Buy cars in Dubai for export
Buy cars in Dubai for export

Buy cars in Dubai for export

If you want to grow your car export business or enter this lucrative sector, Dubai is the place to be. It is the world’s center for high-end and quality vehicles.

Formula Auto Automotive, a top regional expert in auto re-export and supply chain services, is your reliable ally in exploring this vibrant market.

We provide a complete solution for purchasing cars in Dubai for export, guaranteeing ease, honesty, and smooth transactions.

Why Choose Dubai for Car Export?

Dubai is a city that stands out. It has a strategic location, duty-free zones, and a rich variety of brands and models.

It draws in car lovers and business owners from all over the world. Here’s why Dubai is the perfect place to start your car export adventure:

Global Hub: Dubai bridges continents, making it easy to re-export to different locations.

Competitive Prices: Duty-free zones give you tax benefits, which means you can source vehicles at lower costs.

Wide Variety: From premium brands to affordable options, Dubai has something for every market need.

Reliable Infrastructure: Fast ports and shipping services guarantee smooth vehicle delivery.

Some more information about Dubai’s car export market are:

  • Dubai is the largest car re-export hub in the Middle East and Africa, accounting for 60% of the region’s total re-exports.
  • Dubai’s car re-export market is valued at over AED 40 billion (USD 10.9 billion) annually.
  • Dubai’s car re-export market serves over 200 countries, including Iraq, Iran, Saudi Arabia, Egypt,
  • Libya, Algeria, Nigeria, Kenya, Tanzania, Afghanistan, Pakistan, India, and China.
  • Dubai’s car re-export market benefits from the city’s free trade agreements with several countries, which reduce tariffs and non-tariff barriers.
Buy cars in Dubai for export

Understanding the Regulatory Landscape

Before you decide to buy a car in Dubai for export, you need to be aware of the import and export regulations in Dubai, the compliance and documentation requirements, and the duties and taxes associated with car exports. These factors will affect the feasibility, legality, and cost of your car export process.

Overview of Import and Export Regulations in Dubai

Exporting a car from Dubai? Hold on! While Dubai, part of the UAE, enjoys free trade within the Gulf Cooperation Council (GCC), sending your car elsewhere requires navigating some hurdles.

First things first: Understand who governs customs. The UAE’s Federal Customs Authority takes the lead, but Dubai also has its own Customs department, focused on smooth trade, security, and boosting Dubai’s economy.

Now, what paperwork do you need? Get ready for a checklist:

  • Trade license: Unless you’re a local company or individual, foreign entities need a license or a UAE sponsor.
  • Shipping paperwork: Secure a delivery order from your shipping agent.
  • Invoice: Show a detailed commercial invoice from seller to buyer.
  • Origin certificate: Prove the car’s birthplace with a document certified by the origin country’s Chamber of Commerce.
  • Packing list: Detail the car’s weight, packing method, and HS code (a product classification system).
  • Import permit: Check if the destination country requires one.
  • Bill of entry or airway bill: Track your car’s journey with shipping documents.

Duty fees? They depend on where your car is headed:

  • GCC countries: New cars face a 5% duty, while used ones are duty-free.
  • Non-GCC countries: Fees vary based on the destination’s specific tariff schedule.

Remember: This is just a starting point. Each country has its own import regulations, so research thoroughly before embarking on your car export adventure!

Buy cars in Dubai for export

Compliance and Documentation Requirements

Planning to export your car from Dubai? Getting a vehicle export certificate is crucial, but the requirements differ slightly depending on whether you’re an individual or a business.

For individuals:

  • Bring your original Emirates ID and a car clearance certificate.
  • Hand over your license plates to the Roads and Transport Authority (RTA).
  • If your car’s license is expired or non-existent, a technical inspection is required.
  • Have a mortgage clearance certificate from your bank if the car is leased.
  • Present your existing insurance documents and get new insurance for export plates (if exporting under a different name).
  • No traffic file in the UAE? Provide a passport copy.

For businesses

  • Alongside the car clearance certificate, you’ll need an official company letter in Arabic.
  • Bring your Memorandum of Association (MOA) in Arabic if it’s relevant to your trading activities.
  • Don’t forget a copy of your trade license.
  • Similar to individuals, expired or non-licensed cars require a technical inspection.
  • Present a mortgage clearance certificate if the car is leased.
  • New export plate insurance is needed if exporting under a different name.

