Kenya is taking a significant step toward rebalancing its trade relationship with China after securing a preliminary agreement that grants duty-free access for 98.2% of its exports to the Chinese market.
The deal, announced by Kenya’s trade ministry, marks a major breakthrough in discussions toward a broader bilateral trade pact between the two countries. Officials say the agreement is designed to address a long-standing trade imbalance that has consistently favoured Beijing.
China remains Kenya’s largest source of imports, supplying everything from electronics and machinery to manufactured consumer goods. While trade volumes between the two countries have grown steadily over the years, Kenyan exports to China have lagged far behind imports, creating a widening deficit.
Kenyan officials believe expanded access to the Chinese market is critical to narrowing that gap and strengthening the country’s export base. By removing tariffs on the vast majority of Kenyan goods, the government hopes local producers will become more competitive and better positioned to tap into one of the world’s largest consumer markets.
Roots in High-Level Diplomacy
The preliminary agreement builds on momentum from President William Ruto’s state visit to China last year. During the visit, Kenya and China signed multiple financing and cooperation agreements covering infrastructure, trade facilitation, and industrial development.
Trade officials say the latest development reflects China’s willingness to support Kenya’s export ambitions while laying the groundwork for a more balanced and mutually beneficial economic partnership.
For Nairobi, the deal aligns with broader efforts to diversify export destinations, support local manufacturing, and reduce reliance on imports.
Mixed International Reactions
The move has drawn skepticism from some officials in the United States, who have raised concerns about Africa’s deepening economic engagement with China and the long-term implications of such partnerships.
However, Kenyan authorities have brushed off the criticism, framing the agreement as a pragmatic strategy driven by national economic interests rather than geopolitical alignment. Officials argue that improving market access for Kenyan products is essential for job creation, industrial growth, and foreign exchange earnings.
Nairobi maintains that expanding export access, boosting competitiveness, and driving long-term growth remain the central goals of the negotiations.
What Comes Next
Talks are expected to continue toward a comprehensive bilateral trade agreement that could further define Kenya–China economic relations. If finalised, the deal could reshape Kenya’s trade landscape and reduce its dependence on imports over time.
For now, the duty-free access agreement signals Kenya’s determination to recalibrate a trade relationship that has long been dominated by imports and position itself more strongly within global trade networks.
