Egyptian auto dealer Ghabbour Auto (GB Auto), has announced plans to establish a joint venture to assemble and distribute passenger vehicles in Kenya.
The firm manufactures, assembles, imports and distributes vehicles for Volvo, Hyundai, Mitsubishi, and Bajaj.
GB Auto operates in trading, distributing, and marketing all vehicles including heavy trucks, semi-trucks, passenger cars, buses, agriculture tractors, and pick-ups.
This comes at a time when the Government of Kenya has announced plans to exempt locally assembled passenger cars from VAT and excise duty, looking to reduce the prices of the automobiles as well as encourage local assembly.
If implemented, it will see the cars exempt from the entire major taxes applicable on fully-built units imported from South Africa, the UK, and Japan.
Assemblers of passenger cars such as Simba Corp and DT Dobie currently enjoy exemption from the 25% import duty.
With an annual output of 150,000 units, the Ghabbour Group is currently the largest automobile manufacturer in Egypt.
See Also:
