Yes, you can buy a car in Malaysia and import it to Singapore, but the process is complex, expensive, and often not cost-effective compared to purchasing a vehicle directly in Singapore. The primary financial hurdles are Singapore's Additional Registration Fee (ARF), Excise Duty, GST, and the Certificate of Entitlement (COE) that you must secure. The vehicle must also be less than 3 years old from its first registration date and pass a Vehicle Inspection (VIA) at the Land Transport Authority (LTA) to ensure it meets Singapore's stringent safety and emissions standards.
The total cost is heavily influenced by the car's Open Market Value (OMV), which is essentially its customs-declared value. The taxes you'll pay are calculated as a percentage of this OMV. For example, a car with an OMV of SGD 20,000 would incur significant charges.
| Cost Component | Calculation for a Car with SGD 20,000 OMV | Approximate Amount (SGD) |
|---|
| Excise Duty | 20% of OMV | 4,000 |
| GST | 9% of (OMV + Excise Duty) | 2,160 |
| ARF | 100% of OMV (for cars up to SGD 20,000 OMV) | 20,000 |
| COE | Current Prevailing Quota Premium (Variable) | Varies (e.g., 80,000) |
| Total Approximate Cost | Before dealer margin & registration fees | 106,160+ |
Beyond the financials, you must handle the export process from Malaysia, including getting approval from the Malaysian Royal Customs Department and ensuring the car is de-registered there. You then need to engage a local LTA-approved vehicle importer in Singapore to handle the customs clearance, registration, and inspection. Given the high costs and administrative burden, this path is generally only considered for unique, high-end, or classic cars not readily available in the Singaporean market. For most mainstream vehicles, buying locally is simpler and often cheaper.
