intra-African trade, which currently stands at just 15% of the continent’s total trade — one of the lowest regional trade levels in the world.

Nigeria, Africa’s 4th largest economy, was among the last countries to sign the agreement in 2019 but has since moved to speed up implementation. In April 2025, the country formally transmitted its ECOWAS Tariff Schedule for Trade in Goods to the AfCFTA Secretariat, enabling it to operationalize zero duties on 90% of traded products under the bloc.

According to the Ministry of Industry, Trade and Investment, Nigeria has already commenced a phased implementation of its tariff commitments, reducing import duties on trade with least-developed African countries by 50% and cutting them entirely — by 100% — for trade with developing African countries. These tariff reductions, applied annually, are part of the 10-year strategy designed to ease Nigeria into the full AfCFTA framework.

The air corridor is seen as a practical and immediate intervention to back these policy changes with real trade facilitation. By offering exporters quicker, safer, and more direct logistics options, the corridor is expected to create better access to continental demand and allow Nigerian SMEs — particularly in manufacturing and agro-processing — to compete on stronger footing.

Broader Economic Potential of AfCFTA

The United Nations Economic Commission for Africa (UNECA) estimates that the AfCFTA could boost intra-African trade by 52.3% by 2025. If successfully implemented, the agreement could lift 30 million Africans out of extreme poverty and raise the incomes of 68 million others, according to a joint report by the World Bank and the AfCFTA Secretariat.

The AfCFTA is also projected to generate combined consumer and business spending in Africa of $6.7 trillion by 2030, according to the African Export-Import Bank (Afreximbank). Analysts see this as a golden opportunity for African countries to shift away from extractive exports and toward value-added production that circulates within the continent.

While the current air corridor covers just three countries — Kenya, Uganda, and South Africa — it is expected to expand in the near future.

The idea is to replicate the corridor framework to other high-demand export destinations within the AfCFTA bloc, such as Ghana, Egypt, Rwanda, and Côte d’Ivoire, depending on trade flows and product demand.

Uganda Airlines, the carrier for the initial route, is expected to release further operational details, including freight schedules and cargo handling processes. Government sources say preparations are being finalized to ensure exporters can begin booking cargo space “within weeks.”

Nigeria Moves From Promises to Action

The launch of the air corridor and the gazetting of AfCFTA tariffs show a marked shift in Nigeria’s approach, which had previously been criticized as slow and bureaucratic. Trade experts have long pointed to the need for structural reforms, customs harmonization, and trade infrastructure as prerequisites for Nigeria to take full advantage of AfCFTA.

With the air corridor now in place, coupled with legally enforced tariff reductions, Nigeria is beginning to translate its AfCFTA commitments into actionable programs with visible impact.

For Nigerian exporters and manufacturers, the hope is that this corridor will be the first of many, making intra-African trade not just possible, but profitable.

Xiaomi is escalating its challenge to Tesla’s dominance in China’s electric vehicle market with the unveiling of its second EV model, the YU7 SUV, which the company claims delivers a longer driving range than Tesla’s best-selling Model Y.

The announcement, made late Thursday during a product showcase, marks another bold move by the electronics maker as it expands its automotive ambitions. According to Xiaomi, the YU7 will offer a range of at least 760 kilometers (472 miles) on a single charge—outperforming Tesla’s Model Y, which has a maximum advertised range of 719 kilometers for its extended-range model sold in China.

“We expect the YU7 would significantly erode Tesla Model Y’s China market share,” said Citi analyst Jeff Chung in a note released Sunday.

Citi projects that the YU7 will be priced between 250,000 yuan and 320,000 yuan ($34,700 to $44,420), directly putting it in competition with the Model Y, which starts at 263,500 yuan in China. Xiaomi said it would reveal the official price at the car’s launch in July, and Citi forecasts monthly sales of around 30,000 units or annual sales of up to 360,000 units.

The YU7’s launch follows the release of Xiaomi’s first EV model, the SU7 sedan, which debuted less than a year ago and quickly climbed China’s sales charts. Priced at 215,900 yuan, about $4,000 cheaper than Tesla’s Model 3 at the time, the SU7 has been received well despite a recent fatal crash that prompted regulatory caution around driver-assist marketing language.

