The new car market in the UAE has experienced healthy growth. Also the used car market has seen significant expansion as well. According to UAE-based publication The National “The used car market in the UAE is worth around US$2.5 billion in business and it is growing by a strong 15 percent annually.” In a recent article Gulf News reports “The rise in demand for used cars comes as the UAE’s automotive sector witnessed steady growth. Figures by Jebel Ali Free Zone show that the value of its automotive trade increased by more than fourfold from $1.1 billion in 2004 to $4.7 billion in 2013. Total sales in the GCC are expected to touch 2.27 million units by 2020, driven by the UAE and Saudi Arabia, says consultancy Frost & Sullivan. It estimates that 350,000 cars were sold in the UAE last year and expects this number to rise to 550,000 by 2020.” (1)
According to the blog Best Selling Cars, Toyota is the most popular manufacturer in the UAE with a 30.1% share, followed by Nissan (17.2%); Mitsubishi (12.4%); Hyundai (5.3%), BMW (4.7%) and Ford (4%) followed by Lexus and Land Rover. (2)
- Significant growth in demand for used car sector.
- Comparatively low duties
- Demand for vehicles in the UAE is driven by quality vehicles. Therefore, a diamond in the rough type vehicle may not find a buyer in this market.
- Vulnerability to the international economic climate and political instability in the Near and the Middle East.
- A high rate of unemployment, poverty and inequality concentrates spending power in a smaller segment of the population. (3)
Departure Ports Serving United Arab Emirates
- Everett, WA
- Port Hueneme, CA
- Galveston, TX
- Jacksonville, FL
- Baltimore, MD
- Newark, NJ
- New Westminster, Canada
Container Shipping Departure Ports (Shared and Full Containers)
- Oakland, CA (Shared & Full)
- Long Beach, CA (Shared & Full)
- Houston, TX (Shared & Full)
- Miami, FL (Full)
- Savannah, GA (Full)
- Newark. NJ (Full)
Arrival Port (RORO and Container Ships)
- Jebel Ali, UAE
A clear Title of Ownership is required. The Title of Ownership must be signed over to the new owner. The new owner has to sign the title to clear US Customs prior to departure for the UAE.
There are no restrictions regarding the age of the vehicle.
Other Import Procedures
Import Duty UAE
Import duty and taxes are due when importing goods into UAE. The valuation method is CIF (Cost, Insurance and Freight), which means that the import duty and taxes payable are calculated on the complete shipping value, which includes the cost of the imported goods, the cost of freight, and the cost of insurance.
No additional taxes or fees are levied on imports.
Duty rates in UAE vary from 0% to 100%, with an average duty rate of 4.61%.
There is no sales tax applicable on imports in UAE.
Imports with a CIF value up to AED1000 are exempt from duty.
Other taxes and custom fees
There are no other taxes or fees charged on imports in UAE.
Local Customs office and contacts
More information on import declaration procedures and import restrictions can be found at Dubai Customs.
For US-based exporters, contact the UAE Embassy in Washington, DC for the latest import tax information.
Embassy of the United Arab Emirates
3522 International Court, Northwest
Phone: (202) 243–2400