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Originally published by Kenyans
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February 3, 2026
3w ago

Govt Reveals Plans for Cheaper Cars After Tax Hike

Govt Reveals Plans for Cheaper Cars After Tax Hike

Kenya has a long history of vehicle assembly, and the government argues that local assembly is cheaper than importing cars...

✨ Key Highlights

Kenya has signed an agreement with a Japanese company to manufacture specific car models locally, aiming to make new vehicles more affordable than imported used cars. This initiative seeks to boost Kenya's automotive manufacturing capacity and reduce reliance on second-hand imports.

  • Locally assembled cars will retail for approximately Ksh 9.9 million, a 27 percent reduction from the previous price of Ksh 13.5 million.
  • Trade Cabinet Secretary Lee Kinyanjui announced the deal on Monday, February 2.
  • The agreement makes Kenya the first nation outside Asia to manufacture one of the company's models, with vehicle components also being manufactured locally to further drive down costs.

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