The United Kingdom says it is opposed to Kenya’s ban on the importation of used buses and trucks because it believes the rules go against the bilateral trade pact between London and Nairobi.
Kenya has since 2022 sought to freeze the importation of used vehicles measuring more than seven metres in length in a bid to support the local assembly industry.
But the plan has faced resistance from a raft of interested parties, including London and long-distance transporters.
“The UK is aware that the announced ban on importation of used vehicles may be contrary to our Economic Partnership Agreement with Kenya (EPA),” said Tom Walker, head of East Africa Campaigns at the British High Commission in Nairobi.
“We will continue to work with our Kenyan partners to ensure frictionless trade between our two countries.”
Kenya’s bid to ban second-hand “minibuses, large buses, single articulated and bi-articulated business and double-decker buses” started during the administration of Uhuru Kenyatta when the Kenya Bureau of Standards published fresh standards on used vehicles in April 2022.
The rules, which were initially to come into force in July 2022 but started taking effect last year, largely affect “all used rigid trucks with a gross value mass (GVM) equal to or greater than 3.5 tonnes and up to and including 30 tonnes.”
Importers of tractor heads and prime movers not older than three years have, however, been given a grace period of a year, which lapses this year.
The UK largely manufactures Leyland trucks, but a considerable number of second-hand Ford and Fiat (of Italy) prime mover trucks and Caterpillar construction and mining equipment are shipped into Kenya from the UK.
London says the policy shift from the prevailing rules, which allow the importation of used vehicles not older than eight years, could create business uncertainty contrary to the UK-Kenya Economic Partnership Agreement.
The EPA, which followed Britain’s exit from the 27-nation European Union in January 2020, came into force on March 23, 2021.
Used commercial vehicle dealers have also protested the ban on second-hand trucks and buses, citing resultant supply gaps.
The dealers have also said the inconsistent policy on used vehicles in the East African Community (EAC) will shift the business to neighbouring countries as local players face closure. They reckon other EAC member states continue to allow imports of used commercial vehicles, which also operate transport businesses in Kenya, adding that most European models of prime movers are not assembled locally.
Kenya allows the import of second-hand cars not older than eight years, while Tanzania has set its limit at 10 years. Rwanda, Burundi, and South Sudan do not have limits.
The contested standards do not affect the importation of small vans of up to seven metres in length and personal cars such as saloons and sport utility vehicles, which are not older than eight years.
Under the Kenya-UK trade pact, disputes are handled and resolved by the EPA Council.
The EPA Council is made up of ministerial representatives from both countries tasked with ensuring the smooth implementation of the trade deal, which came into force in March 2021, including addressing major trade issues that arise.
The Kenya-UK EPA preserved duty- and quota-free access to the UK for Kenya’s largely agricultural produce, such as cut flowers, coffee, tea, fruits, and vegetables.
The deal, however, provides a window of seven years after ratification by Kenyan and UK parliaments for non-agricultural goods from the UK to start enjoying preferential import duty.
The tariffs on UK products such as vehicles, machinery, boilers, printed books, paper, and paperboard will gradually be phased down from the seventh to the 25th year, when they will be abolished, except for sensitive imports, which will continue to attract applicable 25 percent duty.
The sensitive list of goods protected from competition from UK imports includes agricultural products, wines and spirits, textiles and clothing, footwear, and ceramic products.
