Toyota Kenya to add more car models to local assembly line

Posted on : Monday, 2nd March 2020

Toyota Kenya aims to add new models to their local assembly line. The motor vehicle manufacturer already assembles Land Cruiser pick-up trucks, Toyota Hilux locally and Hino trucks.

The Managing Director of Toyota Kenya Limited, Mr Arvinder Reel said that they plan to present the new models from April to June, as they target to make it easier for Kenyans to purchase more first-hand cars. Local assembly makes that possible.

Toyota Kenya, which also gathers Yamaha motorcycles, started the assembly of 7 models of the Toyota Hilux pick-up trucks in October 2019, pumping in Sh100 million with the ambition of manufacturing 500 units in the year starting the launch date.

The Hilux KD assembly line was commissioned by President Uhuru Kenyatta on October 18, 2019. Mr Reel mentioned that the objective was well within reach as they had coped up to manufacture 100 vehicles between October and December 2019.

Toyota, which arrived in Kenya in 1964 as Toyota Tsusho Corporation (TTC), presently has 8 local branches, 5 dealers, 18 authorised service centres and over 520 workforce, according to Mr Reel.

Toyota Kenya, which is pursuing to reach sales target of 13,000 in 2020, managed to sell 12,876 vehicles in 2019, a drop from the 14,003 they had sold in 2018.

General Manager, operations at Toyota Kenya, Joshua Anya said that with the achievement of the company in 2019, the Suzuki franchise in which they sell and distribute the Suzuki brand and the 2019 signing of a deal with Tyre Distributor Africa Limited (TYDIA) to sell Michelin tyres in Kenya, Toyota fortunes will only mature as the producer aims to serve the Kenyan market to the best of its ability.

We offer after sale services, the follow up helping us learn customer preferences and contentment. We are able to offer strategies to our customers and satisfy their corresponding needs. Follow ups on sales, in addition to having a broad web of networks, are significant in maintaining our market share, he said.

Bestowing to data shared by Mr Reel, Toyota Kenya had 24 percent of the total market share for trucks and buses in 2019, trailing Isuzu which had 38 percent. In a category that omitted trucks and buses, Toyota was the market leader with 49 per cent of the share market, Isuzu coming second at 17 percent.

The government lease share has also advanced Toyota Kenya market in previous years, with 1380 vehicles obtained in 2018. Mr Reel further praised the government which contributes to 35 percent of the total Toyota market share.

The procurement is split between the county and national governments. He conveyed his gratefulness towards the government for paying part of the pending bills in January, which has relieved compensation by county government to contractors, Toyota Kenya being part of the affected.

Toyota Kenya, which has enhanced police fleet accessibility from 35 percent to 97 percent, offers the government of Kenya drivers training, so far having already trained 3,000 drivers across 41 counties.

The company held that they were assisting local industries and contributing keenly to the accomplishment of the Big 4 agenda, being dynamic players in manufacturing.

They are also pursuing partnership with local industries to recognize parts of their vehicles that can be locally manufactured.