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The government, through the Ministry of¬†Industrialisation, has unveiled two new ways they plan to use in reducing the number of second-hand cars flooding the country.
The Standard carried a report revealing that the state was looking into further reducing the age of imported cars to three years by 2021
A draft policy drawn up by the state, explained that the move is aimed at growing the local assembling of cars by significantly eliminating its major competition.
The policy further revealed that the government was willing to offer to scrape¬†rebates for motorists who dispose of their aged vehicles for new locally assembled ones.
‚ÄúThe government will implement a phase-out plan to reduce the importation of used vehicles in the Kenyan market while facilitating the local manufacturers to bring to the market affordable vehicles for diverse domestic market segments that can replace the shortfall emanating from the reduction in used vehicle importation,‚ÄĚ read part of the policy.
The policy has reportedly already been floated for public participation.
The move is expected to uplift the number of locally-assembled car units sold in the country which have remained stagnant despite the entry of two major automakers.
‚ÄúUnder the right policy and investment conditions; full capacity single shift production of 34,000 units (which would create over 150,000 jobs) can only replace 38 percent of total imported fully built units,‚ÄĚ continued the statement.
In January this year,¬†Trade and Industry Cabinet Secretary¬†Peter Munya¬†revealed that by 2021, the country will no longer permit the importation of any used vehicles above 1500cc.
CS Munya further indicated that Kenya will stop the importation of vehicles above 1500cc that are older than 5 years by end of June 2019.
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