M a r k e t N e w s
President Kenyatta To Boost Efforts To Place Kenya Among Top Automakers In Africa
Posted on : Friday, 22nd March 2019
Kenya is all set to become a topmost vehicle manufacturing giant, if the high potential undertaken by President Uhuru Kenyatta’s administration to energies the automotive industry results into action. Global car maker Nissan has announced investment plans of Sh2 billion in a local assembly line, a move that will make Kenya only the 21st country where the company manufactures its vehicles.
Along with global vehicle makers who have already expressed interest of manufacturing locally, Nissan will also become the eighth company to set up an assembly plant in the country.
In a bid to boost the Big Four Agenda in manufacturing, President Uhuru Kenyatta has resorted to boost vehicle assembly sector. This will be an extensive growth for Kenya’s automotive industry which is growing at an impressive 11% per annum. Also the country is expected to hit a motorization rate of 56% by 2030, far exceeding Africa’s rate of 42%.
Nissan is expected to first assemble Nissan pickups from semi-knockdown kits on the condition that the government comply to waive a 25% import tax. The company will submit a proposal to the government once market studies and due diligence studies have been completed and is expected to have an operational assembly line by the end of 2019 if it receives the green light.
Source : www.tuko.co.ke
