Egypt's zero-customs car import initiative sees demand surge

Ahram Online , Thursday 11 Jan 2024

Egypt's zero-customs car import initiative has seen an influx in demand in the first two months of its second phase. Registration applications increased over three-fold compared to the same period in the initial phase, Finance Minister Mohamed Maait stated on Thursday.

File Photo: Imported cars in Egypt (Reuters)
File Photo: Imported cars in Egypt (Reuters)

 

Maait directed customs authorities to expand access to the initiative ahead of its 30 January deadline.

The initiative allows a five-year import approval and reduced duties on one vehicle per family. First owners face no restrictions on the car's manufacturing year, while subsequent importers are limited to models no older than three years.

Customs authorities clarified that more than one family member is eligible provided terms are met. Egyptians living abroad can also exchange an imported car within the five-year window.

The zero-tax car import initiative is one of the tools used by the Egyptian government to increase Egypt's US dollar supply amid a severe shortage in the greenback.

The initiative was relaunched in October 2023 for three months that can be extended for a similar period.

The zero-customs car import initiative first ran from October 2022 through May 2023. The first launch brought in around $763 million from 151,000 expats, according to the Ministry of Finance.

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