Government supports automotive sector to ensure the industry realizes its full potential, says CS Miano
BY VICTOR ADAR
The government has assured local automotive solution providers and investors of further support in adopting new-generation mobility solutions.
Speaking during tour of Toyota Manufacturing Plant in Nagoya, Japan, Ministry of Investments, Trade and Industry (MITI) Cabinet Secretary (CS) Rebecca Miano said the government will continue collaborating with automotive sector stakeholders to ensure the industry realizes its full potential.
In return, Ms Miano urged automotive sector players led by Toyota Tsusho corporation to return the favour by scaling up their local assembly and local manufacture of automotive parts and components in Kenya. The country, she said, is well placed to act as one of the key manufacturing hubs for Toyota, serving the continent under the African Continental Free Trade Area (AfCFTA) agreement protocols.
The CS accompanied by the State Department for Industry Principal Secretary DR. Juma Mukhwana, is in Japan to attend the G7 Trade Ministers’ Meeting in Sakai, Osaka, Japan. Kenya is the only African country invited to the G7 meeting. Other invited countries and international organizations attending the meeting include Australia, Chile, India, the World Trade Organization (WTO), the Organization for Economic Co-operation and Development (OECD) and the Economic Research Institute for ASEAN and East Asia (ERIA).
While noting the technological advances adopted by Toyota in the development of Hybrid Electric Vehicles (HEV) engine-powered vehicles, Ms Miano, accompanied by CFAO Motors Kenya Chairperson Amb. Dennis Awori, welcomed plans by Toyota Tsusho and its local partner CFAO Motors Kenya to step up the local marketing and sales of Hybrid vehicles.
“I have noted that so much goes into the manufacture of automobiles, and I encourage you to roll out more of such operations to our local level. This will culminate in the transfer of requisite technology to our youthful population amongst other benefits,” She said, adding that “Kenyans are relatively well skilled and can easily adapt to new technologies and systems of doing things.”
During the factory tour led by Toyota Tsusho Corporation President & CEO Mr Ichiro Kashitani, Ms Miano welcomed efforts by Toyota to facilitate the transition from fossil fuel-powered engines to renewable energy-powered engines by introducing hybrid engines as part of the national energy transition agenda.
As part of investment and industrial promotion efforts, her Ministry, she said, will support Toyota’s efforts to collaborate with the Kenya Government in capacity building to foster mutual benefits. She confirmed that collaborative efforts focused on local assembly and enhanced local content applications in the sector remain a key priority as the government seeks to raise the manufacturing contribution to GDP to 15% by 2027.
Attesting to Kenya’s investment-friendly environment, Ms Miano said great strides have been taken at the Toyota Fortuner Assembly Plant in Mombasa following its Presidential launch last July. The National Automotive Policy, she added, is steering the country towards enhanced local assembly through the gradual phase-out of used imports and propelling Kenya’s automotive industry to new heights.
On his part, CFAO Motors Kenya Chairman Amb. Dennis Awori reiterated the global Toyota commitment to reducing CO2 emissions and confirmed that the company is working to become carbon neutral (CN) by 2050. As part of the commitment, CFAO Motors Kenya, Amb. Awori said, will continue to enhance its Hybrid Engine Vehicles (HEV) offering in the local market.
“Toyota believes that HEVs will continue to be an important option in areas that lack clean power and charging infrastructure,” he said.
