Toyota Nigeria Limited (TNL) and one of its dealers, Globe Motors Holdings Ltd (GMHL) have decided to sever ties due to the violation of a dealership agreement between both parties. This is according to Daily Trust.
The Details: It was gathered that both parties chose to terminate their longstanding partnership of 25 years over warranty issues.
What this means: Globe Motors can no longer participate in the sale of Toyota vehicles, service and parts, thereby shortening the number of accredited Toyota dealers to seven in Nigeria.
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This leaves Elizade Nigeria Limited, RT Briscoe (Nigeria) PLC, Omoregie Motors Limited, Germaine Auto Centre Limited, Mandillas Enterprises Limited, Metropolitan Motors Limited and Kojo Motors with the rights to market vehicles, service and parts for Toyota in Nigeria.
Commenting on the relationship, the source said, “The relationship has waxed stronger over the years with a steady expansion of the models/variants marketed by TNL and we would never compromise on this.”
Globe Motors responded that it was unfazed about the whole development. Nevertheless, it asserted its strength as the biggest importer of Toyota vehicles in the last 25 years.
Toyota is especially known for its genuine manufacturer’s warranty offer on vehicles and parts; repair services by Toyota Japan trained technicians, technical support on repairs and business expansion, tropicalized vehicles designed for Nigerian market and road conditions, among others.
Toyota Nigeria Limited (TNL) was licensed as the sole authorized distributor to sell and promote vehicles and parts on behalf of Toyota Motor Corporation (TMC) of Japan.