Understanding Kenya’s Import Regulations
Overview of Motor Vehicle Import Rules
Kenya has specific regulations governing the importation of motor vehicles to ensure safety and environmental standards are met. The Kenya Bureau of Standards (KEBS) is the authority responsible for enforcing these regulations. According to KEBS, all motor vehicles imported into Kenya must be less than 8 years old from the date of first registration. Additionally, the vehicle must be right-hand drive and comply with the Kenya Standard Code of Practice for Inspection of Road Vehicles (KS1515:2000). These rules are in place to ensure that all road vehicles meet the necessary safety and environmental criteria before they are allowed on Kenyan roads.
Buying new and used cars from the UK
Choosing your car can be daunting. If you are buying online, a good place to start is AutoTrader which the UK’s largest website for cars. You will find a mixture of major manufacturers and independent retailers. There are also major car supermarkets to consider too such as Cinch. They have a large selection of cars which will be advertised as VAT qualifying.
You may also consider buying at UK car auctions where you will also find may VAT qualifying cars. But you will need to do your homework on each car to make sure you asses the condition of the car and establish how you will bid on these cars and then export them.
Our buying specialists are experts in sourcing your ideal car, negotiating the best price and buying it and exporting to Kenya for you.
Factors to Consider When Selecting a Motor Vehicle
When selecting a motor vehicle for importation into Kenya, several critical factors need to be considered. Firstly, the age of the vehicle is crucial as it directly impacts the import duty payable. Vehicles that are less than 3 years old attract a higher import duty, while those between 3-5 years old benefit from a lower duty rate. Secondly, the engine capacity of the vehicle also affects the import duty, with larger engines incurring higher duties. Additionally, the type of vehicle is important; for instance, large construction vehicles imported into Kenya are subject to additional regulations and requirements. By carefully considering these factors, you can make an informed decision and potentially save on import costs.
Choosing the best month for import duty
You should also be clear on the month and year of registration for your car and check this against the month you expect the car to reach Kenya. Each year, the car will be awarded a lower rate of import duty according to its registration date. The best month for your car to arrive is when it has recently passed its registration birthday as it will move to the lower rate of import duty. If a car is coming up to a birthday, you may want to choose a different car or buy it and wait for it to leave the UK so it arrives just after the birthday has passed.
Buying a VAT qualifying car
Buying a VAT qualifying car will mean you can save 20% VAT off the advertised price when you export the car. Finding VAT qualifying cars isn’t always straight forward as they are not always advertised as Vat qualifying. But it is worth the saving. Understand how to export a VAT qualifying car VAT free or talk to our team.
Reclaiming the VAT on a VAT qualifying car
Before Brexit, it was possible for non-EU residents to reclaim the VAT when you exported your car. However, the rules to reclaiming the VAT on VAT qualifying cars have changed and this is no longer possible. The VAT reclaim must be done by a UK VAT registered business which has caught out a lot of people. Read our full story about how to reclaim VAT on car exports to get a clear understanding of how VAT reclaim works today.
Buying a UK car from another UK dealer.
If you have found a car which is with a non-export dealer, we are very happy to step in and manage the purchase with the dealer for you. We will negotiate, inspect and export your car to Kenya with the same care we give to all our cars. Our video on importing a car from an non export dealer in the UK gives you more information.
Buying a UK car.
Before you buy a UK car, it is vital you see the V5 log book, a valid MOT certificate and a full confirmation of the specification. The V5 confirms that the car is genuine and will ensure you can match the chassis number and registration plate to the car you are seeing in photos. You must also read the car’s full service history. This will detail the car’s services and will be stamped and dated by the garage. Most services will also have the car’s mileage noted at the time of the service. This will help you check the mileage is consistent with the car’s advertised mileage. Our essential guide to buying a quality UK car explains more.
Essential Background checks.
All MHH cars have thorough background checks before buying. We give each car an HPI check which includes a confirmation of mileage from the UK National Mileage register. These checks are a standard part of our service and ensure the car has no history of theft or finance and confirms that the mileage is consistent with the advertised mileage.
Preparing for Import: Documents and Requirements
What Documents are Required for Import?
To successfully import a motor vehicle into Kenya, you need to ensure that all necessary documentation is in order. The required documents include:
* Commercial Invoice: This document from the supplier or your car importer details the transaction and the cost of the vehicle.
* Bill of Lading or Airway Bill: This serves as proof of shipment and details the transportation of the vehicle.
* QISJ Roadworthiness Inspection Certificate: The QISJ certificate, issued by a KEBS-appointed inspection agent, verifies that the vehicle is roadworthy.
