However, the low prices one pays for models of brands like BYD, Geely and Changan which we frequently see used in international markets make importing a problematic yet affordable option. The first step of the import process is sourcing cars that meet all local regulations in the country they are to be sold. Countries like Kenya and Nigeria allow imported vehicles to be up to six or eight years old, respectively. The issue of emission standards is also a major one, given the strict environmental regulations in many countries, as well as requirements similar to those for Euro 5 or -6.
When vehicle type is selected, then buyer need to verify all documents of import. These will usually include the initial bill of sale, vehicle inspection certificate, export customs declaration and the bill of lading that specifies how the car was shipped. Rolled-on and rolled-off (RoRo) freight options or container shipping will affect the overall cost of shipping, with RoRo usually being cheaper where it is available. The shipping cost would run between $1,500-$2,500 depending on the size and weight of the vehicle and the distance to the country receiving it.
It is critically important to handle the import tax and other fees correctly. All the countries apply a mix of import duty, VAT and environmental taxes upon imported vehicles. In Africa, for example, import duty on used cars can reach 35%, plus a penny of value-added tax. Some countries also enforce higher tariffs on foreign brands. It is these costs that an importer must take into account to keep the final cost in budget. International buyers can easily import used cars with platforms like Autocango taking care of documentation, shipping and the quality guarantee.
At any given time, a vessel may depart from one of the many ports in China (eg: Shanghai or Guangzhou) and sail down to Africa or up to South East Asia (maybe 30-45 days). In addition, the time of customs clearance is alsocrucial — usually requiring from 3 to 10 days; this will depend on how efficiently a destination country identifies and holds cargo. This process can be hastened with the help of seasoned import agents, avoiding potential delays.
Proper vehicle specifications are critical to ensuring the local criteria is met. In countries such as Kenya and Tanzania, for instance, a left-hand drive is almost always a no-go whereas in many parts of west Africa you will be driving one even if you request right-hand drive. Making certain these details therefore conform with local regulations will avoid risks and additional conversion costs.
In the words of Henry Ford: “Obstacles are those frightful things you see when you take your eyes off your goal.” Importing a used car from China might sound rather complicated, and indeed it is — but an import specialist can certainly make this route to ownership more straightforward. The convergence of these trends is creating a large (and growing) opportunity for US and international companies to provide services making the China used car industry more accessible for global buyers.