https://www.engineeringnews.co.za

Kenya's new car sales rebound in 2021 on economic recovery

13th January 2022

By: Reuters

  

Font size: - +

New car sales in Kenya jumped by a quarter in 2021 as economic growth rebounded from a pandemic-induced slump the previous year, driving up demand, the industry association said on Thursday.

The East African nation is a small market for new vehicles due to limited purchasing power, which leaves most consumers buying second hand imports from Japan. But it has attracted investment from global automakers such as Volkswagen in recent years due to its growth potential.

Dealers sold 14 250 new vehicles, the Kenya Motor Industry Association (KMIA) said, up from 11 086 in the previous year. Last year's figure was higher than before the pandemic. The industry sold 13 199 vehicles in 2019.

The government allocated 600-million shillings ($5.30-million) to stimulate demand for locally assembled vehicles.

Demand for new vehicles came from security services such as the police, construction projects and small and medium firms, which were boosting operations in the second half of the year.

The government, under President Uhuru Kenyatta, has been trying to encourage local assembly of vehicles through tax breaks for firms and curbs on used imports, to create much needed jobs for the youth.

Edited by Reuters

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Sika South Africa
Sika South Africa

Sika South Africa is a trusted partner for the nation’s infrastructure, commercial, residential, and industrial sectors.

VISIT SHOWROOM 
Vikela Aluvin (Pty) Ltd
Vikela Aluvin (Pty) Ltd

Complete range of security sealing solutions including security seals bags and labels.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.057 1.122s - 142pq - 2rq
Subscribe Now