How to Import Cars from Japan to Australia

Australia has strict regulations governing the importation of used cars from Japan to ensure road safety, environmental standards, and to protect the local automotive industry. Importing a Japanese vehicle requires compliance with Australia’s motor vehicle standards and import laws, which are overseen by several government bodies. This guide will walk you through the rules, regulations, and procedures for importing cars from Japan into Australia.

Import Rules and Regulations

Eligibility for Import

Australia only allows the importation of certain vehicles under specific import schemes, mainly:

  1. SEVS (Specialist and Enthusiast Vehicle Scheme): This scheme is for cars that are not sold locally or are considered rare, high-performance, or collector vehicles. Vehicles under this scheme must be approved for import under SEVS criteria, which include uniqueness, performance, or environmental friendliness.
  2. RAWS (Registered Automotive Workshop Scheme): Vehicles imported through RAWS need to be modified to meet Australian Design Rules (ADR). These modifications ensure that the vehicle adheres to Australia’s safety, emission, and roadworthiness standards.
  3. Personal Import Scheme: Individuals who have lived overseas for at least 12 months can import their personal vehicle. However, the vehicle must be owned and used by the individual for at least 12 months before importation.
  4. Temporary Import: Cars can be temporarily imported into Australia for up to 12 months, primarily for visitors, race cars, or specific events.

Import Approval

An import approval from the Department of Infrastructure, Transport, Regional Development and Communications is mandatory before shipping the vehicle. Importing without this approval can lead to hefty fines or refusal of entry for the vehicle. Importers must lodge their application through the Road Vehicle Standards Act (RVSA) portal and wait for approval before proceeding with shipment.

Australian Design Rules (ADR) Compliance

All vehicles entering Australia must comply with the Australian Design Rules (ADR), which govern safety, emissions, and overall roadworthiness. Vehicles that do not meet ADR requirements must undergo modification in compliance with the RAWS guidelines before being registered for road use.

Emission Standards

Australia has strict emissions standards to ensure that imported vehicles do not harm the environment. Vehicles are required to comply with Euro 5 standards or an equivalent to control exhaust emissions. Older vehicles that do not meet these standards may need modifications or may not be allowed to enter.

Import Duties and Taxes

Tariffs and Taxes on Imported Cars

Imported vehicles are subject to several duties and taxes, which include:

  • Import Duty: 5% of the vehicle’s customs value (Cost + Insurance + Freight, or CIF) for most vehicles.
  • Goods and Services Tax (GST): 10% of the CIF value plus duty.
  • Luxury Car Tax (LCT): A tax applied to vehicles valued over AUD 71,849 (for fuel-efficient vehicles) or AUD 65,094 (for standard vehicles). The LCT rate is 33% for the amount exceeding this threshold.

These taxes can vary depending on the type of vehicle, its value, and how it is classified under Australian regulations.

Customs Valuation

The value of the car for taxation purposes is determined by its CIF value—this includes the car’s purchase price, the cost of freight, and insurance charges. Customs duty, GST, and LCT are then calculated based on this total value.

Procedures for Importing Cars

Step 1: Determine Vehicle Eligibility

Before starting the import process, confirm that the vehicle is eligible under one of the approved import schemes (SEVS, RAWS, or Personal Import). If the vehicle does not meet these criteria, it may not be eligible for import into Australia.

Step 2: Apply for Import Approval

Submit an application to the Department of Infrastructure for import approval. This process may take several weeks, so it’s important to apply well in advance of shipping the vehicle. Ensure that all required documents, such as the vehicle’s details, ownership history, and proof of eligibility, are in order.

Step 3: Vehicle Compliance and Inspection

Once the vehicle arrives in Australia, it must undergo compliance checks to ensure it meets ADR standards. If the vehicle is imported through RAWS, it will need to be modified accordingly by an authorized workshop. Inspection for roadworthiness and emissions is also mandatory.

Step 4: Customs Clearance and Duty Payment

After passing compliance checks, the vehicle must go through customs clearance. Present all documentation, including the Bill of Lading, proof of purchase, and import approval. Pay the required duties and taxes based on the vehicle’s CIF value.

Step 5: Vehicle Registration

The final step is to register the vehicle with your state or territory’s road transport authority. Ensure you have completed all modifications and compliance checks required for road registration. Upon completion, the vehicle will be issued with a registration plate, allowing it to be legally driven on Australian roads.

Key Considerations for Importing Cars

Biosecurity Requirements

Australia has stringent biosecurity regulations to protect the country’s environment and agriculture. Imported vehicles must be thoroughly cleaned and free from any contaminants such as dirt, plant matter, or insects. Failure to comply may result in quarantine, fines, or even destruction of the vehicle.

Used Car Demand in Australia

Japanese used cars are in high demand in Australia, particularly for rare or enthusiast models. Popular vehicles include high-performance cars like the Nissan Skyline GT-R, Toyota Supra, and Mitsubishi Evo, which are often imported under the SEVS. However, the import market is also competitive due to strict compliance regulations.

Conclusion

Importing a car from Japan to Australia can be a rewarding process, especially for enthusiasts looking for rare or high-performance vehicles. However, it is essential to follow Australia’s stringent import laws and procedures to ensure that the vehicle meets the country’s safety and environmental standards. With proper planning, documentation, and compliance, importing a Japanese car to Australia can be both an exciting and viable option.

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Since our founding in 2007, Autocom Japan has proudly delivered over 7,000 vehicles monthly to clients across the Caribbeans, Africa, and Russia, establishing trustful relationships and a strong global presence. Our unwavering commitment remains to treat every vehicle with the utmost care, always prioritizing the customer’s perspective.