Import Bills for Tokunbo Vehicles Plummet by 83% to N138.62 Billion in H1’24 – NBS Report.
In Q1’24, the National Bureau of Statistics, NBS, ‘Commodity Price Indices’ and Terms of Trade, ToT, report revealed no used vehicle imports, contrasting with Q1’23’s N69.23 billion import value for used vehicles.
In Q2’24, the NBS report highlighted that used vehicle imports totaled N138.62 billion, marking an 81.5% YoY drop from N749.92 billion in Q2’23. The majority of these vehicles were sourced from the United States, with total imports from America in Q2’24 reaching N971.84 billion.
Remember when the government brought in those new taxes on imported vehicles last year? They set up a system where cars with engine capacities ranging from 2 to 3.9 liters would pay a 2% Import Adjustment Tax (IAT), while cars with engines of 4 liters and above would face a 4% IAT. This new charge is on top of the existing 35% import duty and levy. However, vehicles below 2000cc, mass transit buses, electric vehicles, and locally made vehicles are exempt from the IAT levy.
