The government of Kenya, through the Ministry of Investments, Trade and Industry, has reached a preliminary bilateral trade agreement with China, granting 98.2 per cent zero-duty market access for Kenyan goods, marking a major boost for local exporters and efforts to reduce trade imbalances.
In a statement issued on Thursday, the ministry said the agreement follows sustained engagements with China after Beijing announced duty-free and quota-free (DFQF) market access for African goods, a framework that largely benefits Least Developed Countries (LDCs) while disadvantaging developing economies such as Kenya.
“The Government of Kenya has been seeking to expand its export basket across the globe through engagements with different countries to reduce trade imbalances,” the statement said in part.
To address this gap, Kenya initiated bilateral discussions aimed at securing market access terms similar to those enjoyed by its East African Community neighbours and other African states.
According to the Cabinet Secretary for Investments, Trade and Industry Lee Kinyanjui, the talks have now yielded a significant breakthrough.
“These engagements have resulted in a preliminary agreement that allows for 98.2% zero-duty market access for Kenyan goods,” the statement said, describing the deal as an “early harvest framework.”
The government termed the agreement a “monumental progression” that signals China’s commitment to deepening trade relations with Kenya.
Officials said the zero-duty access will unlock new economic opportunities for exporters by allowing greater diversification of Kenya’s export basket, particularly in agriculture, which remains the backbone of the economy.
“The introduction of zero-duty access will unlock vast economic potential for Kenyan exporters, allowing for diversification of our export basket especially in the agricultural sector which is the mainstay of our economy,” the ministry said.
It added that the expanded access to the Chinese market is expected to spur production, increase competitiveness and generate employment opportunities across key value chains.
The ministry further noted that the agreement aligns with the government’s broader strategy to strengthen Kenya’s position in global trade while delivering tangible economic benefits to citizens.
“This development is expected to generate considerable employment opportunities and bring tangible benefits to our economy,” the statement said.
The government reaffirmed its commitment to expanding trade partnerships and enhancing Kenya’s global trade footprint.
“The Government of Kenya remains committed to pursuing opportunities that enhance our trade capabilities and strengthen our partnerships on the world stage,” the statement said, expressing optimism about the agreement’s positive impact on economic growth and the wellbeing of Kenyans.
