The import of used cars was released + conditions

According to the online economy report, the second-hand car import bill was approved by the Islamic Council in April this year and after many consultations, the members of the parliament finally agreed on the single article of the two-urgent bill for the import of used passenger cars with a maximum age of five years on June 28 this year.

Parliament approved the import of used cars

According to the law approved by the parliament, technology transfer is not required for the import of these cars.

Also, the executive regulations of this article include matters such as how to provide the required foreign currency and support domestic production, the technical criteria of these cars (less than 5 years old at the time of entering the customs) and how to verify them and the conditions of import by natural and legal persons. At the suggestion of the Ministry of Industry, Mining and Trade in cooperation with the Central Bank of the Islamic Republic of Iran, the Customs of the Islamic Republic of Iran, the Environmental Protection Organization and the National Standards Organization of Iran, the law will be prepared and approved by the Board of Ministers within one month after its entry into force. The Ministry of Industry, Mining and Trade is obliged to send the report on the performance of this article every 6 months to the Industries Commission and the Deputy of the Islamic Council.

Also, according to one of the clauses of this law, it is possible to use the national standards of the country or the standards of the country of origin for the imported cars subject to this law, with the approval of the National Standards Organization of Iran and the Environmental Protection Organization.

Rules for importing used cars

According to this resolution, natural and legal persons can import. It is stated in the bill that the executive regulations of this article include matters such as how to provide the required foreign currency and support domestic production, the technical standards of these cars and how to certify them, and the conditions for importing by natural and legal persons and determining their qualifications, according to the proposal of the ministry. Industry, Mining and Trade is prepared and approved by the Board of Ministers in cooperation with the Central Bank of the Islamic Republic of Iran, the Customs of the Islamic Republic of Iran, the Environmental Protection Organization and the National Standards Organization of Iran.

In addition, the removal of the agency condition in the government bill for the import of used cars and the transfer of technology along with having an official agent for used cars has been removed, and the import of used cars with a life of less than five years must have standard and environmental approval.

The value of road construction machinery and vehicles that are allowed to enter the country (both new and used) every year after reviewing the available documents, including the price of the manufacturing companies or the price of the main dealers in third countries or the market price of the machinery and (used) cars will be determined by the Ministry of Industry, Mining and Trade and Customs of the Islamic Republic of Iran and will be the basis for calculating customs duties and taxes. year of manufacture) is applied.

Second-hand car import duties

The import duties of passenger cars in 1402. The sources of import duties (customs duties and commercial profit) of the car depend on the size of the engine and the type of fuel and its driving forces; For example, the entry fees for gasoline cars are as follows:

Gasoline less than 1000 cc 20%

Gasoline 1001 to 1500 cc 70%

Gasoline 1501 to 2000 cc 95%

Gasoline 2001 to 2500 cc 135%

Gasoline 2501 to 3000 cc 165%

Gasoline above 3000 cc, 175%

Customs fees in the import of used cars

9% value added tax on imported goods (from the sum of customs value and import duties)

One percent of the entry fee as the Red Crescent fee

Residual duties are half per thousand of the customs value of imported goods

The import duty of petrol and hybrid vehicles is 10% of the customs value

Rial import duties for minibuses, buses, trucks, trailers, and rides

Passenger car import duties amounting to 5% of FOB value

In case of import without commercial card or by natural persons, 2% tax on account

In addition to this, the standard fee is equivalent to 8 per thousand of the cif value of the car scrapping certificate for the number plate of each cleared car or one and a half (1.5) percent of the car value (10) percent of the car’s customs value according to the clearance document for numbering (guidance and Driving) three percent of the customs value during the numbering of the property transfer fee, municipal fees when the number plate depends on the type of car.

The meaning of ride includes normal ride, station ride and work ride according to Article 1 of the Traffic Code and its subsequent amendments (capacity with driver up to 15 people). In the first step, the import of all cars requires an order registration permit from the Ministry of Industry, Mining and Trade, obtaining a certificate from the standards and environment. Also, the origin of the car import currency must be approved by the Central Bank.

Conditions of imported used cars

The first special condition for second-hand imported cars is to operate for a maximum of 5 years. It means that the imported car must be manufactured at least 5 years ago. The next point is whether the imported car belongs to the member states of the European Union, England, Japan or South Korea. Toyota, Nissan, Suzuki, Honda, Lexus, Mitsubishi and Mazda are Japanese brands, and Hyundai, Kia and Ssangyang are Korean brands approved by the National Standards Organization. The prestigious brands of European and British countries include Benz, BMW, Seat, Skoda, Audi, Volkswagen, Mini, Apple, Volvo, Fiat, Maserati, Renault, Peugeot, Mann, Scania and Iveco.

Another standard for second-hand imported cars is to have a general WVAT approval on the license plate. Also, every vehicle must have a GCC approval certificate confirming GSO of the Persian Gulf countries.

Compliance with the Emark COC standard certificate is one of the other requirements for the entry of used cars. Also, every car, in addition to having a Chinese approval certificate or CCC, must have an approval certificate from the EAC countries of the Eurasian Union.

In this way, the seven standards of second-hand imported cars can be summarized in the following cases.

Having a type approval validation certificate from the standard organization in the last 5 years

Belonging to the prestigious brands of European Union member countries and England, Japan or South Korea

Have a general WVTA approval listed on the identification plate

Compliance with the Emark COC standard certificate

Having a GCC approval certificate confirming GSO in the Persian Gulf countries

Having China CCC approval certificate

Having a certificate of approval from the countries of the Eurasian Union EAC

Conditions for importing used cars

In addition to the above standards, other conditions have been announced for the entry of used cars. Importing a used car is subject to the payment of customs duties and taxes, the amount of which depends on the type and value of the car. The importer is also required to purchase body insurance for the used car and have a valid driver’s license.

