Kenya Motorcycles Industry is falling down. Following the already deep lost reported in the previous two years, the start of 2025 was again not positive with first quarter sales reported at 20.886 (-5.5%) the lower level in the last decade.
Economic Outlook
In Kenya, the GDP in 2025 is projected to grow by 4.7% year over year, outpacing the global average which is forecast at 3.2.% – a modest increase on 3.1% in 2024. Meanwhile, consumer spending in the country is predicted to rise by 4%, and consumer price inflation is likely to stabilize at 4.8%, offering much-needed relief to households and businesses.
Economic growth is supported by a robust remittance ecosystem and high female labor force participation, which continues to drive household incomes. Kenya’s economy demonstrates resilience amid global shifts, leveraging digital innovation and regional trade integration to sustain progress.
In Kenya, inflation is forecast to stabilize at 4.8% in 2025, reflecting global trends.
This moderation creates opportunities for sustained consumer spending, particularly in essential sectors such as food, healthcare, and education. However, lingering price pressures continue to influence consumer behavior, with households opting for more affordable versions of discretionary items.
Motorcycles Industry Trend and Perspectives
The Kenyan two and three wheeler market is one the largest in the entire African Continent while the challenges to boost in the next decade are relevant.
The motorcycles can be very adaptive to unpaved roads, which are still the majority in the country, and in the huge traffic jam of the few metropolitan areas. For this reason, the new motorcycles market is over 10 times bigger than the car market.
As the pro capita income is growing up, the two wheeler market is having benefit from a growing consumer demand and and this will continue for the entire decade. However, the sales of new vehicles are deeply influenced by government policy and the restrictions applied to the import of pre-owned vehicles.
The last two years economic crisis, with deep inflation growth, was fully reflected in the motorcycle industry, very price sensitive, and we assisted a a sharp sales fall in both 2023 and 2024.
The start of 2025 was again not positive with first quarter sales reported at 20.886 (-5.5%) the lower level in the last decade.
The market leader is the Indian Bajaj Auto ahead of a group of Indian and Chinese manufacturers (TVS Motor, Haojue, Honda, Haojin, Senke)
