Import rules and regulations on Japanese used vehicles in Grenada

Japan has always been a popular source for transportation of used and new vehicles. Popularity of used Japanese cars is due to their impressive specifications, good condition and high quality. Vehicles offered by Japanese automakers are reliable, convenient and are available at reasonable prices. Almost all countries in the world import used vehicles from Japan. Grenada, a Caribbean Island between the Caribbean Sea and Atlantic Ocean, north of Trinidad and Tobago also import large numbers of used vehicles from Japan.

The presence of online used cars portals has made the import of used vehicles from Japan an easy process. These portals provide thousands of used car stocks of most reliable and experienced exporters in Japan. Importation of used vehicle in Grenada is not a cumbersome process. It is mandatory for the used vehicle importer to abide by the rules for smooth customs clearance. No specific inspection is required on used vehicles imported in Grenada. It is allowed to import right-hand steering vehicles in the country.

Documents required for port clearance:-

• Commercial/ Purchase Invoice determining vehicle type, make, weight.
• Insurance certificate
• Import license
• Bill of Lading (BoL)
• Value Declaration Form
• Certificate of Title and Registration

Note: In case of absence of Invoice, vehicles may be examined on a form C22.

Taxes and Duties on used vehicles-

• Environmental Levy-
• Used Vehicles (1-4 years old) - 2%
• Used Vehicles (over 5 years old) - 30%
• Used Trucks-
• 1-10 tons: 5%
• 10-20 tons: 10%
• Over 20 tons: 20%
• Customer Service Charge- CSC of 5% is imposed on used vehicles imported into the country.
• Common External Tariff (CET) - It ranges from 5%- 40% depending upon the cost of insurance and freight value of vehicles imported.
• Value Added Tax (VAT)-The VAT as proposed provides for a standard rate of fifteen percent (15%).

Returning Residents-
Grenadian nationals who have been residing abroad a period of seven years continuously and have decided to return to Grenada on a permanent basis are considered as returning nationalists.

Proof of Eligibility:

• Valid passport
• Proof of nationality – (passport, birth certificate, etc.)
• One-way ticket to Grenada
• Retirement letter from the last place worked
• Pension letter

Returning residents are allowed to import one motor vehicle (either new or used) free of Value Added Tax (VAT), Common External Tariff (CET) and ET, provided the vehicle is imported from the country where the applicant has resided continuously for a period of seven years. However, Customs Service Charge of 5% should be paid along with an Environmental Levy of $2000 on all vehicles, with no age bar.

The importer shall abide by the following conditions after exemption on duty is granted:

• The importer shall not sell, lend, exchanged or otherwise disposed of the vehicle within a period of three years without the payment of the applicable duties.
• The importer is allowed to sell the vehicle after three years without the payment of Customs duties (Residual Duties).
• If the returnee leaves the country for a period less than six months then the Comptroller of Customs must be informed of the custody of the vehicle.
• In case the returnee leaves Grenada for a continuous period of over six months, then all applicable duties will be immediately paid in full. Except for special circumstances as determined by the Comptroller of Customs.
• If any term of the agreement is violated, then the Comptroller reserves the right to seize the said vehicle as being liable to penalty pending payment of the applicable duties in full.

Shipping Ports-
Used vehicles from Japan are shipped to Grenada through Saint George’s port and Grenville port. Generally, RoRo (Roll-on Roll-off) shipment method is used for vehicle shipment, however on request of customers more expensive yet safe method of shipment called container method can be used.