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Why Commuters Face Changing Transport Landscape After Thika Factory Move

Exterior view of the Kenya Vehicle Manufacturers assembly plant in Thika showing the newly installed vehicle production line.
The newly completed assembly line for commercial passenger vehicles at the Kenya Vehicle Manufacturers facility in Thika, which was upgraded under a multi-billion shilling modernization programme | HANDOUT/CS Lee Kinyanjui
Kenya Vehicle Manufacturers has opened a multi-billion shilling assembly line in Thika, localizing production of the iconic commercial vehicle to boost local manufacturing and creation of technical jobs.

The landscape of public transport and commercial transport in Kenya is shifting toward domestic manufacturing following the opening of a new vehicle production line in Kiambu County.

Kenya Vehicle Manufacturers (KVM) officially commissioned a specialized assembly line for the Toyota Hiace at its Thika manufacturing plant.

The production setup represents part of a broader infrastructure modernization and facility expansion programme, which is backed by a Sh2.3 billion investment from CFAO Mobility Kenya.

The project deepens domestic value addition, creating direct employment opportunities for more than 200 people at the facility.

The manufacturing expansion aims to absorb local youth into technical roles, while expansion plans are projected to generate additional technical jobs.

Cabinet Secretary for Investments, Trade and Industry, Hon. Lee Kinyanjui presided over the commissioning ceremony at the Thika site.

Cabinet Secretary Lee Kinyanjui noted that the public transport sector relied on imported alternatives for decades, following the era of the older passenger vans.

The initiative positions the domestic supply framework to supply locally produced components, which opens up commercial opportunities for local parts suppliers, secondary manufacturers, and small and medium-sized enterprises (SMEs) within the regional automotive value chain.

The Thika production facility already assembles commercial vehicles and passenger cars for several other global automotive brands, including Volkswagen, Tata, Mercedes-Benz, and Sinotruk.

The newly completed first phase of the modernization programme upgraded production infrastructure, technical logistics capabilities, and environmental compliance systems at the factory.

First-year production targets are set at approximately 600 units of the passenger and commercial vehicle, with the plant built to scale up output as domestic and regional market demand dictates.

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echoproperties limited
echoproperties limited βœ“
Jun 08
Thika’s growth story is increasingly being driven by industries, not just population expansion. There is a multiplier effect on real estate from this kind of industrial developments. This makes Thika one of Kenya’s most compelling long-term growth corridors. Investments such as KVM’s new assembly line strengthen Thika’s position as a manufacturing hub, creating jobs, attracting supporting businesses, and increasing demand for housing, retail space, and logistics infrastructure.
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