Hope for better incomes as Kenya-China duty-free export era starts
Visiting Chinese Vice President of the People’s Republic of China Han Zheng (left) with Deputy President William Ruto flagging off the first consignment of Kenyan products destined to the Port of Mombasa for export duty free to China.
China has pledged to deepen trade and investment relations through partnerships in agricultural technology, digital economy and green energy, a commitment that was firmed up on Monday as Chinese Vice President Han Zheng flagged off the first consignment of Kenyan products destined for Beijing under a landmark duty-free arrangement.
"Our coffee, tea, avocado, nuts, fruits, vegetables, flowers and minerals will enter China at zero tariff, enhancing incomes to millions of our farmers, traders and export companies," stated Deputy President Kithure Kindiki at the brief ceremony in Syokimau, Nairobi.
Prof. Kindiki lauded this landmark partnership as vital in boosting the incomes for millions of farmers, traders and exporters.
According to Chinese Vice President Han Zheng, who is in Nairobi for his Africa tour that will see him visit South Africa and Seychelles, Beijing is exploring bold plans to sustain long-term trade and investment relations with Africa.
While speaking during the China-Kenya Business Forum, Han Zheng said his country is keen on consolidating strategic mutual trust with Kenya by encouraging more Chinese firms to invest in the country while also enhancing relations with other economies in Africa.
The Vice President said Beijing is aligning its development strategies with Kenya's Vision 2030 while backing other African countries to turn their resource wealth into economic boom.
Countering U.S.' trade tariffs policy
Starting 1st May, China will open its market to Kenya and all African countries to export their goods at zero tariffs, a move that is a strategic counter to the United States' 2025 trade policy to slap shipments from Africa with new, higher taxes.
Under the current status, Kenya's tea and coffee exporters to China pay between 6 and 15 percent tariff. Macadamia, another high value crop in Kenya, is taxed at between 10 and 15 percent even as vegetables and other horticultural crops face up to 25 percent duty. What's more, cut flower exports face roughly 4 percent in tariff.
However, starting 1st May, all these duties will be vacated, offering tonnes of Kenya's tea, coffee, cut flowers, herbs, macadamia, avocadoes and vegetables entry into the market of 1.4 billion people at zero duty.
Han Zheng said China is working with African countries, including Kenya, to safeguard the multilateral trading system and foster an open, inclusive and non-discriminatory environment for international economic cooperation.
Currently, Kenya is China's biggest trading partner in East Africa. Last year, Kenya's coffee exports to China hit $24.46 million (about KES3.2 billion), reflecting 8.8 percent increase from 2024.
Speaking at the China-Kenya Business Forum, Prof. Kindiki said Nairobi will fully leverage the benefits of the zero-tariff policy grow exports, promote balanced trade and tap new technologies and best practices.