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Japan Used Car Import Duty Regulation in Kenya. Vehicles that you import into Kenya must meet the Kenya Bureau of standard code of practice for inspection of road vehicles, which ensures that the vehicle meets safety and environmental standards. The code spells out the major criteria for acceptance of vehicles of importation:
Year Restrictions : Max. 8 Years Old
Vessel Schedule : RoRo (Monthly)
Destination Port : Mombasa
Shipping Line : K Line/ MOL / Hoegh/ Hyundai Glovis
Time of Shipment : RoRo (24-34 Days)
Inspection : QISJ/JEVIC
Major ports in Kenya for importation of used vehicles are Mombasa and Dar-Es-Salaam.
Right Hand Drive:
All vehicles imported must be Right Hand Drive (RHD). However, special vehicles such as ambulance, fire engine, large construction vehicle are exempted from this ban.
The vehicle must not be more than eight years old from the year of first registration. The difference between the registration date and the manufacturing date should not be more than a year.
Inspection on Vehicles:
Inspection on vehicles imported to Kenya, must be done either by JEVIC (Japan Export Vehicle Inspection Center) or QISJ (Quality Inspection Services Japan) for road-worthiness.
- No more than 7 years after first registration year.
- No more than 1 year gap between first registration year and manufactured year.
Customs Clearance at the Port of Mombasa
To clear the vehicle through Customs Services Department of the Kenya Revenue Authority (KRA), you have engage the services of a licensed clearing and forwarding agent with authorized access to the KRA Customs System for clearance of cargo. It is important to include all information required on your custom clearance which include:
- Original Logbook from the country of origin.
- Original Commercial Invoice.
- Original Bill of Landing.
- Import Declaration Form
Documents Required for custom clearance:
- Original Passport
- Original Bill Of Lading (BOL), MASHO
- Original Commercial Invoice
- Pre Inspection certificate
- KRA Pin card
- Authentic Vehicle Logbook: Certificate of export by Dubai police or any other authority as a substitute for foreign book shall not be accepted by KRA (Kenya Revenue Authority). English translation of logbook will be provided by embassy, High Commission or consulate based in Kenya, in case logbook is in foreign language.
Taxation in Kenya:
The vehicle import duty varies by the vehicle you have imported; import duty depends on a few factors, which determine the Current Retail Selling Price (CRSP) of the vehicle straight from the manufacturing plant:
- Month/Year of Manufacture/Registration: Dec/2013, Jun/2014
- Vehicle Make: Mercedes, BMW, Toyota, Land Rover, Subaru, Nissan.
- Vehicle Model: Allion, Premio, Advan, Bluebird, Defender 110.
- Vehicle Engine Capacity: 1496cc, 1800cc, 2000cc, etc.
You have pay import duty through Customs Services Department of the Kenya Revenue Authority (KRA) payable to National Bank of Kenya and Co-operative Bank of Kenya when you clearing an imported vehicle which includes:
- Import duty: 25% of the Customs value (CIF) of the vehicle i.e. 25% of (Invoice value + Insurance + Freight charges)
- Excise duty: 20% of (Customs Value + Import Duty)
- VAT: 16% of (Customs Value + Import Duty + Excise Duty)
- IDF: 2.25% of the CIF value or Ksh 5,000, whichever is higher is payable.
An Import Declaration Fee (IDF) is also charged. An amount of minimum of $5,000 or 2.25% of CIF is paid prior to the application, depending whichever amount is more.
|25% of Dutiable value
||20% of (Customs Value + Import Duty)
||16% of (Customs Value + Import Duty + Excise Duty)
Import Taxes Rates:
- Railways Development Levy: 1.5% of Custom Value.
Benefits for returning residents to Kenya:
- Kenya returning resident may import one duty free vehicle.
- The importer should be residing outside Kenya for at least two year and should not have visited Kenya on an average of more than 90 days.
- The vehicle must be used by the importer for at least a year.
- No similar exemption has been provided in the past.
FAQ Information in Kenya – Japan Used Car Import Duty Regulation in Kenya
1. WHAT ARE WAYS BY WHICH TO IMPORT USED CAR INTO KENYA?
In Japan there are two way for import the vehicle in Kenya such as:
- Stock Method and
- Auction Method
2. HOW TO IMPORT THE USED VEHICLE IN KENYA THROUGH STOCK METHOD?
Use the following steps:
- Find the reliable supplier
- Select the car.
- Send the Inquiry to supplier.
- Negotiate with the supplier.
- Send the request for Performa statement.
- Place the order for delivery.
- Transfer the full payment to the supplier account.
3. HOW TO IMPORT THE USED VEHICLE IN KENYA THROUGH AUCTION METHOD?
Use the following steps:
- Registration for to create the membership account.
