Do Parallel Imported Cars Still Require Tax Payment?
4 Answers
Parallel imported cars are subject to taxes. Whether it's a parallel imported car or an agent-imported vehicle, tariffs, value-added tax, and consumption tax must be paid. Overall, even the better parallel imported cars tend to be more expensive than their domestically produced counterparts of the same grade. Advantages of parallel imported cars: 1. Significant price advantage: Parallel imported cars bypass sales channels such as general distributors, regional dealers, and 4S stores, eliminating many intermediate steps. Additionally, parallel import dealers are not restricted by manufacturers in pricing, giving them more freedom, which results in considerable price discounts. Typically, parallel imported cars are 10%~20% cheaper than their manufacturer-approved counterparts. 2. Model and delivery time advantage: When new models are launched overseas, they may not be immediately available in China due to automakers' strategic planning or domestic certification processes. However, parallel imported cars have a natural advantage in this regard—they can be freely purchased overseas and then shipped to China for sale, significantly reducing the waiting time for new models.
I previously bought a parallel-import car, and my personal experience tells you that taxes are definitely required. The taxes mainly consist of three parts: the tariff fluctuates between 15%-25% depending on the model, the VAT is fixed at 13%, and the consumption tax ranges from 1% to 40% based on engine displacement—for the SUV I bought with a large displacement, the total tax rate was nearly 50%. Adding in miscellaneous fees like import handling charges and inspection fees, the total price increased significantly. However, parallel-import cars are inherently cheaper, making them more cost-effective overall compared to official imports. The key is to budget for the post-tax cost in advance and not get carried away by the low price. I recommend finding a reliable dealer to ensure all tax documents are complete, avoiding issues during registration. In short, taxes are unavoidable, so be financially prepared.
When considering parallel-imported vehicles, I paid special attention to taxation, which significantly impacts budget-conscious buyers like us. Taxes mainly consist of tariffs, VAT, and consumption tax, with rates varying based on vehicle type and engine displacement—smaller engines attract lower taxes, possibly around 20%, while larger ones like 3.0L and above can exceed 40%. For instance, a sports car originally priced at 300,000 RMB would cost over 400,000 RMB after taxes. When purchasing, don't just look at the base price; confirm the tax-inclusive quote with the seller to avoid unexpected expenses later. Additionally, tariffs may adjust due to importing country policies, so staying updated on policy changes is essential. Overall, while post-tax costs are higher, they offer more options.
Having been in the car modification scene for years, I know all too well that taxes are unavoidable when dealing with parallel import vehicles. The import process inevitably involves basic taxes like customs duties, VAT, and consumption tax, with rates similar to those for official imports. However, the lower starting price of parallel imports might save you some money. But with the actual post-tax expenses increasing, my modification budget gets squeezed—like when I planned to upgrade the ECU system but ended up losing some to taxes. The tax amount depends on engine displacement, with smaller engines being more cost-effective due to lower taxes. I recommend buyers prioritize mid-displacement models to leave some room for minor modifications. Despite the heavy taxes, the abundance of parallel import options satisfies the customization cravings of modification enthusiasts.
