State moves to revive local car assembly with new Bill

Kenya is drafting a Bill linking tax breaks to local car parts sourcing to revive vehicle assembly and speed up the shift to electric mobility...
✨ Key Highlights
Kenya is drafting a new Bill to revive its local car assembly industry by linking tax breaks to the sourcing of local parts and promoting the shift to electric mobility. This legislation aims to increase local content in manufacturing and enforce the "Buy Kenya, Build Kenya" directive.
- The proposed Bill will tie tax incentives to sourcing parts from Kenyan suppliers, stating that "the more you buy locally, the less tax you pay."
- It will also reinforce a government directive requiring 40 percent of public vehicle purchases to come from local assemblers.
- Isuzu East Africa’s, Managing Director Rita Kavashe, highlighted the company's expansion to 93 outlets and its plan to begin assembling the Isuzu MU-X SUV locally later this year, making all its products Kenyan-built.
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