Isuzu East Africa has commenced the construction of a Sh3.1 billion parts distribution centre in Lukenya area near Athi River, as the company moves to enhance accessibility of spares for its vehicle brands.
During the groundbreaking ceremony on Wednesday, Isuzu board Chairperson and Managing Director Rita Kavashe said the facility would commence operations in November next year, adding that it would bring with it up to 80 new job openings.
Once complete, the new construction will see Isuzu expand the footprint of its parts division from the current 2,300 square metres to 10,544 square metres, with Ms Kavashe noting that this will guarantee up to 99 percent of parts supply within 48 hours.
Ms Kavashe termed the centre as part of Isuzu’s holistic business strategy to make genuine parts accessible through local outlets, as part of the larger drive to enhance the availability of quality automotive service among local communities.
“This new facility is a key milestone in our strategy to expand aftersales support and improve service delivery to our customers across Kenya and beyond,” she said.
“Aftersales solutions are critical because improper maintenance of the vehicle and use of counterfeit parts increases costs to vehicle owners and businesses, either through cancelled business contracts, delayed loan repayments, and extra costs in repair with genuine parts.”
The construction of the parts distribution centre comes at a time Isuzu has lined up plans to diversify into the electric vehicles (EV) market, with the first unit set for testing before the end of the year.
In a recent interview with the Business Daily, Ms Kavashe said the first vehicle will be an EV truck, with the company’s parent firm, Isuzu Motors Limited, expected to offer battery or fuel-cell powered options in all categories by 2030.
Isuzu Motors Limited, which plans to mass-produce EVs from next year, says it will use the appropriate technology to address the transportation needs of diverse customers.
Isuzu East Africa has sustained its market leadership in the sale of new vehicles over the years, tightening its grip during the first half of this year by extending the share to 48.35 percent from 47.94 percent last year.
Isuzu recorded the largest growth in orders among three major dealers and assemblers during the six-month period—alongside CFAO Mobility and Simba Corp—the trio of which control nearly 90 percent of the new vehicle market.
Isuzu, which sells pick-ups, buses, trucks and sport utility vehicles (SUVs), sold 3,075 units during the period, marking a 26.13 percent jump from 2,438 vehicles sold in a similar period last year.
