Uhuru Creates New Council After Sector Produces 100,000 Jobs

  • President Uhuru Kenyatta during the vehicle launch at State House Kenya
    President Uhuru Kenyatta during the vehicle launch at State House Kenya Tuesday July 12, 2022
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    StateHouse Kenya
  • President Uhuru Kenyatta has established a council to develop and champion automotive industry policies in the country.

    Speaking on Tuesday, July 12, during the launch of the locally assembled Euro Mitsubishi L200 pickup at State House, Nairobi, the Head of State set up a National Automotive Council to play a crucial role in the automotive industry that has created employment for at least 100,000 Kenyans.

    Uhuru stated that the council would cement the government’s commitment to boosting the automotive industry in the country. 

    The National Automotive Council will facilitate the implementation of the National Automotive Policy, an initiative aimed at boosting the local assembling of motor vehicles.

    Uhuru Kenyatta inspecting the locally assembled vehicle
    Uhuru Kenyatta inspects the locally assembled vehicle at State House Kenya. Tuesday, July 12 2022.
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    StateHouse Kenya

    “I take note of the issue of getting the Council established and that is something we shall see if we can do before we leave office to ensure that we create that enabling environment for the necessary institutions that will see this particular industry continue on its growth trajectory and becomes once again predominant part of the Kenyan economy,” Uhuru stated.

    Industrialization Chief Administrative Secretary, David Osiany, said the council would ensure Kenya tops in the region in automotive manufacturing.

    “The industry has provided 100,000 direct and indirect jobs to Kenyans. The industry also contributes about Ksh30 billion per year to the government through taxation,” Osiany remarked.

    Osiany added that the automotive industry has the capacity to produce 30,000 vehicles per year but only 6,000 units are produced, less than 25 per cent of the expected capacity.

    Kenya - in partnership with Mitsubishi, Associated Vehicle Assembly (AVA), and Simba Corporation - is working to revive, stabilize, and grow the automotive sector.

    “Mombasa city - where the L200 is assembled - is an area that Japan has very strong commitment through giant projects such as the expansion of port facilities and development of Special Economic Zones,” stated Yasuhisa Kitagawa, Japanese Deputy Ambassador to Kenya.

    The President noted that Kenya had people making car parts like brake pads, windscreens, suspensions, and shock absorbers and the goal is to increase the number of people participating in the automotive industry.

    Nyayo car was the first motor vehicle to be assembled in Kenya in 1986. This move laid the groundwork for any future venture into the automotive industry. 

    Mobius Motors is the only indigenous motor vehicle manufacturer in the country established in 2010. It majorly produces SUVs suited for African roads and markets.

    jobseekers queuing on Wabera Street, Nairobi, waiting to be interviewed by The Sarova Stanley on May 26, 2018
    Jobseekers queuing on Wabera Street, Nairobi, waiting to be interviewed by The Sarova Stanley on May 26, 2018
    Daily Nation