Car prices in Kenya to double if new regulations pass, importers warn

The Kenya Auto Bazaar Association (KABA) now wants the government to do away with the new regulations on the age limit of vehicles stating that this would drive up the prices of vehicles imported into the country by up to 100%.

The  auto bazaar association Chairman John Kipchumba stated that reducing the age of all used imported cars from the current 8 years to 5 years by 2019, then to 3 years by 2021,  is not the right policy for the country.

“This will automatically mean that a car that would cost you Ksh.500,000 will now cost you at least Ksh.1.2 million,” said John Kipchumba, the association’s chairman.

Kipchumba further stated that the association is willing to entirely stop the importation of commercial vehicles on condition that 100% of the vehicles are assembled locally and 40% of the components be manufactured locally as well.

“The industry is willing to stop the importation of the commercial vehicles but they have to prove to us that they have capacity to make the cars here,” added Kipchumba.

Individuals, who were out scouring for vehicles to buy at the Sunday auto auction along Ngong Road, were also opposed to the new regulations stating that it would push vehicles out of their price range.

KABA says although the Draft National Automotive Policy is yet to be implemented, some of its recommendations are already exposing the widespread incompetence and lack of know how in the local vehicle assembly sector.

With the local assemblers completely unable to assemble the BRT buses according to the required specifications, the Ministry of Transport has been forced to import the buses from South Africa.