logo
Latest News
Follow
Sunday / 16 February 2025
HomeFeaturesThe only time you can import a used car to South Africa

The only time you can import a used car to South Africa

The importing of used vehicles is strictly controlled in South Africa, however, there are certain criteria under which you can bring in a car from another country completely legally.

According to the International Trade Administration Commission of South Africa (ITAC), the importing of vehicles to the country is only allowed under the following circumstances:

  • The vehicle was owned by an immigrant in another country prior to getting a permanent residence permit issued by the Department of Home Affairs.
  • The vehicle was owned by a returning South African who had it registered in their name for at least six months while employed abroad.
  • A physically disabled person requires a specially modified vehicle and can supply relevant supporting documents.
  • The imported car is a racing vehicle and the applicant is a national or international racing driver.
  • The car is considered a vintage model, being 40 years or older, or is regarded as a collectable.

Should a particular model not satisfy one or more of these conditions, the application for importation will not be considered.

R8-billion headache

The stringent rules and regulations that guide the importing of used cars intend to protect the domestic vehicle manufacturing industry whilst simultaneously ensuring that the millions of cars traversing the country’s roads every day meet the necessary safety standards.

Even so, illegally imported vehicles are rife in South Africa, costing the state some R8 billion per year in foregone licensing fees, taxes, and other associated expenses.

Known as “grey imports”, many of these models originate from first-world, right-hand-drive countries which usually have policies in place discouraging long-term usage of vehicles.

For example, in Japan, motorists with cars older than 13 years are required to pay an extra 10% fee on annual vehicle taxes.

Likewise, the cost of getting a used car back on the road, including reregistration and roadworthiness tests, is very high relative to what it would cost to simply purchase a new one.

This is meant to encourage citizens to support local manufacturers by buying new vehicles every few years.

As such, countries like Japan end up with large stockpiles of used cars that are still perfectly driveable, and they dispose of them by auctioning them off and exporting them to other regions with more lax restrictions on vehicle age.

South Africa has emerged as one of the top destinations for used Japanese cars despite its restrictive import regulations.

Naamsa the Automotive Business Council estimates that as much as 7.5% of the 12.5 million passenger vehicles on the country’s roads are here illegally, many of which hail from the East Asian nation.

It is believed that the majority of these grey imports enter the country through legal loopholes.

Used autos may be brought into South Africa for export to a neighboring country, however, what often happens is that once these vehicles land at local ports, they are loaded onto trucks to be transported to the nation’s borders, but on the way they disappear into the country they now call their new home.

Likewise, citizens from neighbouring regions like Botswana, Lesotho, and eSwatini often drive their vehicles across the borders into South Africa and don’t leave.

There are numerous risks associated with grey vehicles.

For one, they oftentimes adhere neither to safety nor roadworthy regulations and are consequently more prone to accidents, which puts legal road users in more danger while also placing an unnecessary burden on the Road Accident Fund.

Grey vehicles have also seeped into the used-car market where they are regularly sold as legally licensed models at very attractive prices.

Apart from safety concerns, buyers who unknowingly purchase these cars could get in trouble with the law if they are pulled over at a roadblock and the officers realise they are in possession of an illegally imported car.

In this scenario, the innocent individual could not only face hefty fines but also be criminally charged, and there is a high likelihood the car will be impounded.

In the event of an accident, the driver could also face liability issues, and in severe cases jail time, if found guilty of consciously purchasing and using a grey vehicle.

Furthermore, no insurance company in South Africa will cover grey vehicles, leaving the owner without protection in cases of accidents or theft.

Authorities have made inroads into stemming the flow of grey vehicles over our borders by moving relevant imports from South Africa to Mozambique, however, it remains a real threat to consumers and the domestic vehicle industry.

ITAC thus recommends that motorists be weary of companies and websites advertising the sale of cheap imported vehicles in South Africa, and to ensure that these cars meet import criteria before spending any money on them.

Show comments