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Ban on Used Truck Imports to Boost Local Assemblers

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Nyakundi Report

Newsroom 2 min read

This archive report was first published on 8 September 2019.

Kenya's move to ban imports of used trucks with load capacities of 3.5 tonnes and above is set to benefit local assemblers, particularly Isuzu East Africa and Simba Corporation.

According to the new standards for motor vehicles published by the Kenya Bureau of Standards (Kebs), the ban is aimed at promoting local vehicle assembly.

The new standard, KS 1515: 2019, replaces the existing one that has been in place since 2000 and is expected to come into force in the coming weeks.

Isuzu East Africa and Simba Corporation are expected to benefit from the ban, which is estimated to boost demand for their products.

Isuzu East Africa's CEO, Rita Kavashe, said that the ban will significantly boost local assembly, with the company estimating that imports of used trucks in the targeted category stand at 10,000 units per year.

At 10,000 units, the estimated imports of used trucks are equal to 70 percent of all annual motor vehicle sales, meaning that assemblers like Isuzu and Simba could see their output triple once the ban is implemented.

However, the ban does not apply to all used trucks, with some exceptions, including tractor heads or prime movers which are older than five years from July 2019, three years from July 2021, and zero age from July 2023.

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