Kenya has finalised a bilateral trade agreement with China, marking a significant step in strengthening economic ties and expanding access to one of the world’s largest markets.

President William Ruto confirmed the development, stating that negotiations with Beijing had been successfully concluded this week.

Duty-Free Access To Chinese Market

The agreement is expected to grant duty-free access to around 98 per cent of Kenya’s exports to China, offering a major boost to the East African nation’s trade prospects.

Kenya has been seeking to increase its exports to China in order to address a long-standing trade imbalance, with imports from China far exceeding exports.

Balancing Global Partnerships

Despite growing ties with Beijing, Kenya continues to maintain close relations with the United States and is currently negotiating a separate trade agreement with the U.S. administration.

Ruto has defended his government’s engagement with China, arguing that expanding trade opportunities is essential for economic growth and reducing dependency.

Investment And Economic Stability

The announcement comes amid signs of economic resilience in Kenya. Ruto said inflation and the Kenyan shilling have remained stable over the past year.

Foreign direct investment also crossed the $2 billion mark for the first time in 2025, representing an increase of more than 15 per cent compared to the previous year.

Strengthening Economic Outlook

The trade deal is expected to open new opportunities for Kenyan exporters while reinforcing China’s role as a key economic partner in the region.

As Kenya navigates relationships with both China and the U.S., the agreement highlights Nairobi’s strategy of balancing global partnerships to support long-term growth.

(with inputs from Reuters)