China Square, a Chinese retailer in Kenya, has temporarily halted its operations to evaluate its strategy after a section of Nairobi traders complained about its pricing.
The retailer has been selling commodities at a cheaper and more affordable rate, drawing hundreds of Kenyans to Unicity mall, a move that Kenyan traders feel will elbow them out of business.
Trade and Industry Cabinet Secretary Moses Kuria welcomed China Square’s decision to halt operations, emphasizing the need for Kenyan and Chinese business communities to coexist and compete favorably within a framework that ensures both countries win.
Kuria said that he would work with China Square’s owner to establish a manufacturing plant in Kenya to produce goods that Kenya can trade in, rather than compete with local businesses in the retail sector.
Kuria also offered to buy out the lease for China Square, and Unicity Mall, and hand it over to the Gikomba, Nyamakima, Muthurwa, and Eastleigh Traders Association.