Duties and Taxes Associated with Car Exports

As mentioned earlier, the duties and taxes associated with car exports in Dubai depend on whether you are exporting to a GCC or a non-GCC country.

If you are exporting to a GCC country, you will have to pay a duty fee of 5% of the value of the car, if the car is new, or no duty fee, if the car is used. You will also have to pay a value-added tax (VAT) of 5% of the value of the car, regardless of its age.

If you are exporting to a non-GCC country, you will have to pay the duty fee and the VAT according to the destination country’s tariff schedule and tax regime.

You will also have to pay any other fees or charges that may apply, such as port fees, inspection fees, or clearance fees.

You can check the duty and tax rates of different countries on the World Customs Organization website or the World Trade Organization website.

The cost of shipping a car from Dubai to another country will vary depending on the mode of transportation, the distance, the size and weight of the car, and the shipping company.

You can choose from different shipping methods, such as sea, air, or land.

  1. Sea shipping is the cheapest option, but it may take longer and require more paperwork.
  2. Air shipping is the fastest and safest option, but it is also the most expensive.
  3. Land shipping is possible if the destination country is accessible by road, but it may involve crossing multiple borders and dealing with different customs authorities.
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Choosing the Right Cars for Export

Now that you have an overview of the regulatory landscape of car exports in Dubai, you may wonder how to choose the right cars for export.

There are many factors to consider, such as the demand, the competition, the profitability, and the suitability of the cars for different markets.

Here are some tips to help you select the best cars for export:

  • Conduct a market research. Before you buy any car for export, you need to do a thorough market research on the destination country.
    You need to understand the customer preferences, the market trends, the legal requirements, the environmental standards, the cultural factors, and the competitive landscape of the car market in that country.
  • Choose popular car models. One of the easiest ways to ensure a successful car export is to choose the car models that are already popular and in high demand in the destination country.
  • Choose suitable car models. Another important factor to consider when choosing cars for export is the suitability of the car models for the destination country. You need to take into account the climate, the terrain, the infrastructure, the fuel availability, the maintenance costs, and the safety standards of the country. You also need to check if the car models comply with the emission regulations, the technical specifications, the certification requirements, and the customs procedures of the country

Transportation and Shipping

One of the main challenges of buying cars in Dubai for export is transporting them to your destination country.

Depending on where you are located, you may have to deal with different regulations, customs, taxes, and fees.

Therefore, it is important to plan ahead and do your research before you make any purchases.

Logistics of Exporting Cars from Dubai.

The first step of exporting cars from Dubai is to obtain the necessary documents and clearances from the authorities.

You will need to register the car in your name or your company’s name and get an export certificate from the Roads and Transport Authority (RTA).

You will also need to cancel any existing insurance and loans on the car and pay any outstanding fines or fees.

Next, you will need to find a reliable and reputable shipping company that can handle the export process for you.
The companies should offer you various services, such as packing, loading, customs clearance, documentation, and delivery.
They can also advise you on the best shipping method for your car, depending on your budget, time frame, and destination.

Selecting the Right Shipping Methods

There are two main methods of shipping cars from Dubai: sea freight and air freight. Each method has its own advantages and disadvantages, so you should weigh them carefully before making a decision.

Sea freight is the most common and cost-effective method of shipping cars from Dubai. It involves transporting the car in a container or on a roll-on/roll-off (RORO) vessel across the ocean.

Sea freight can take anywhere from a few days to a few weeks, depending on the distance and the port of destination. Sea freight is suitable for most types of cars, especially those that are not very expensive or urgent.

Air freight is the fastest and most convenient method of shipping cars from Dubai. It involves flying the car in a cargo plane to the nearest airport.

Air freight can take as little as a few hours to a few days, depending on the availability and schedule of the flights. Air freight is ideal for high-value or time-sensitive cars, such as luxury, sports, or classic cars.

The cost of shipping cars from Dubai varies depending on the method, the size and weight of the car, the destination, and the shipping company.
You should also factor in other expenses, such as insurance, taxes, duties, and inspection fees, that may apply in your destination country.

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After-Sales Support and Services

Another important aspect of buying cars in Dubai for export is ensuring that your exported cars receive adequate after-sales support and services.
This can help you maintain the quality and performance of your cars, as well as enhance your reputation and customer satisfaction.