In April alone, Xiaomi delivered over 28,000 SU7 units, down slightly from March’s 29,000 units. However, Xiaomi’s momentum has put the company firmly in competition with Tesla and other local EV players.

“The YU7 is a luxury SUV and could outperform the SU7 sedan in sales,” said Elinor Leung, managing director of Asia telecom and internet research at CLSA.

Meanwhile, Tesla’s Model Y, which had been the second most sold new energy vehicle (NEV) in China from November through April, fell to eighth place in April, according to data from Autohome. BYD’s ultra-budget Seagull topped the April sales list, followed by the Wuling Hongguang Mini and Geely’s Geome Xingyuan. Xiaomi’s SU7 ranked fourth, further emphasizing the brand’s rapid ascent.

Tesla’s global sales decline has been attributed to its CEO, Elon Musk’s politics. Scott Galloway, a marketing professor at New York University, described Tesla’s growing image problem amid global EV competition as “one of the greatest brand destructions of all time,” following a storm of reputational setbacks. Musk added to that narrative by announcing on Saturday that he would now focus on his core ventures, reversing a week-long public flirtation with political endorsements and media attention.

BYD Shares Plunge Amid Price Cuts

While Xiaomi pushes forward with high-end offerings, BYD, China’s largest electric vehicle maker and Tesla’s top rival in the country, is intensifying competition at the other end of the market. On May 23, the company slashed prices on 22 electric and plug-in hybrid models, prompting its shares to plunge as much as 8.25% on Monday, a steep drop from their record high just last week.

The company announced the price cuts on Weibo, China’s top social media platform, as part of a promotion that runs through the end of June. The Seagull hatchback, already a bestseller, saw a 20% price reduction to 55,800 yuan ($7,780), while the Seal dual-motor hybrid sedan had its price slashed by 34% to 102,800 yuan.

These are just the latest in a string of cuts. Earlier this year, BYD launched new versions of its Han sedan and Tang SUV at starting prices 10.35% and 14.3% lower, respectively, than previous versions.

According to Citi analysts, these adjustments have significantly boosted consumer interest. Foot traffic at BYD dealerships between May 24 and 25 jumped 30% to 40% compared to the prior weekend.

Sector-Wide Fallout

The aggressive pricing strategy has spooked the market. On Monday, shares in several major Chinese automakers declined as investors braced for a potential price war. Geely Automobile shares were down 7.29%, Great Wall Motor Co fell 2.94%, Li Auto dropped 4.93%, and Xpeng shares fell 4.19%.

Despite the share declines, analysts at Citi remain upbeat about the broader outlook for China’s EV sector. In a note earlier this month, they wrote: “We expect BYD new energy vehicle 2025/2026 sales volumes of 5.75 million/7.2 million units on high-end brand sales growth, much better demand-supply relationship within the PHEV sector, wider average selling price positioning within the battery EV segment penetrating both the lower-end and higher-end segments going forward, and decent export sales growth.”

Xiaomi’s Strategic Edge

With the YU7 targeting the mid-to-high-end segment and the SU7 already disrupting the premium sedan space, Xiaomi is carving out a unique position. The company is leveraging its strengths in electronics, user experience, and integration with its wider ecosystem—allowing its cars to seamlessly interact with Xiaomi smartphones, tablets, and smart home devices.

The YU7 was reportedly introduced during the same event that Xiaomi used to launch a new premium smartphone, featuring a proprietary chip the company claims outperforms Apple’s on key metrics.

As rivals race to cut prices, Xiaomi appears to be betting on value through innovation, rather than undercutting competitors. Its strategy stands in contrast to BYD’s mass-market discounting and Tesla’s global brand reliance—one that is increasingly under strain in China.

The Nigerian Communications Commission (NCC) has issued a landmark directive compelling telecom operators to inform subscribers of major network outages and compensate them if such disruptions persist for more than 24 hours.

