Chinese construction giant LiuGong opens East Africa hub in Kenya

LiuGong, the world’s 10th-largest construction equipment manufacturer, produces heavy-duty machinery such as excavators, wheel loaders, dozers, graders, cranes, and road rollers. The firm aims to tap into East Africa’s booming construction industry, serving the eight-member East African Community (EAC), which has a combined GDP of $295 billion and a growing population of 350 million.

Speaking at the opening ceremony, LiuGong Group CEO Guangan Zeng said the move aligns with the company’s strategy to expand its footprint and enhance product offerings in Africa. He also announced plans to collaborate with a Kenyan university to transfer mechanical engineering technology, helping to train local engineers and boost Kenya’s manufacturing sector.

“We are not just establishing a business hub; we are committed to technology transfer and capacity building for young engineers,” Zeng said.

The company also plans to drill boreholes as part of its corporate social responsibility to address water shortages.

Machakos Deputy Governor Francis Mwangangi welcomed LiuGong’s investment, calling it a vote of confidence in the county’s growing reputation as a business destination. East African Legislative Assembly MP Kennedy Musyoka urged the firm to partner with technical and vocational training institutions.

South Eastern Kenya University (SEKU) has already expressed interest in a partnership with LiuGong, which would expose its engineering students to cutting-edge technologies. Vice Chancellor Prof. Douglas Shitanda said discussions with LiuGong were ongoing.

The launch comes at a time when Kenya, Uganda, and Tanzania are rolling out major infrastructure projects, including hydropower dams, gas stations, and road upgrades. In Kenya, LiuGong is eyeing the Ksh 325 billion High Grand Falls Dam project and 32 smaller dams for irrigation.