The Kenya Revenue Authority (KRA) has introduced a new Current Retail Selling Price (CRSP) schedule for used motor vehicles, effective July 1, 2025. This update significantly impacts the importation of Honda vehicles into Kenya, influencing customs valuation and, consequently, the final cost for importers and buyers. This comprehensive guide explores the details of the CRSP schedule, its implications for the Kenyan automotive market, and what it means for consumers, dealers, and importers.
What is the KRA CRSP Schedule?
The Current Retail Selling Price (CRSP) is a valuation mechanism used by the KRA to determine the customs value of imported used vehicles. This value forms the basis for calculating import duties, VAT, and other levies, directly affecting the total cost of importing a vehicle. The 2025 CRSP schedule for Honda vehicles includes a wide range of models, from sedans and SUVs to minivans and trucks, with updated prices reflecting current market trends and economic factors.
The CRSP is particularly significant because it standardizes the valuation process, reducing discrepancies and ensuring consistency in tax assessments. For importers, understanding the CRSP is crucial for budgeting and pricing strategies, while consumers need to be aware of how these changes impact vehicle affordability.
Why the Update?
The KRA periodically revises the CRSP schedule to account for:
- Currency fluctuations: Changes in the Kenyan Shilling’s value against major currencies like the Japanese Yen affect vehicle import costs.
- Market dynamics: Shifts in demand for specific vehicle models, such as fuel-efficient hybrids or electric vehicles, influence pricing.
- Economic policies: Government initiatives to promote eco-friendly vehicles or adjust tax revenues impact CRSP values.
- Inflation and global supply chain factors: Rising production costs and shipping expenses contribute to price adjustments.
This update, effective July 1, 2025, reflects these factors and aims to align customs valuations with current economic realities in Kenya.
Key Highlights of the 2025 CRSP Schedule for Honda Vehicles
The 2025 CRSP schedule covers a diverse range of Honda models, including popular sedans like the Accord and Civic, SUVs like the CR-V and Vezel, minivans like the Freed and Odyssey, and kei cars like the N-Box and N-WGN. Below is a detailed breakdown of the CRSP values for selected Honda models, categorized by vehicle type for clarity.
Sedans
| Model | Chassis Code | Transmission | Engine (cc) | CRSP (KES) | Fuel Type |
|---|---|---|---|---|---|
| Accord E:HEV | 6AA-CY2 | CVT | 1993 | 9,517,810 | Gasoline |
| Accord EX | 6AA-CV3 | CVT | 1993 | 8,121,594 | Gasoline |
| Civic E:HEV EX | 6AA-FL4 | CVT | 1993 | 7,523,565 | Gasoline |
| Civic Type R | 6BA-FL5 | 6MT | 1995 | 8,728,181 | Gasoline |
| Grace Hybrid EX | DAA-GM4 | CVT | 1496 | 3,653,565 | Gasoline |
SUVs
| Model | Chassis Code | Transmission | Engine (cc) | CRSP (KES) | Fuel Type |
|---|---|---|---|---|---|
| CR-V E:FCEV | ZBA-ZC8 | CVT | 0 | 12,441,779 | Electric |
| CR-V Hybrid EX | 6AA-RT5 | 7AT | 1993 | 6,703,372 | Gasoline |
| Vezel E:HEV Z | 6AA-RV5 | CVT | 1496 | 4,859,962 | Gasoline |
| Vezel Hybrid Modulo X | DAA-RU3 | AT | 1500 | 6,512,510 | Hybrid |
| WR-V Z+ | 5BA-DGS | CVT | 1496 | 4,173,850 | Gasoline |
Minivans
| Model | Chassis Code | Transmission | Engine (cc) | CRSP (KES) | Fuel Type |
|---|---|---|---|---|---|
| Freed E:HEV CROSSTAR | 6AA-GT6 | CVT | 1496 | 5,524,780 | Gasoline |
| Odyssey Hybrid Absolute EX | 6AA-RC4 | CVT | 1993 | 6,711,394 | Gasoline |
| Step WGN Spada | 5BA-RP6 | CVT | 1496 | 5,777,964 | Gasoline |
| N-Box Custom G.EX | DBA-JF3 | CVT | 658 | 3,026,473 | Gasoline |
| N-WGN Custom L | 6BA-JH3 | CVT | 658 | 2,582,143 | Gasoline |
Trucks and Vans
| Model | Chassis Code | Transmission | Engine (cc) | CRSP (KES) | Fuel Type |
|---|---|---|---|---|---|
| Acty Truck SDX | EBD-HA9 | 5MT | 658 | 1,535,872 | Gasoline |
| N-VAN E (EV) E:L4 | ZAB-JJ3 | CVT | 0 | 4,526,128 | Electric |
| Acty Truck Lifter | EBD-HA9 | 5MT | 658 | 2,340,696 | Gasoline |
Electric and Hybrid Vehicles
The CRSP schedule highlights Kenya’s growing interest in eco-friendly vehicles, with several electric and hybrid Honda models included:
- Honda CR-V E:FCEV: Priced at KES 12,441,779, this fuel cell electric vehicle (FCEV) is one of the most expensive in the lineup, reflecting its advanced technology.
- Honda Clarity Fuel Cell: Valued at KES 10,918,776, this electric sedan offers a premium option for eco-conscious buyers.
