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Kenya Import Duty Rate for Passenger Cars

HS 8703 · Motor vehicles for transport of persons

Kenya MFN Import Duty Rate

Live

25%

on CIF value

EAC CET 25%. Plus IDF 3.5%, RDL 2.5%, VAT 16%, and excise duty based on engine capacity.

How duty is calculated

CIF value

Product cost + international freight + insurance

Import duty (25%)

Applied to CIF value. EU, UK, and most countries use CIF.

VAT (16%)

Applied to CIF value + duty. Collected at customs.

Use our Landed Cost Calculator to compute the full cost including freight, brokerage, and last-mile delivery.

Worked example: passenger cars worth US$10,000

A commercial shipment invoiced at US$10,000 with US$900 of international freight and insurance. Kenya charges duty on the CIF value (goods + freight + insurance), so the duty base is US$10,900. Customs converts the amount to KES at the official exchange rate on the day of import.

Charge	At 25%
Import duty	$2,725
Import Declaration Fee (3.5%)	$382
Railway Development Levy (2.5%)	$273
VAT (16%)	$2,285
Total paid at the border	$5,664

VAT is usually recoverable for a registered business, so the cost that stays with you is the duty and levies. Excise, anti-dumping duties and broker fees are not included.

Classifying passenger cars correctly

Heading 8703 covers motor cars and other vehicles principally designed to carry people, split by engine type and size: petrol, diesel, hybrid and fully electric (8703.80).

Pick-ups and vans built mainly for goods go to 8704
Electric vehicles have their own subheading and often a different rate or incentive
Vehicles shipped as CKD kits may qualify for lower assembly rates

Compliance. Cars must meet the destination's homologation and emissions rules (EU whole-vehicle type approval, US FMVSS and EPA certification) before they can be registered.

Importing into Kenya: what you need

The Kenya Revenue Authority (KRA) clears goods through the iCMS system; duty follows the East African Community Common External Tariff.

Registration. A KRA PIN for the importer and a licensed clearing agent for commercial consignments.

Low-value shipments. Small personal parcels may be cleared through simplified postal or courier procedures, but commercial imports pay the full EAC duty, IDF and RDL.

Documents customs will ask for

Import Declaration Form (lodged before shipment)
Commercial invoice and packing list
Bill of lading or air waybill
KEBS Certificate of Conformity (PVoC) for regulated products
Certificate of origin for EAC, COMESA or AfCFTA preference

Charges on top of duty

Import Declaration Fee: 3.5% of customs value
Railway Development Levy: 2.5% of customs value
VAT 16% on value + duty + levies
Excise duty on vehicles, alcohol, cosmetics and other listed goods

Watch out. Used vehicles must be under eight years from the year of first registration to be imported, and they pay excise on top of the 25% duty.

Frequently asked questions

What is the import duty rate for Passenger Cars in Kenya?

The MFN (Most Favoured Nation) import duty rate for Passenger Cars (HS 8703) in Kenya is 25% on the CIF value. EAC CET 25%. Plus IDF 3.5%, RDL 2.5%, VAT 16%, and excise duty based on engine capacity.

Is VAT charged on Passenger Cars imports to Kenya?

Yes. Kenya charges VAT at 16% on the CIF value plus any import duty. This applies to virtually all commercial imports.

Are there FTA rates available for Passenger Cars in Kenya?

Kenya has free trade agreements with EAC (Uganda, Tanzania, Rwanda, Burundi, DRC), COMESA, AfCFTA. Check whether your origin country qualifies for a preferential rate on HS 8703.

How is import duty calculated for Passenger Cars entering Kenya?

Duty is calculated on the CIF value of the goods. CIF value includes the product cost, international freight, and insurance. The MFN duty of 25% is applied to this value. VAT (16%) is then applied on the duty-paid value.