Volkswagen vehicles are once again being put together in Thika, signalling the revival of local passenger car assembly in Kenya.
The move comes under a renewed cooperation deal between Kenya and Germany aimed at strengthening the automotive sector through new skills, advanced assembly methods, and green mobility initiatives.
Germany’s Deputy Ambassador and Trade Counsellor, Alexander Fierley, visited the Kenya Vehicle Manufacturers (KVM) plant to witness the first units being assembled.
His remarks underscored how central the industry is to economic transformation.
“Germany recognises the critical role that the automotive industry plays in driving economic development,” he said.
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He explained that the partnership was designed to push the sector forward on several fronts.
“Our renewed cooperation with Kenya seeks to build stronger linkages between our industries, foster innovation and technology transfer, while supporting the country’s ambitions in local manufacturing and regional competitiveness.”
The KVM facility has begun assembling Volkswagen models, including the Touareg, Tiguan, and T-Cross, using a Level 2 Completely Knock-Down (CKD) system.
Company officials said the project highlights a commitment to localisation, job opportunities, and the transfer of technical expertise to Kenyan workers.
Sector players believe the ripple effects will be wide: adoption of modern automotive technologies, more chances for small and medium enterprises through local content integration, and ultimately a more competitive local industry.
KVM, which remains one of the largest multi-brand assemblers in the country, handles some of the world’s most established marques.
CFAO Mobility Kenya, which has invested in the Thika operations, emphasised the significance of the renewed partnership.
“The Deputy Ambassador of Germany Alexander Fierley's visit to KVM (Kenya Vehicle Manufacturers), to witness the commencement of local assembly for Volkswagen passenger vehicles, underscores the importance of collaboration in strengthening Kenya’s automotive industry,” CFAO Mobility Kenya said.
The company also noted its role in expanding access to affordable mobility.
“Through our investment at KVM, we are driving growth in local assembly, empowering SMEs and enabling access to affordable world-class mobility solutions for the Kenyan market.”
With fresh backing from Germany and the resumption of Volkswagen production, Kenya’s automotive industry is positioning itself as a pillar of the country’s industrialisation drive, with green mobility at its heart.