* Customs Declaration Form (CDF): This form is used to declare the vehicle to customs authorities.
* Import Declaration Form (IDF): This form is required for the importation process and must be completed and submitted.
* Payment Receipt for Import Duty and Other Taxes: Proof of payment for all applicable duties and taxes.
Ensuring that all these documents are correctly prepared and submitted is crucial to avoid any delays or penalties during the importation process. A clearing agent can be invaluable in assisting with the preparation and submission of these documents, ensuring a smooth and efficient import process.
Quality Inspection Services Japan (QISJ) inspection
All cars to be imported to Kenya must pass the KEBS requirements of a QISJ roadworthiness check. This is done before the car goes to the UK port and currently costs £290.
How to pay for your UK car
If you are buying a car directly from a UK dealer, you are usually asked to pay a deposit of £500 - £1000 to secure the car for you. This will hold the car for you for 1-2 weeks. You will then need to pay the balance.
But if you are buying with an exporter you may be able to take advantage of better buying terms.
C&F payments: After paying the deposit, your balance will be due within 7-10 days.
Delivered to Nairobi service: For cars which we are shipping to Mombasa, clearing and delivering to Nairobi, we accept 70% payment before the car is exported and 30% is required on arrival in Mombasa ahead of the duties being paid.
Cars exported with Bank Finance: a minimum 20% deposit is required. The monthly repayments begin when you have received your car, in line with the terms of your offer letter. See below for more information on Bank finance for car imports.
Understand in detail how payments work to Kenya in this page.
How to export your UK car.
It is advisable to choose an experienced car importer two reasons:
1. Most UK dealers are not set up to provide professional export services and therefore don't have the resources or the knowledge to export your car to Kenya. You may find they actively try to discourage you from buying from them. Find out more about how to choose a car importer in this link.
2. The import process to Kenya is complex and an experienced car importer will help smooth out this process and give you an easier experience.
3. Experienced car importers will be able to negotiate with UK dealers and get better discounts and more importantly should be able to sell you the car VAT free and saving you 20% off the advertised price.
Car Import Services to Kenya
We offer three car import services: C&F, Delivered Duty Paid to Nairobi (cash) and Delivered to Nairobi with bank finance. What do these mean exactly?
Cost and Freight (C&F): We manage the purchase, VAT reclaim and export of your car to Mombasa. On arrival you manage the customs clearance and registration for your car.
Delivered Duty Paid to Nairobi Cash (DDP Cash): This is the C&F service plus clearing and registration in Mombasa, storage and transport to Nairobi on a car carrier and your personal handover from our team in Nairobi.
Delivered Duty Paid with Bank Finance (DDP Bank): This is the DDP cash service with the addition of a mandatory 4 year tracker subscription, valet and personal handover in Nairobi.
Marine insurance to Kenya
It is a requirement of Kenyan law that marine insurance is bought through a local Kenyan company. We strongly recommend you take out comprehensive marine insurance for C&F services prior to your car leaving the UK. We do this for you if you are taking a DDP service with us.
How finance works for car imports to Kenya
Buying car imports with Bank finance is very popular. We are proud to offer bank finance via our partnerships with NCBA Bank, Stanbic Bank and I&M Bank Kenya.
Take a look at our Bank finance page to understand more about buying car imports with bank finance or read one of our partnership Bank pages linked above.
How to get finance for Kenya car imports
To get finance for your UK car import you will need to complete an asset finance application form for your chosen bank. Your relationship manager will be able to provide the form and help you to complete it it needed. The finance team will then review your application and advise how much they will agree an finance loan for your car. Once you have had your loan agreed our team will help you to buy and import your perfect car to Kenya.
Our video and blog page explain how to get bank finance for Kenya car import including the process and timings,
Shipping to Kenya
To ship a car to Kenya, you can choose between Roll on – roll off service or the container service.
Roll on – Roll off: This is the cheapest option and therefore the most popular. The cars are driven onto the vessel and secured prior to shipping to Kenya.
Container shipping: Is considered to be more secure as your car is loaded into a single 20ft container or a shared 40ft container. The cars are secured within the container which is then locked and loaded onto the vessel. As a more expensive option which is preferred by clients importing high value prestige cars.
Air freight: The cars are transported to Amsterdam where they are loaded and flown on a cargo plane to Nairobi.
How long does it take to ship to Kenya from the UK?
The entire process from purchasing your car to it reaching Mombasa takes approximately 40 days. (This can vary depending on the timings of the boats. ) The breakdown is detailed below:
Day 1: Car inspected, collected and transported to our office.