- Honda Vezel Hybrid Models: With CRSP values ranging from KES 4,293,218 to KES 7,689,606, these SUVs cater to budget-conscious buyers seeking fuel efficiency.
- Honda Fit E:HEV: Starting at KES 3,288,040, this hatchback is an affordable hybrid option for urban commuters.
Implications for the Kenyan Automotive Market
The new CRSP schedule has far-reaching implications for various stakeholders in Kenya’s automotive industry. Below, we explore how these changes affect importers, dealers, and consumers.
For Importers
- Increased Costs for Premium Models: High-end models like the Honda NSX (KES 36,887,756–39,696,257) and CR-V E:FCEV (KES 12,441,779) will see higher import duties due to their elevated CRSP values, potentially reducing their import volume.
- Focus on Hybrids and Electric Vehicles: With Kenya’s push for greener transport, importers may prioritize models like the Clarity Fuel Cell and Vezel Hybrid to align with government incentives and consumer demand.
- Strategic Sourcing: Importers will need to source vehicles from markets with favorable exchange rates to offset the high CRSP values, particularly for kei cars like the N-Box and N-WGN.
For Dealers
- Pricing Adjustments: Dealers will pass on the increased customs duties to consumers, potentially raising the retail prices of popular models like the Civic and Accord.
- Inventory Management: The lower CRSP values for kei cars (e.g., N-Box G at KES 2,478,187) make them attractive for dealers targeting budget-conscious buyers.
- Marketing Opportunities: Dealers can leverage the appeal of hybrid and electric models to attract environmentally conscious customers, emphasizing fuel savings and tax incentives.
For Consumers
- Higher Costs for Luxury Models: Consumers eyeing premium vehicles like the Honda Legend Hybrid (KES 11,876,741–12,355,302) will face higher purchase prices due to increased duties.
- Affordable Options Available: Models like the Acty Truck SDX (KES 1,535,872) and N-WGN G.L (KES 1,897,174) remain accessible for small businesses and budget buyers.
- Shift to Eco-Friendly Vehicles: The inclusion of electric and hybrid models at competitive CRSP values may encourage consumers to opt for greener alternatives, supported by potential government incentives.
How CRSP Affects Customs Valuation
The CRSP serves as the baseline for calculating customs duties, which typically include:
- Import Duty: 25% of the CRSP for most vehicles.
- Excise Duty: Varies based on engine size (e.g., 20% for engines below 1500cc, 25% for 1501–3000cc).
- VAT: 16% of the combined CRSP, import duty, and excise duty.
- Other Levies: Including the Import Declaration Fee (2.5%) and Railway Development Levy (1.5%).
For example, for a Honda Civic E:HEV EX (CRSP KES 7,523,565):
- Import Duty: 25% of 7,523,565 = KES 1,880,891
- Excise Duty (assuming 25% for 1993cc): 25% of 7,523,565 = KES 1,880,891
- VAT: 16% of (7,523,565 + 1,880,891 + 1,880,891) = KES 1,673,295
- Total Taxes (approx.): KES 5,435,077
- Total Landed Cost: KES 7,523,565 + 5,435,077 = KES 12,958,642
This calculation illustrates how the CRSP directly influences the final cost of importing a vehicle, impacting affordability for consumers.
Strategies for Navigating the New CRSP Schedule
To mitigate the impact of the updated CRSP values, stakeholders can adopt the following strategies:
- For Importers:
- Negotiate bulk purchase deals with suppliers to reduce per-unit costs.
- Explore markets with lower shipping costs, such as Japan, for sourcing Honda vehicles.
- Focus on importing models with lower CRSP values to cater to price-sensitive segments.
- For Dealers:
- Offer financing options to make high-CRSP models like the Odyssey and NSX more accessible.
- Highlight the fuel efficiency and long-term savings of hybrid and electric models in marketing campaigns.
- Partner with banks to provide attractive loan packages for budget-friendly models like the N-Box and Fit.
- For Consumers:
- Compare CRSP values across models to identify cost-effective options.
- Consider hybrid or electric vehicles to benefit from potential tax incentives and lower running costs.
- Engage reputable dealers to ensure transparency in pricing and avoid hidden costs.
The Future of Honda Vehicles in Kenya
The 2025 CRSP schedule reflects Kenya’s evolving automotive landscape, with a clear emphasis on sustainability and affordability. The inclusion of electric and hybrid models aligns with global trends toward greener transport, while the competitive pricing of kei cars caters to small businesses and urban commuters. However, the higher CRSP values for premium models may challenge affordability, potentially shifting demand toward more budget-friendly options.
The KRA’s commitment to updating the CRSP schedule ensures that customs valuations remain relevant in a dynamic market. As Kenya continues to develop its infrastructure and promote eco-friendly policies, the automotive industry will likely see increased adoption of hybrid and electric vehicles, with Honda playing a pivotal role.
The KRA’s new CRSP schedule for Honda vehicles, effective July 1, 2025, introduces significant changes to the cost of importing used vehicles into Kenya. By understanding the updated CRSP values, importers, dealers, and consumers can make informed decisions to navigate the evolving automotive market. From affordable kei cars to premium hybrids, the schedule offers options for diverse needs, with a clear push toward sustainability. Stay informed and plan strategically to make the most of these changes in Kenya’s vibrant automotive sector.
