German carmaker Volkswagen to set up production plant in Kenya

Volkswagen will resume producing cars in Kenya by the end of the year as it looks to sell more vehicles across the East African region.

This comes after a four-decade pause in production in Kenya. VW will establish an assembly plant to produce its Vivo model.

 Emerging market production is familiar territory for VW, but Kenya’s car market is dominated by low-priced second-hand imports from countries such as Japan.

VW, which assembled cars in Kenya in the 1960s and 1970s, will join other brands in the country, including Isuzu, Toyota, Nissan and Mitsubishi.