1. Basic situation

The United Arab Emirates (referred to as United Arab Emirates) is located in the eastern part of the Arabian Peninsula, with its capital, Abu Dhabi. It has a land area of 83600 square kilometers and a population of 9.517 million. According to statistics from the International Monetary Fund, in 2024, the GDP of the United Arab Emirates will reach US$545.1 billion, a growth rate of 6.0%, and the per capita GDP will reach US$48830. United Arab Emirates is the world's third largest entrepot trade center and a trade hub in West Asia and North Africa. China is the United Arab Emirates's largest trading partner, and the United Arab Emirates is China's largest non-oil trading partner in the Middle East and North Africa region. According to China customs data, the bilateral trade volume between China and Afghanistan in 2024 will reach US$101.84 billion, a year-on-year increase of 7.2%. Among them, China's exports to Afghanistan will reach US$65.59 billion, a year-on-year increase of 17.8%. China's imports from Afghanistan will be US$36.24 billion, a year-on-year decrease of 7.8%.

United Arab Emirates is rich in oil and natural gas resources. The proven oil reserves are approximately 15 billion tons and natural gas reserves are 7.7 trillion cubic meters, ranking sixth in the world. The United Arab Emirates has a developed transportation industry and is connected by modern highways. The total length of roads in the United Arab Emirates is about 4080 kilometers, and the quality of roads ranks among the highest in the world.

2. Automobile market situation

According to statistics from China Automotive Industry Information Network, in 2024, United Arab Emirates car sales will be 323,500 units, an increase of 23% over the same period. In recent years, in the face of increasingly severe climate change challenges and increasingly urgent pressure to reduce emissions, countries in the Middle East have accelerated the promotion of green energy transformation and economic diversification, and the development of green transportation has become an important part of them. Electric vehicles made in China are favored by more and more industry insiders and consumers in the region. In 2024, China will export 330145 complete vehicles to the United Arab Emirates, a year-on-year increase of 106%. The United Arab Emirates has become my country's third largest automobile exporter, and the Middle East is becoming a "blue ocean" for China electric vehicle companies to explore the international market.

2018-2024 Automobile sales in United Arab Emirates in 2009

In terms of new energy vehicles, the United Arab Emirates is the first country in the Gulf region to commit to achieving net-zero emissions by 2050. The United Arab Emirates has formulated a "National Electric Vehicle Policy" to this end, providing preferential measures such as free registration, free parking, and reduced charging fees and tolls to promote the development of the electric vehicle industry. United Arab Emirates has converted 20% of federal agency vehicles to electric vehicles and set a goal of at least 30% of government vehicles and 10% of road vehicles being electric vehicles (pure electric vehicles or hybrid vehicles) by 2030. By 2050, 50% of road vehicles in the United Arab Emirates will be electric vehicles.

In terms of local trading of used cars, according to the "2024 United Arab Emirates Used Electric Vehicle Market Report" released by dubizle, the demand for used electric vehicles in the United Arab Emirates will increase by 53% in 2024. Tesla continues to maintain its market leadership position with a 36% share, with its Model 3 and Model S ranking among the top three in the sedan market. BYD, Volkswagen, BMW and Mercedes-Benz occupy second, third, fourth and fifth positions in the market respectively.

3. Policies and regulations on used car import

1. Import policy

United Arab Emirates allows the import of used cars no more than four years old. Both left-hand and right-hand rudder vehicles can be imported. Right-hand rudder vehicles cannot be registered in their country and cannot be driven on the road, but can be re-exported. All vehicles must be inspected or evaluated by United Arab Emirates Customs upon arrival in United Arab Emirates. The following vehicles are prohibited from being imported:

● Vehicles once used as taxis or police cars

● Vehicles with tinted windows (otherwise, fines will be imposed and windows that meet the requirements will be replaced)

● Scrap vehicles

● Accident vehicles, passing trains, blisters vehicles

2. Tax policy

Used cars imported into United Arab Emirates are subject to a 5% tariff and a certain percentage of value-added tax. After inspecting the vehicle, the customs verify whether the export declaration value is correct, and if there is no consistency, the difference will be required to be paid. For second-hand cars in transit, tariffs are exempted. In 2019, in order to further reduce the operating costs of trading companies, promote cross-border trade, and improve the convenience for companies to conduct business in Abu Dhabi (port), the Abu Dhabi Executive Committee decided to cancel the collection of goods when returning the deposit for temporary imported goods. The fee of 1% of the value was changed to a unified transit fee of 50 dirhams.

3. Documents required for import

● Original bill of lading: Including brand, model, VIN number, engine number, color and vehicle type, etc.

● Export certificate (certificate of ownership)

● Purchase/commercial invoices

● Copy of passport

● A copy of the United Arab Emirates residence permit or visa page (sign on your passport)

● Authorization letter (customers will obtain it upon arrival in Dubai)

● The name in the vehicle ownership certificate should be the same as the name in the visa

● Vehicle condition report provided at the loading port

● Policy

Source: "China's Used Car Export Country Guide 2024"

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