Days 2-8: Shipping booked, tuning & modifications, QISJ inspection & delivered to the UK port.
Days 9-12: Packed & loaded onto the vessel.
Days 13-40: Shipping from the UK to Mombasa.
Port Charges
You should anticipate to pay port charges to your clearing agent who will then pay the CFS. The fees are approximately twice as much for a containered shipments versus a ro-ro shipment. If you are importing your car C&F then the port charges are paid to the appointed clearing agent. If you are using a DDP import service then you should expect to pay port charges to your importer.
Car Import Duty to Kenya
When your car reaches Kenya you will be required to pay the excise duties, import duties, VAT and IDF fees. These are as follows:
Import Duty (35%) effective 1st July 2023.
Excise Duty (varies)
Value Added Tax (14%)
Import Declaration Fees (2%)
Railway Development Levy (1.5%)
Calculating your import duty requires the Kenya Revenue Authority (KRA) to establish the Current retail Selling Price (CRSP) of your vehicle. This is laid out by the KRA in the current 2019 CRSP. We have adapted the CRSP to focus on the prestige cars our clients tend to import and built it into a prestige car duty calculator to help you work out an accurate duty estimate for your car.
This calculation is as follows:
KRA provide the current Retail Selling Price (CRSP) for your vehicle.
Customs Value is the CRSP value with depreciation applied.
Import Duty is 35% of the Customs Value.
Excise Duty is 20% of the Customs Value + Import Duty.
VAT is 16% of the Customs Value + Import Duty + Excise Duty.
IDF Fee 3.5% of the Customs Value.
RDL Fee is 2% of the Customs Value.
For more detail on the import duty calculation, the CRSP and our duty calculator please refer to our KRA car import duty calculator page.
Importing Cars Duty Free
Diplomats, government officials and returning residents are often eligible for duty free car imports.
To qualify for returning residency you will need to show that you have been living overseas for at least two years and have not visited Kenya for a total of 90 days within those two years. The KRA will need you to demonstrate that you have permanently left your previous country permanently.
It is essential that you are over the age of 18 and support your returning residency with your work permit, passport and alien ID.
Documentation which support your departure could be; Termination of employment, termination of residential lease agreements or sale of property, termination of visa.
Documents which support your returning residency could include new employment contract, new property lease agreement, new property purchase agreement, repatriation of foreign funds.
In terms of your car, you will need to prove that you have owned and used the car for more than one year prior to arriving in Kenya. You will need to show proof of purchase such as receipts, invoices, bank statements, log book, insurance and road tax.
It is also important that your car meets the car import requirements for Kenya e.g. your car must be right hand drive, have a valid QISJ certificate and not be older than 7 years when it arrives in Mombasa.
Our Duty free car import guide provides further details for returning residents. Get in touch if you have additional questions regarding duty free importing
Car registration in Kenya
Registering your car is a KRA requirement. To do this for civilian plates you need to have a NTSA TIMS account. Find out how to register for your NTSA TIMS account before proceeding.
You can register your vehicle online via the NTSA online portal. When you have logged in, simply follow the prompts and scan the required documents and upload them to the portal.
The current cost to register your vehicle varies with engine capacity. The lowest rate is Kes 7,410 for 1000cc and below up to Kes 21,215 for vehicles above 3000cc.
Transport to Nairobi
For cars being delivered to Nairobi, we always employ a professional car carrier to transport our cars professionally. If you choose to have your car driven, be sure you carry out sufficient background checks to be confident your car isn’t going to be at serious risk of damage or theft.
What to expect when your car reaches Nairobi
By now the cars have been in transit for approximately 50+ days. So all cars being delivered to Nairobi have a valet to ensure they are in top condition following their long journey.
Paperwork you should receive with your car.
It is wise to have your loose items and paperwork couriered independently of your car. We DHL all items such as headphones, remote controls and spare keys with the car’s paperwork. You should expect to receive to following documents from your importer:
- Bill of lading
- V5 log book
- Valid MOT certificate
- QISJ certificate
- Owner’s manual
- Stamped service history book
- HPI certificate
Your personal handover.
The day has arrived when you are getting into your new car for the first time. Whilst is it always a very exciting day and you cannot wait to get out on the open road, take time to check that you understand the controls and that everything is in good working order. Consider things link the air conditioning, provision of a spare tyre or foam kit, the sunroof, parcel shelf, tyre depth, music speakers and windscreen wipers. Once you are completely happy that your car is everything you had been dreaming of, you can take it for your first drive in the confidence you have bought a gem of a car.
Get in touch with our buying specialists today and they will be happy to help you import your perfect car to Kenya.
