Vehicle Import Duty by Country: How to Read the Number

Vehicle Import Duty by Country: How to Read the Number

Duty is rarely one number. Here is how it is built, with worked examples for Chile and Kazakhstan, and where to check the current rate for your market.

A landed-cost quote that only counts duty will be wrong. Duty is one line in a stack that also includes freight, insurance, VAT or its local equivalent, port and clearance charges, and any certification cost.

This page explains the order of the calculation and gives worked examples. It does not replace the destination tariff.

How much is import duty on a car?

Import duty depends on the destination and the vehicle. Chile applies 6% duty plus 19% IVA on new vehicles, with used vehicles admitted through the ZOFRI free zone; Kazakhstan, as an EAEU member, applies 10% duty plus 12% VAT. Other markets set their own rates. Always confirm the current rate with the destination customs authority before pricing a deal.

Worked examples

Indicative treatment for new vehicles; used-vehicle rules differ. Confirm current rates with the destination customs authority.
MarketDutyVAT / consumption taxNote
Chile6%19% IVAUsed vehicles only via the ZOFRI free zone
Kazakhstan10% (EAEU)12% VATEAEU common tariff; EAC declaration required
Russia10% (EAEU)20% VATEAEU common tariff; utilisation fee may apply
UAE5%5% VATConfirm current rate and clearance port

The order of the calculation

Start with the CIF value: goods value plus international freight plus insurance to the destination port. Duty is charged on that customs value. VAT is then charged on the customs value plus duty, which is why the two compound. Port handling, clearance and certification come on top. Any quote that stops at the duty percentage understates the landed cost.

Why two quotes for the same car differ

Four things move the number: the customs value used (transaction value versus a reference value), the freight and insurance included, the exchange rate applied on the day of clearance, and the port and broker charges at destination. A lower duty rate can still produce a higher landed cost if the freight or the clearance charge is higher.

Where to check the current rate

Use the destination customs authority's published tariff and confirm with a licensed broker in that market. Our country pages carry the age limit, duty treatment and main ports for each market we serve, with the source noted; use them for planning, then confirm the rate before you sign.

FAQ

Is duty calculated on the car price or the CIF value?
Usually on the customs value, which is built from the transaction value plus international freight and insurance to the destination port. Some markets use a reference value instead. Confirm the basis with the broker.
Does VAT apply on top of duty?
In most markets yes: VAT is charged on the customs value plus duty, so the two compound. Chile's 19% IVA and Kazakhstan's 12% VAT are both applied on the duty-paid value.
Do used vehicles pay the same rate?
Not always. Some markets apply a different rate or restrict used vehicles to a free zone. Chile is the clearest example: used vehicles are handled through ZOFRI rather than the mainland regime.

Rates are indicative and change. Binding rates are set by the destination customs authority; confirm before pricing. This page is not tax or legal advice.

Want a landed-cost estimate for a specific unit?

Send the model, destination port and target year. We will reply with a cost breakdown built on the current rate and the documents required.

Final prices and terms are confirmed in the formal contract.

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