For Tanzanian entrepreneurs and businesses looking for affordable, diverse, and technologically advanced vehicles, importing directly from China offers a compelling opportunity. This guide breaks down everything you need to know – from policies to practical steps.
Why Import Cars from China? Key Advantages
- Competitive Pricing: Chinese brands (BYD, Geely, Great Wall) and joint ventures (e.g., Tesla made in Shanghai) offer 20-40% lower prices than equivalents from Japan or Europe.
- Wide Selection: Access sedans, SUVs, trucks, EVs, and specialized vehicles (e.g., construction trucks) tailored to African markets.
- EV Leadership: China dominates EV production – ideal for Tanzania’s growing eco-conscious market. BYD, NIO, and XPeng offer cutting-edge tech at accessible prices.
- Customization: Manufacturers often accommodate requests for right-hand drive, rugged suspensions, or higher ground clearance.
Understanding Tanzania’s Import Policies
- Age Restrictions: Used cars: Maximum 8 years old from the date of manufacture. New cars: No restrictions.
- Taxes & Duties:
- Import Duty: 25% of CIF value (car + insurance + freight)
- Excise Duty: 10%–20% (based on engine size)
- VAT: 18%
- TRA Levy: 0.3% Example: For a 20,000CIFcar:Totalduties≈∗∗20,000CIFcar:Totalduties≈∗∗11,000–$13,000**.
- Required Permits:
- TIN (Taxpayer Identification Number)
- Import License from Tanzania Revenue Authority (TRA).
- CEPA Certificate (for used vehicles, proving roadworthiness).
Step-by-Step Import Process
1. Find a Reliable Supplier
- Platforms: Alibaba, Made-in-China, or attend trade shows (e.g., Canton Fair).
- Verify Legitimacy:
- Request business licenses (营业执照).
- Use inspection services (e.g., SGS) for quality checks.
2. Negotiate Terms & Ship
- Trade Terms: Use FOB (Shanghai/Shenzhen) or CIF (Dar es Salaam). CIF recommended for beginners.
- Shipping:
- RORO (Roll-on/Roll-off): Cost-effective for 1–10 vehicles.
- Container Shipping: For high-value cars or partial loads.
- Key Ports: Dar es Salaam, Tanga.
3. Prepare Documentation
Essential paperwork includes:
- Commercial Invoice
- Bill of Lading
- Packing List
- Certificate of Origin
- Export Declaration (China)
- TRA Import License
4. Clear Customs in Tanzania
- Hire a Clearing Agent: Costs 200–200–500 but ensures smooth clearance.
- Inspection: TRA and TBS (Tanzania Bureau of Standards) verify compliance and value.
- Pay Duties: Calculate using TRA’s online simulator.
- Release: Once duties are paid, collect the vehicle from the port.
5. Register & Operate
- TIN Registration: Mandatory for commercial imports.
- Road License: Apply through TRA or regional offices.
Pro Tips for Success
- Avoid “Gray Market” Imports: Only source from authorized dealers to bypass fraud risks.
- Budget for Hidden Costs: Port fees (∼$300), agent fees, and inland transport.
- Consider EVs: Lower duties on EVs in some cases; BYD offers Africa-specific models.
- Stay Updated: TRA’s Electronic Fiscal Device system mandates real-time invoicing – ensure compliance.
Frequently Asked Questions
Q: Can I import electric vehicles from China? A: Yes! EVs like BYD Dolphin or GWM Ora are popular. Reduced duties may apply under Tanzania’s green initiatives.
Q: How long does shipping take? A: 30–45 days from Shanghai to Dar es Salaam.
Q: Are Chinese cars reliable in Tanzania? A: Brands like Chery and Foton have service centers in Dar. Opt for models with local parts support.
Key Resources
- Tanzania Revenue Authority (TRA): www.tra.go.tz
- Shipping Calculator: Freightos
- Tanzania Bureau of Standards: www.tbs.go.tz
Start Your Import Journey Today! With careful planning and the right partners, importing cars from China can unlock huge value for your Tanzanian business. Connect with suppliers, calculate costs, and tap into one of the world’s most dynamic auto markets.
