Friday, June 30, 2017

How to Ship Your Car to the Philippines

bmw-philippines-import



There are many reasons why you might want to ship your car to the Philippines, rather than buy one when you are over here.

While the actual cost of shipping your vehicle is not prohibitive, the taxes you will have to pay to import it to the Philippines might make you think twice.


In some cases, the taxes that you have to pay can amount to more than the cost of the car, so it’s essential that you check with the Philippine Embassy in the US before embarking on the task.


Here’s a simple breakdown of the costs involved in shipping your vehicle to the Philippines to help guide you.


Shipping Costs to the Philippines


The cost of shipping your vehicle will vary depending on which shipping company you decide to use, but a rough guide would be between $2,500 and $4000. The cost may be slightly higher depending on your particular requirements and circumstances.


You can use our shipping calculator to get a better idea of the cost involved in shipping your vehicle to the Philippines.


Philippines Import Taxes


The Philippine taxes will be collected by the shipping company and are based on the vehicles usage, weight, and engine size.


Taxes that are based on weight are calculated at a rate of $13.75 or higher.


Here are the latest import taxes for the Philippines:


  • For a vehicle that can transport 10 or more passengers, the taxes will be 15-20% based on the gross weight of the vehicle and the number of passengers it’s designed to carry.

  • Private vehicles are subject to a 30% tax based on engine displacement.

  • If you’re trying to import a vehicle that is specially designed to transport items, then expect to pay 20-30%, based on the gross weight of the vehicle.

  • Motorcycles taxes are charged at the rate of 30% based on engine displacement.

shipping-car-to-philippines


Shipping Methods to the Philippines


There are essentially two ways you can ship your vehicle to the Philippines. You can either choose to ship it via RO/RO, which stands for ‘roll on, roll off,’ or container.


With RO/RO you or your agent will drive the vehicle onto the ship, and it will sit on the deck with all the other vehicles. It has the advantage of being cheaper, but your car will be exposed to the elements and other passengers.


If you decide to take the more expensive option, then you can ship your vehicle in a container. By shipping it this way it will be more secure and also be shielded from the weather and other potentially harmful elements.


Essential Documents You Will Need


Before transporting your vehicle, you should check that you have all the required documentation. You will have to present your documents at the port of arrival in the Philippines, and if any are expired or missing, your vehicle will be refused.


Here is a checklist of the required documents for importing your car to the Philippines:


  • Import authority permit (see below)

  • Owners passport showing arrival and departure dates

  • Bill of Sale of valid proof of purchase

  • Vehicle registration

  • Engine number

  • Commercial sale invoice

Restrictions on Shipping Cars to the Philippines


As mentioned above, you will need to have a special Import Authority permit, which is only available from within the Philippines. You can obtain the special permit by visiting the Philippine Bureau of Import Service.


You should also note that only left-hand drive vehicles are permitted in the Philippines. Philippine law strictly prohibits the import of right-handed vehicles under Republic Act No. 8506


Before the Bureau of Import Service allows your special permit, you will need to prove that you have lived outside of the Philippines for at least one year. If the car you wish to import is newer than three years, you must have had the car in your possession for at least six months before arriving in the Philippines. For cars older than three years, you must have had it in your possession for at least one year before import.


If the vehicle is older than five years, you are not permitted to import it to the Philippines.


There is also a limit imposed of only one car per family.


importing-vehicle-philippines


Conclusion


If you absolutely have to have your car in the Philippines, then it’s certainly possible, but you should expect to spend some money and jump through a few hoops.


Philippine bureaucracy is famously slow and can be very frustrating at times, so a healthy dose of humility and patience is going to be required.


Take a look at our shipping calculator to get an idea of the costs involved.


Be sure to let us know how you get on shipping your vehicle to the Philippines and either drop us an email or leave a comment below.


How to Ship Your Car to the Philippines