On October 6, 2026, President William Ruto presided over the signing of a Memorandum of Understanding (MoU) worth $3 billion, approximately Ksh.389.43 billion, for electric vehicle manufacturing in Kenya. The agreement was between the Kenyan government and Endelevu Enterprise Corporation at State House in Nairobi. This integrated green mobility project aims to boost local production and create jobs through the manufacturing and assembly of electric vehicles in Kenya.
The MoU provides a framework for one of the largest electric mobility investments in the region. President Ruto stated that the investment would help Kenya stop exporting jobs by shifting from importing finished vehicles to adding value locally. The project includes an assembly plant with a capacity to produce 50,000 four-wheel vehicles annually and another plant for 100,000 two-wheelers and light mobility vehicles a year.
The electric vehicle project is expected to create about 2,000 direct jobs and more than 20,000 indirect jobs among suppliers, logistics firms, and service providers. Additionally, it is anticipated to create up to 80,000 further opportunities in fleet management, operations, and services. President Ruto emphasized that Kenya cannot prosper by exporting raw materials and importing finished products, highlighting the need for value addition and job creation locally.
The project also involves the development of 1,000 solar-powered charging hubs and a digital platform to manage up to 100,000 green vehicles. President Ruto linked this electric vehicle project to the Dangote East African Refinery in Lamu, stating that both investments are part of Kenya's broader industrialization agenda. He noted that Kenya can pursue petroleum refining while transitioning to electric mobility, citing the need for energy security and economic growth.
President Ruto mentioned that increased adoption of electric vehicles would reduce fuel import bills and ease pressure on the country's foreign exchange reserves. He highlighted that Kenya's electricity predominantly comes from renewable sources, such as geothermal steam, wind, sun, and rivers, which can power the transport sector. The President also noted that importing fuel exposes the country to global price shocks, while generating its own power provides greater stability.
The Kenyan government had announced that the first 100,000 electric vehicles imported into Kenya would be duty-free. President Ruto told Endelevu Corporation and its partner, Geely, that Kenya's ambition extends beyond the domestic market to manufacturing for East Africa and Africa. He stated that vehicles manufactured in Kenya and qualifying under the Rules of Origin of the East African Community would have access to a regional market of hundreds of millions of people.
Investment and Trade Cabinet Secretary Lee Kinyanjui said the MoU would help reduce Kenya's dependence on imported petroleum. Endelevu Enterprise Corporation Chairman Susong Tong noted that the MoU marked another milestone in Kenya's automotive industry. The signing ceremony was attended by National Assembly Speaker Moses Wetang'ula, Cabinet Secretaries John Mbadi of the National Treasury and Davis Chirchir of Roads and Transport, among others.
Key points
- The project is expected to create about 2,000 direct jobs and more than 20,000 indirect jobs.
- The investment is worth $3 billion, approximately Ksh.389.43 billion.
- The project includes an assembly plant with a capacity to produce 50,000 four-wheel vehicles annually.
