State revokes licence of Chinese firm over illicit tobacco imports

The government has escalated its crackdown on non-compliant companies, turning its spotlight on Chinese tobacco importers, with a multi-agency inspection revealing that 11 cigarette brands by the firm violated the country’s tobacco laws.
A Tobacco Control Board report to Kenya Revenue Authority (KRA) says a joint inspection led by officials from the Ministry of Health and the Directorate of Criminal Investigations found major regulatory breaches at the tobacco importer’s premises.
Among the flagged brands were Harmonisation, Septwolves, Naijing, Goldenleaf, and RGD Blue, all linked to Chinese manufacturers or importers. The board’s Secretary Anthony Wainaina said that the four named brands were not registered in the Ministry of Health’s official database, raising red flags about their legality and traceability.
Tobacco Control Act “Upon further evaluation, all the 11 brands were found to be in violation of the Tobacco Control Act 2007 and Tobacco Control Regulations 2014,” he stated. ‘
Notably, in 2024, the Ministry of Health had approved Huanghelou Golden and Huanghelou 1916 Filter cigarettes, marking a rare instance where a Chinese brand was found to be in full compliance with local tobacco laws.
But that approval appears to be the exception, not the rule. As of April 2025, the ministry noted that it had revoked all previously issued clearance letters to the importer, effectively banning the sale and distribution of the implicated brands.
“The purpose of this letter is to inform you that all clearance letters issued to your company earlier authorising the importation of the tobacco products are hereby withdrawn/cancelled and recalled with immediate effect,” Wainaina wrote to the KRA Commissioner General.
This crackdown follows years of concern over the influx of foreign firms particularly from China that operate in regulatory grey areas.
Rongtai Steel Company Ltd, a Chinese firm whose manufacturing permits were suspended by the Kenya Bureau of Standards (Kebs) in early 2025, was the most recent company to face government sanction.
Rongtai was found to be producing substandard steel bars in violation of the standard for reinforced concrete. Kebs seized faulty products from the market and ordered an immediate recall of all affected goods.
The agency cited the firm’s non-compliance as a serious threat to public safety, particularly amid rising cases of building collapses in Kenya, many of which have been linked to poor construction materials.
China Communications Construction Company (CCCC) was also flagged for orchestrating a massive VAT fraud scheme worth over Sh1 billion, involving shell companies and fake invoices.
The Tax Appeals Tribunal upheld KRA’s findings, making it one of the biggest tax evasion cases involving a foreign entity in Kenya. Other companies, including Tianyi Limited was charged with evading Sh26 million in taxes,