Why Are Parallel Import Cars Cheaper?
2 Answers
Parallel import cars are vehicles that are purchased directly from overseas markets by dealers without authorization from the brand manufacturers and then introduced for sale in the domestic market. The cost of parallel import cars mainly includes: MSRP (the car's selling price in the U.S.) + import tariffs to China + U.S. port departure fees + customs clearance fees in China, which makes them relatively cheaper. Below is extended information about parallel import cars: 1. Advantages: Car traders directly introduce foreign cars into the domestic market through overseas trade. These cars have passed the national 3C certification and can be registered domestically. Since they are not introduced through the official channels of car manufacturers, they do not incur high tariffs, making lower prices a natural advantage of parallel import cars. Moreover, parallel import cars are directly produced overseas, so they often come with rich configurations and high-quality materials. 2. Disadvantages: Parallel import cars are often only superficially cheaper. Since they enter the domestic market without the official approval of car manufacturers, domestic 4S shops do not provide warranty services once you purchase such a car. Additionally, if the car model is special and requires replacement parts after an accident, you may have to import the parts, as they might not be available domestically, significantly increasing repair costs. 3. Documents required for purchasing a parallel import car: Vehicle Import Certificate (Customs Document), Vehicle Inspection Sheet (Commodity Inspection), Vehicle Conformity Certificate, Vehicle Purchase Invoice, Import Vehicle Electronic Information, etc.
One of the main reasons parallel-imported cars are cheaper is the simplified supply chain. From my direct experience, these vehicles skip the multiple markups of official brand channels—importers, distributors, and agents are all out of the picture, slashing costs significantly. Additionally, parallel importers often target specific markets, such as sourcing vehicles from countries with lower tax rates, which cuts down on transportation and procedural expenses. However, this also comes with some drawbacks, like potentially less comprehensive warranty services and the need to handle certifications or maintenance yourself. So, it’s crucial to check all details before buying to ensure safe and smooth driving.