Any natural or legal person can import a used car. The currency required for import can be personal or of foreign origin. In any case, it is necessary to confirm the origin of the currency by the central bank.

Due to the maximum operation of 5 years, therefore, only 2018 model cars and later are included in the list of permitted imports. Also, there is no need to obtain a certificate from the Standard and Environmental Organization for importing a used car.

Approval of the regulations for the import of used cars in the Ministry of Security

In August of this year, Akbar Talarpashti announced the approval of the bylaws for the import of used cars in the Ministry of Security and said: This bylaw has been approved by the Ministry of Security and has been sent to the government board for review and approval.

The representative of the people of Tehran, Shemiranat, Ray, Islamshahr and Pardis in the Islamic Council said that we hope the government will approve the car import regulations as soon as possible, and continued: We want the government to put this issue on the agenda as soon as possible because this is a demanding issue. is the people

At the beginning of Shahrivar month, the Minister of Peace announced the sending of this regulation to the government board, so that after the approval of the government, the implementation phase of this law will begin.

Approval of regulations in the government board

The review and approval of the second-hand car import law in the cabinet lasted until the end of October. Finally, on Sunday, October 30, Abbas Aliabadi, after attending the Presidential Public Communication Center, told reporters about the second-hand foreign car import regulations: Fortunately, the regulations The import of second-hand foreign cars was approved by the Council of Ministers in the last week’s meeting and will be announced soon. “The government office will soon announce this regulation so that the people can get what they want.”

He said about the prolongation of the process of promulgating the regulation of second-hand foreign cars: Second-hand cars are not a common phenomenon, they may be old and must “pass the standards” in order to be governed by regulations. Therefore, it is natural and obvious to talk about these cars in specialized meetings.

Minister Samet continued: Since we give the people the possibility to personally purchase these cars, we should also worry about the “currency” so that the society is not harmed by the price fluctuation. For this reason, long discussions were held in working groups and commissions, and the government approved a supervisory committee to monitor this issue so that the masses of people do not suffer from this issue.

Customs circular for the import of used cars

On the 10th of November, the Iranian Customs issued a circular on the issue of banning the entry and unloading of used cars without registering an order.

It is stated in this circular: Following the numerous inquiries of colleagues regarding the issue of “imports of used cars”, it is informed; Taking into consideration the provisions of Note (3) of Article (7) of the Law on Combating Goods and Currency Smuggling and that it is stipulated that only after the order is issued, permission to unload used passenger cars will be given in order to prevent any losses to Compatriots, this matter should be properly informed to the stakeholders so that before unloading the mentioned vehicles at the customs places, they will receive the permission to register the order and take the necessary measures to prevent the unloading of the vehicles without order registration at the customs places.

It is obvious that the responsibility of monitoring the proper implementation of this notification will be the responsibility of the highest executive customs authority.

Liberalization of import of used commercial vehicles for companies

In October of this year, the conditions for importers of all types of tractors, trucks, buses, minibuses and vans with a lifespan of less than 5 years were announced.

Domestic production factories: 300 units per stage

Transport companies with authorized and valid activity license of the Road Organization: 25 vehicles per stage

Importers with a license to import cars from the Ministry of Industry, Mines and Trade: 25 vehicles per stage

Self-owned drivers with smart cards and self-owned transport companies can also import tractors, trucks and vans.

Also, in order to receive technical approval, importing companies must upload their application for fleet import with the image of the company’s articles of association, business card, identity documents of the signatories in the rpf.rmto.ir system and in relation to the registration in the mentioned system by specifying the number and The requested type of fleet should act based on paragraphs 1 and 2.

In order to benefit from the 50% commercial profit discount, importers are required to submit a notarized letter of commitment to the Road and Road Transport Organization.

Application for order registration of used cars

In August this year, after the second-hand car import law was passed, the trade association of car after-sales service companies announced in a letter to the applicant companies that according to the order of the ministry of secrecy, the companies applying for the import of used cars must announce the type and time of import of the car they are considering by 24 August at the latest. do.

It is stated in this letter: Following the meeting of the association on 21 August 1402 with the experts of the General Directorate of Automobile Industries of the Ministry of Silence regarding the issuance of the license to import used cars, in order to make the necessary arrangements, it is requested that if that company or the relevant parent company intends to import used cars They are instructed to inform the forum about the time of importation, type and type, brand (mark), model, engine capacity, number and value limit of the desired cars, no later than the end of office hours on Tuesday, 24 August 1402.

Where did the import of used cars end up?

Referring to the implementation status of the used car import regulations, Ali Bahadari Jahormi said: Regarding the implementing regulations of Note 2, Article 11, the subject of the Law on the Addition of Articles to the Law on the Organization of the Automobile Industry, which is related to the import of used cars, two discussions should be taken into account at the same time; First, the needs of the car market are met, and the second issue is to consider the currency used in this regard.

He added: In the meeting of the government, under both of these topics, points were raised by the central bank and the relevant ministries, and finally it was decided that this regulation will be referred to a working group in order to sum up all the points and points of view, the possibility of importing cars without creating rent and corruption for provide the people and at the same time not have a negative effect on the currency market, which will again increase the price of domestic and foreign cars and cause inflation. The spokesperson of the government emphasized: This regulation is currently being discussed and reviewed in the relevant working group and expert work is being done on its various components so that it can be finalized and be included in the agenda of the government board meetings.

Therefore, it seems that the implementation of the second-hand car import law still needs more time. According to the officials, it seems that the supply of foreign currency is the most important challenge of this law, but it is not clear when the importation of these cars will be removed.