This directive, which marks a significant policy shift in Nigeria’s telecom sector, was announced in a statement by the Commission’s Acting Director of Public Affairs, Mrs. Nnena Ukoha, and is aimed at enhancing service transparency and enforcing consumer protection across the board.

According to the NCC, Mobile Network Operators (MNOs), Internet Service Providers (ISPs), and last-mile service providers are now required to promptly notify consumers via public channels — such as print, broadcast, and digital media — of both unplanned and planned service outages, indicating the cause, the affected areas, and expected restoration timelines.

In the case of planned service disruptions, operators must issue public notifications at least seven days before the outage occurs. For unplanned disruptions, operators must immediately disseminate information using accessible public communication platforms.

A Major Shift in Consumer Transparency

Until now, telecom subscribers in Nigeria have long complained of being left in the dark during service disruptions, with most operators offering little to no information when network issues arise.

Subscribers often experience dropped calls, slow or unavailable data connections, and full blackouts, but operators have rarely provided official explanations. These disruptions, sometimes lasting for hours or days, have typically gone without warning or updates, causing frustration and losses for users who rely heavily on mobile services for personal and business communication.

The NCC’s directive seeks to correct this pattern.

The Commission’s new guideline goes further by mandating compensation for subscribers when outages exceed 24 hours. This compensation may include validity extensions for data and airtime, discounts, or equivalent service value, as contained in the Consumer Code of Practice Regulations.

The Commission stated that where a service outage lasts more than 24 hours, consumers shall be entitled to compensation in the form of airtime/data top-up, validity extension or any other form of value proportionate to the time of outage.

What Constitutes a Major Outage?

To ensure accountability, the NCC defined what qualifies as a “major outage,” stating that telecom operators must report and disclose any outage that fits the following:

• A network condition, such as fiber cuts, vandalism, theft, or force majeure, which affects 5% or more of an operator’s subscriber base, or services in five or more Local Government Areas (LGAs).
• The unplanned shutdown of 100 or more base stations, or 5% of total sites (whichever is lower), or the complete loss of a network cluster for 30 minutes or longer.
• Any disruption that significantly degrades service in Nigeria’s 10 most trafficked states, as identified by the Commission based on current traffic data.
• These outages must not only be publicly disclosed but also logged in real-time via the Commission’s Major Outage Reporting Portal, which is now open to the public through the NCC’s official website (www.ncc.gov.ng).

The NCC said the directive follows a pilot phase in which it tested the reporting process with telecom operators over several months.

Engr. Edoyemi Ogor, Director of Technical Standards and Network Integrity at the Commission, said: “By providing consumers and stakeholders in the telecommunications industry with timely and transparent information on network outages, we are entrenching a culture of accountability and transparency,” he added.

Ogor emphasized that beyond consumer information, the policy will also aid in tracking sabotage to telecom infrastructure.

“This approach ensures that culprits are held responsible for sabotage to telecommunications infrastructure. It reinforces the need to safeguard these assets, given their centrality to national security, economic stability, and the everyday lives of Nigerians,” he said.

Backed by Executive Order

The new directive also aligns with the Executive Order recently signed by President Bola Ahmed Tinubu, which designates telecom infrastructure as Critical National Information Infrastructure (CNII). This classification places telecom assets under special protection and reinforces the need for their continued security and operational stability.

Public Accountability Through the Portal

The Major Outage Reporting Portal is a key component of the directive. Accessible to the public, it offers transparency by displaying real-time updates about network issues across the country. The portal will also show which entities, including construction companies or vandals, are responsible for any reported infrastructure damage.

The move represents the first time the Commission is compelling operators to maintain a public-facing log of infrastructure faults, disruptions, and their causes, allowing both the public and the regulator to monitor trends and responses.

Telecom industry observers and consumer rights advocates say the NCC’s directive is long overdue.

Following its approval of a 50% tariff hike, the NCC demanded that the telcos improve their services – offering commensurate services to subscribers. The NCC’s new directive, mandating public communication and tying it to customer compensation, is seen as a way of holding the telecom service providers accountable.