The Ministry of Finance has issued a new revised tariff on vehicles. The new tariff significantly reduces customs Tarff on new and used vehicles.
National Subheading Notes:
1. Throughout this chapter, for the purpose of the National Subheadings, the expression “New” refers to a vehicle that has never been in operation since its manufacturing year.
A. This includes, a vehicle imported in semi-knocked Down (SKD) or Complete Knocked Down (CKD) form to be assembled by local industry and a vehicle in a Complete Built Up (CBU) form.
B. A Complete Built Up (CBU) vehicle of tariff heading 87.02, 87.03, 87.04. 87.05 and 87.11which arrive at Ethiopian customs territory (entry point) within a” time period of three Gregorian calendar years including the manufacturing calendar year of the vehicle and when the number of kilometres driven abroad to Ethiopian custom territory- (entry point) does not exceed 4,000 kilometres, it can be considered as a new vehicle.
C. If a vehicle not mentioned under national sub heading note 1(B) arrives at Ethiopian custom territory (entry point) within a time period of four Gregorian calendar years including the manufacturing calendar year of the vehicle, it can be considered as a new vehicle.
2. A vehicie not covered under national sub heading note I above is considered as “used” and the age is coutiied beginning die manufacturing Gregorian calendar year to the Gregorian calendar year of its arrival at Ethiopian custom territory (entry point).
3. For the purpose of a minibus type vehicle of heading 87.02, when no objective means are available to determine the number of seats, the number of seats of such vehicle shall be considered to be not less than 10 but not more than 16 as long as the area of the vehicle behind the driver and front seats is not less than 3.64 a2 and not more than 4.76 m: respectively, considering the distances measured between the center points of both the widths and the lengths of the floor of such area.