Kenya’s Q3 2025 Imports Driven by Machinery and Steel.
Posted on : Tuesday , 13th January 2026
Kenya’s import bill climbed sharply in the third quarter of 2025, driven largely by surging demand for industrial machinery, iron, and steel—an indicator of renewed momentum in infrastructure development and capital investment.
According to the latest Q3 2025 Balance of Payments Statistical Release by the Kenya National Bureau of Statistics (KNBS), total imports rose to Sh725 billion, marking a 7.4 percent increase compared to the same period in 2024.
The expansion was overwhelmingly propelled by a steep rise in industrial inputs. Spending on imported industrial machinery surged by 94.8 percent, while iron and steel imports increased by 41 percent. Expenditure on road motor vehicles also registered a notable rise of 29.1 percent, further underscoring heightened activity in construction and logistics-related sectors.
KNBS data points to a decisive shift toward capital formation, with the value of machinery and other capital equipment imports jumping from Sh96.3 billion in Q3 2024 to Sh139.1 billion during the quarter under review. Economists note that such a significant increase in capital goods imports often precedes medium- to long-term growth in manufacturing and construction, suggesting that firms are investing heavily to expand capacity and improve productivity.
This trend aligns with broader economic performance indicators for the period. The construction sector rebounded strongly, recording a 6.7 percent growth rate, while manufacturing posted steady growth of 2.5 percent, reflecting resilience amid a challenging global economic environment.
Despite the industrial-led increase, the report also highlighted Kenya’s continued dependence on external food supplies. Imports of sugars, molasses, and honey surged by 88.4 percent, raising concerns over domestic food production and food security.
At the same time, several key import categories recorded declines. Expenditure on medicinal and pharmaceutical products dropped by 32.1 percent, while imports of chemical fertilizers fell by 29.7 percent. Wheat imports declined by 19.8 percent, and petroleum product imports edged down by 5.8 percent during the quarter.
An analysis based on Broad Economic Categories (BEC) showed that non-food industrial supplies remained the largest component of Kenya’s import bill, accounting for 34.4 percent of total imports after registering a 9.4 percent increase from the previous year. This composition reinforces the narrative of an economy increasingly focused on industrial expansion and long-term productive investment.
