Cheap cars from Canada. All you need to know about the zero duty on cars from August 1

08 August 2017, 23:43 | The Company
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Since August 1, 2017, the Free Trade Agreement between Ukraine and Canada. It provides for duty-free importation of cars. What can I buy and how much, understand the publication of HB.

Some motorists, after reading the headlines of the news on duty-free import from Canada, immediately rushed to recount "stash" or to sites - to assess how much you can "throw off" your old lanos in order to order an overseas new thing in August.

But, although the news itself is certainly good, there are no special reasons for joy yet. The agreement specifies in detail what machines can be imported without duty. And the choice is rather narrow.

Let's try to put everything in order.

Can I import any car from Canada?.

It's not about any car from the territory of Canada. But only about cars that were produced in Canada.

You can not import without duty any car that you can buy in Canada. The agreement is valid only for Canadian cars.

Canada is not one of the world's leading automobile powers and factories there is not much.

In fact, the choice is reduced to several brands. These are Toyota and Lexus, Honda and Acura, Chrysler, Dodge, Jeep, Ford, Lincoln, General Motors and Volkswagen (though represented by a single model).

Come on, Toyota - it's cool! Why not rejoice?.

Because to import with zero duty it will not be possible all successively car of the above-mentioned brands.

The Agreement specifies the volume of vehicles that are subject to duty-free import. This engines from 2.2 to 3 liters.

In other words, the new Honda Civic, which in fairly good configuration in Canada costs from 20 thousand. Canadian dollars (about $ 15 thousand), it does not work out. Because it has a displacement of 1.8 liters.

If we talk about models falling under the Agreement, then these are mainly large crossovers.

But here again lies a dirty trick. Many very popular models, for example, Acura MDX, Lexus RX in Canada are available with 3.5-liter engines.

They also do not fall under the Agreement on duty-free import (duty on such cars with such engines - 7%).

Without duty, it is possible to import diesel cars with engine capacity of more than 2.5 liters. But in Canada, as in the US diesel engines are not very fond of. The share of such cars from total production hardly reaches 20%. And by the way, this is also mostly large crossovers and SUVs.

So what can I buy?.

Most innovation will please the amateurs of the American car industry, in particular, SUVs and family minivans.

In Canada, collect iconic American models of sports cars Dodge Challenger, Dodge Charger and Chevrolet Camaro. But they do not pass through the volume of the engine.

Of those cars that leak through all the cracks of the Agreement, one can single out Toyota RAV4, Honda CR-V, Chrysler 300, Dodge Gran Caravan, Ford Edge.

What is the benefit?.



According to rough estimates (we will clarify these figures by talking to experts), taking into account the cost of shipping by sea and 20% VAT (which is not going anywhere), cars from Canada can cost 10-15% less to the Ukrainian buyer than in Ukraine.

Given the narrow choice of options available, it is unlikely that the innovation will radically affect the Ukrainian car market. However, connoisseurs of the American car industry will be very pleased and it is possible that the announcements about the selection of the "Canadian car" will fairly dilute the ubiquitous announcements about the "Lithuanian wheelbarrows". Although the latter, of course, much cheaper.




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