Post-Purchase Assistance for Exported Cars

After you have shipped your car to your destination country, you should provide your customers with post-purchase assistance for their exported cars. This can include:

  • Providing them with the original documents and certificates of the car, such as the export certificate, the invoice, the bill of lading, and the warranty card.
  • Providing them with the contact details of the authorized dealers or service centers in their country, where they can get spare parts, accessories, installation, maintenance, and repairs for their car.
  • Providing them with the user manual and the maintenance schedule of the car, as well as any tips or advice on how to operate and care for their car.
  • Providing them with a feedback form or a survey, where they can share their experience and satisfaction with the car and the service.

Building Long-Term Partnerships with Customers

At Formula Auto Automotive, we don’t just sell cars, we create lasting relationships with our clients. We understand that buying cars in Dubai for export is not a one-time deal, but a long-term investment that requires trust, support, and satisfaction.

That’s why we are committed to providing you with the best service and value in the industry. Here’s how we do it:

  • We select the best cars for you. We know that you have specific needs and preferences when it comes to buying cars in Dubai for export.
    That’s why we offer a wide range of cars for sale, from luxury brands to affordable models, and we help you find the perfect match for your budget and expectations.
  • We are your partners in success. We don’t just sell you cars, we help you grow your business. We understand your high-level critical business issues, such as your target market, your competitors, your challenges, and your opportunities, and we offer you solutions that address your needs and goals.
    We also provide you with market insights, industry trends, and best practices to help you stay ahead of the curve.
  • We communicate well and build trust. We value your feedback and opinions, and we keep you informed and updated on every step of the process. We communicate with you regularly and effectively, using your preferred channels and methods.
    We also respond to your queries, requests, and feedback promptly and professionally. We are honest, transparent, and accountable for our actions and results, and we admit and correct any mistakes or errors that may occur.
  • We make long-term strategic decisions. We don’t just focus on the short-term profits or sales, but on the long-term value and relationship that we can create with you.
    We invest in your success, by providing you with quality products and services, as well as additional benefits, such as education, training, support, or advice.
    We also seek feedback and suggestions from you, and use them to improve our offerings and processes.

We are not just a car dealer, we are a car partner. We are here to serve you and make your car buying experience in Dubai for export easy, enjoyable, and rewarding.

Thank you for choosing Formula Auto Automotive.

FAQ

What cars are best to export from Dubai?

High Demand with Global Appeal:
Toyota Land Cruiser & Land Cruiser Prado: Legendary off-roaders, popular in Africa, Middle East, and Southeast Asia.
Toyota Hilux: Rugged pickup truck, ideal for work and challenging environments.
Nissan Patrol: Premium SUV with off-road prowess, sought-after in luxury markets.
Ford Mustang: Iconic American muscle car, enjoys global popularity.
Mitsubishi Pajero: Reliable off-road SUV, popular in developing countries.
Additional Options:
Kia Sportage & Toyota Fortuner: Affordable SUVs, growing demand in various regions.
Hyundai Elantra & Mitsubishi L200: Value-oriented sedans and pickup trucks, appealing to budget-conscious buyers.
Luxury brands like Mercedes G-Class: Cater to specific niches in high-end markets.

How can I export my car from UAE to Saudi?

Documentation:
Obtain Export Clearance Certificate, No Objection Certificate, and export plates.
Ensure car meets Saudi import regulations (age, modifications, etc.).
Transportation:
Choose land, sea, or air freight depending on budget and urgency.
Obtain insurance and export declarations for chosen method.
Saudi Arabian Import:
Appoint a customs clearing agent in Saudi Arabia.
Pay import duties and taxes based on car’s value and specifications.

Can a foreigner buy a car in Dubai?

Yes, foreigners can buy cars in Dubai:
Obtain a Residence Visa or visit visa with long validity.
Open a local bank account.
Apply for a Trade License (for commercial purposes).
Choose between new or used cars from dealerships or individuals.

Is it cheap to buy a car from Dubai?

Dubai offers competitive car prices, but “cheap” is relative:
Consider used cars (depreciation) and negotiate prices.
Look for deals during promotions or off-season periods.
Compare prices across different dealerships and individual sellers.
Factor in import costs and registration fees for your target country.

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Formula Auto Automotive is a leader in auto re-export and supply chain services in the region. Formula Auto Automotive was established in the UAE.
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