- After complete the membership form to login and searching for your favorite car and bid the car.
- After bidding, you will require to deposit the bidding.
- After deposit the amount, you can choose your preference car.
- After that translate the car inspection cost.
- You will quote the winning bid price.
- If the bidding is successful, an invoice is sending you with full costs including insurance and freight to Mombasa.
- After receiving the invoice you will transfer the full payment.
- During the whole process, you will be updated on the progress via email.
4. HOW TO CALCULATE FREIGHT CHARGES TO IMPORT ANY JAPANESE USED VEHICLES INTO KENYA?
FREIGHT = M3 OF VEHICLE X M3 RATE IN US$
Size of Toyota Corolla Fielder = 11.4 M3
Freight Charges = US $90 per M3
Calculation will be 11.4 x 90 = 1026
5. WHAT ARE THE DOCUMENTS REQUIRED TO IMPORT VEHICLE FROM JAPAN TO KENYA?
There are following document are require-
Car import requirements:
- Vehicles have to be less than 8 years can be imported into the country.
- Vehicles have to be Right Hand Drive. (Emergency units that are left hand drives can be allowed if they satisfy import requirements).
- Both RO/RO & Container shipping services accepted.
- Vehicles need to be inspected by Japan Export Vehicle Inspection Center (JEVIC).
- Insurance needed.
Original documents that are needed for clearing a vehicle at the port:
- Certificate of Permanent Export or Vehicle Registration Document.
- Bill of Lading.
- CIF Invoice.
- Import Declaration Form obtained from Customs.
- Authentic Original Logbook from country of origin.
6. WHAT IS USED VEHICLE IMPORT LAW IN KENYA?
Vehicle Import Law in Myanmar-
- The vehicle must not be more than 8 years old from the year of first registration Import License Fee is payable on CIF.
- Hence in 2013, only vehicles which are manufactured in the year 2006 and onwards will be allowed for import Commercial Tax.
- All vehicles imported to Kenya must right-hand drive (RHD) except for special vehicles such as ambulance and fire engine.
- All vehicles must undergo car inspection done by JEVIC (Japan Export Vehicle Inspection Centre) before being shipped to Kenya.
7. WHAT ARE MAJOR PORTS IN KENYA?
Mombasa is the major port in Kenya and the entire Eastern African coast.
8. WHO ARE THE SHIPPING LINES IN KENYA?
There are given shipping lines of Kenya:
- Global Container Lines
- Ignazio Messina & Co
- Mediterranean Shipping Co
- P&O Nedlloyd east Africa Ltd.
- Wec Lines Kenya Ltd.
9. WHAT DOCUMENT ARE REQUIRE TO IMPORTER, WHEN IMPORT THE USED CAR IN KENYA?
- Age Limit: In 2013 only vehicles manufactured in the year 2006 and onwards will be allowed to be imported into Kenya.
- Left Hand Drive Vehicles: All left-hand drive vehicles are not allowed for registration unless they have a special purpose.
- Road Worthiness: All motor vehicles imported into Kenya must be inspected prior to shipment by JEVIC or QISJ for road worthiness.
10. WHAT IS YEAR LIMIT OF USED CAR WHICH IMPORT IN KENYA?
When importing a used vehicle to Kenya, one must consider that the vehicle should be not older than 8 years.
11. DOES ROAD WORTHINESS INSPECTION IS REQUIRE IN KENYA?
Yes, the Road worthiness Inspection is required in Kenya. The Kenya Bureau of Standards (KEBS) has appointed JEVIC for the conduct of the pre-export Roadworthiness Inspection (RWI) of used motor vehicles from Japan and Dubai, destined for use within the Republic of Kenya.
12. WHAT IS DRIVE AND TRAFFIC DIRECTION IN KENYA?
It is important to know that the traffic flow might be right or left. So, vehicles are manufactured in left-hand drive (LHD) and right-hand drive (RHD) configurations based driving seat and controls within the vehicle. Drive direction is the opposite of the traffic flow direction.
13. THE VEHICLE STOCK WHICH IS PURCHASED FOR KENYA IS BASED?
All stock which purchased for kenya is based on the Japanese used car auctions.
Despite the major recession and its effects on the Auto industry, Kenya has been buying Japanese Used Cars for their best quality, reliability and low prices. Kenya Imports more than 20,000 units annually. Demands are ever-increasing with the economic growth of the nation.
Japan Used Car Import Duty / Regulation in Kenya
By Container: Japanesecartrade.com Year: 2013 URL: https://info.japanesecartrade.com/content-item/35-japan-used-car-import-duty-regulation-in-kenya