alfares

Car Shipping from Dubai to Ethiopia

2023-06-10

Car Shipping from Dubai to Ethiopia

Cars are shipped from the Emirate of Dubai in the United Arab Emirates to all parts of the world, and of course to the continent of Africa, and among the African countries to which cars are shipped from Dubai is Ethiopia, especially after Ethiopia became a major contributor to the DP World Agreement and the Somaliland Ports Authority DP World owns 51% of the project, Somaliland 30% and Ethiopia the remaining 19%. The UAE has adopted the implementation of a land road linking the port of Berbera in Somalia to Addis Ababa in Ethiopia, which supported sea freight operations from Dubai to Ethiopia.

Currently, the ratio of cars to people in Ethiopia is 2 cars to 1,000 people, and it is considered one of the lowest rates of car ownership in the world, there are only 600,000 cars registered in Ethiopia and 84% are taxis, and most of the cars on the road are used cars that were imported from Gulf countries.

Car shipping methods from Dubai to Ethiopia:

1- Sea freight:

 Of course, it is the least expensive shipping method, and sea freight is carried out by shipping cars by containers. This method is useful in the case of transporting luggage inside cars, and in the case of shipping expensive cars.

Or by RORO ships, in which the driver is allowed to drive the car inside and outside the ship, but the car must not be loaded with any baggage. All cars must be in full working order.

How car shipping from Dubai to Ethiopia is done:

The car is transported by trucks from anywhere within the Emirate of Dubai to the Jebel Ali port in Dubai, then the ships move by sea to the port of Djibouti, and after the arrival of the ships loaded with containers to the port of Djibouti, then the containers are transported to the Ethiopian capital - Addis Ababa - by trucks, Shipping may take more than ten days to ship from the United Arab Emirates to Ethiopia.

2- Airfreight:

It is considered the most expensive alternative to sea freight due to the presence of higher safety in maintaining the cars with faster arrival at the desired destination.

Conditions for importing cars into Ethiopia:

  • Only left-hand drive vehicles are allowed to be imported into Ethiopia.
  • There is no requirement to check before shipping the used car.

Taxes and customs on cars:

  1. All cars imported into Ethiopia are subject to high taxes and fees.
  2. Cars must be shipped with the original bill of lading upon entering customs, and the bill of lading must show the chassis number, engine number, engine capacity, year of manufacture, brand, and model.
  3. All imported cars must be accompanied by the original ownership certificate, purchase invoice, or receipt.
  4. The customer must also show a valid driving license and an international insurance policy.

Duties and taxes on imported vehicles in Ethiopia:

There are five types of taxes imposed by the Ethiopian government on imported cars, which are: service rate, excise tax, surcharge, withholding tax, and value-added tax. Taxes are calculated on different types of cars as follows:

1- Cars with a cylinder capacity of 1000-1300 cc

  • Service rate: 35%
  • Excise tax: 30%
  • Surcharge: 10%
2- Cars with engines with a cylinder capacity of 1300-1800 cc
  • Service rate: 35%
  • Excise tax: 60%
  • Surcharge: 10%
3- Cars with an engine capacity of more than 3000 cc
  • Service rate: 35%
  • Excise tax: 100%
  • Surcharge: 10%
4- Diesel cars with a cylinder capacity of not more than 1300 cc
  • Service rate: 35%
  • Excise tax: 30%
  • Surcharge: 10%
5- Diesel cars with a cylinder capacity of 1300-1500 cc
  • Service rate: 35%
  • Excise tax: 60%
  • Surcharge: 10%
6- Cars to transport goods
  • Service rate: 10%
  • Excise tax: 0%
  • Surcharge: 0%
7- Public transport vehicles (diesel) with a seating capacity greater than or equal to 15 passengers
  • Service rate: 10%
  • Excise tax: 0%
  • Surcharge: 0%
Note - For all vehicles, withholding tax is 3% and VAT is 15%

Documents required for customs clearance:

  • Address and registration certificate
  • Commercial invoice/purchase or receipt
  • Driving license and international insurance policy (green card)
  • Bill of Lading (BOL)
  • Letter of support (non-diplomats, schools, private organizations, NGOs, etc.)
  • A permit from the Ministry of Transport and Communications at the Roads Authority (issued to the shipper by a diplomatic organization or mission).

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