The Kenya Auto Bazaar Association (KABA) has said the government proposal to limit the age of imported used cars will work to kill the industry consequently punishing the poor.
KABA reiterated its opposition to the government’s proposed policy on imported used cars, saying it is a “total failure”, noting the industry is not as vibrant as the public imagines.
Trade and Industry Cabinet Secretary Peter Munya says the Draft National Automotive Policy, prepared by his ministry, proposes to limit the age of imported used cars with engine capacities of more that 1500 cc from eight years to five this year, and then to three years in 2021.
The plan caused uproar among used vehicle dealers who claimed it is a ploy by the government to punish the poor.
Mr Munya says the plan is intended to promote the local car manufacturing industry but Kaba chairman Major (Rtd.) John Kipchumba laughed this off saying that for a very long time, “Kenyans have deliberately been misled into believing the country has a vibrant local automotive manufacturing industry”.
“If the ministry insists that the country has local automotive manufacturers, can the ministry then publicly table a list of local companies currently manufacturing cars or even vehicle components in Kenya and confirm if they are, indeed, also meeting the 40 percent local content requirement?”
Mr Munya’s assertions may have been informed by the activities of motor companies such as Isuzu East Africa along Mombasa road in Nairobi, Kenya Vehicle Manufacturers Limited (KVM) in Thika and the Associated Vehicle Assemblers Limited (AVA) in Mombasa.
Mr Kipchumba reminded him that these companies are not local but importers and assemblers of semi-knocked down parts and essentially local agents of auto manufacturing companies based abroad.
The Constitution provides for public participation in the formulation of public policies, laws and other serious engagements that the government plans to undertake.
