Kenya’s car market is moving further beyond the reach of many buyers, with Jiji data showing that average listing prices climbed by 72% in two years.
Foreign-used cars carry the highest asking prices, while locally used vehicles remain the cheaper option for most buyers. The figures represent prices advertised by sellers on Jiji, not the final amounts paid by buyers.
KRA Import Values Push Used-Car Prices Higher in Kenya
Jiji says the average vehicle listing price rose from KSh797,000 in 2024 to KSh1.37 million in 2026. The median asking price for locally used cars has also moved above KSh1 million.
Locally used vehicles now list for about KSh1.5 million on average. Foreign-used cars average around KSh4.5 million, making them almost three times more expensive. Across every vehicle listed on the platform, the average asking price stands at about KSh2.5 million.
Higher import costs have also pushed vehicle prices up. In July 2025, the Kenya Revenue Authority introduced a revised Current Retail Selling Price (CRSP) schedule to determine the customs value of imported used cars.
A higher customs value means importers pay more in taxes and related charges, which often raises the final price for buyers. For example, a 1300cc Toyota Vitz that previously sold for about KSh1.3 million now costs around KSh1.5 million.
Kenya’s eight-year import limit also blocks vehicles older than eight years from entering the country, removing some cheaper options from the import market. The rule limits imports to newer used models, which attract taxes based on the revised values. Locally used cars may be older or may have entered Kenya under previous valuation rates.
Kenya’s Sharp Car Price Rise Outpaces EU and US Trends, Puts Buyers and Dealers Under Pressure
A 72% increase in two years is unusually steep. Such a steep rise can force households to delay buying a vehicle, choose an older locally used model or take on a longer loan. It can also affect businesses that depend on cars, including taxi operators, as higher purchase costs may lead to higher fares and service charges.
The revised CRSP list gives KRA a more current and consistent way to value imported used cars. Replacing the 2019 list also reflects changes in exchange rates, taxes and vehicle models while reducing customs disputes and making charges clearer for importers.
However, clearer valuation does not always mean cheaper cars. When KRA places a higher customs value on a vehicle, importers pay more in taxes and may pass the cost to dealers and buyers.
Other markets have also seen car prices rise, although the figures cover different years, vehicle types and pricing methods, so they are not direct comparisons.
In major European markets, prices for small B-segment cars such as the Volkswagen Polo and Peugeot 208 rose by 10% in 2020. Larger compact C1 cars, including the Toyota Corolla and Volkswagen Golf, increased by 12% in 2021. In the United States, average new-car prices rose by 1.3% year on year in December 2024.
These figures show that higher car prices are not limited to Kenya. However, the size of Kenya’s increase places greater pressure on buyers whose incomes may not have grown at the same rate.
The CRSP may improve tax collection and customs valuation, but higher prices could weaken demand, push more buyers towards older vehicles and raise costs for businesses that rely on cars.
