An Egyptian auto dealer is planning to assemble and distribute passenger vehicles in Kenya.

The decision by Ghabbour Auto (GB Auto), which manufactures and assembles vehicles for carmakers such as Mitsubishi and Hyundai, follows the Kenyan government’s announcement that it plans to exempt locally assembled passenger cars from excise duty and other taxes in an effort to reduce the cost of vehicles and to encourage local assembly.

According to the Kenyan Wall Street, the locally assembled vehicles will be exempt from major taxes that apply to fully built imported units.

GB Auto, which distributes and markets heavy-duty and articulated trucks; buses; tractors; and pick-ups as well as passenger cars, will work to establish a joint venture in Kenya to facilitate the project.

3 May 2022
Image: Gallo/Getty Images