ArmInfo. From January 1, 2020, new customs rules for car registration from non-EEU countries will come into force in Armenia. Therefore, auto-importing individuals increase the import of used cars with a view to selling them profitably in 2020, and experts warn about the riskiness of such investments.
Back in 2015, Armenia became a full member of the EAEU. But with the obligations of the republic decided to postpone a few. Armenia, as a newcomer to the integration association, was granted a 5-year transition period. During this time, Armenia could import a large quantity of goods in accordance with the requirements of national legislation. In particular, during the entire grace period, customs duties on importing cars from third countries at the old tariffs were kept at 10%, while in the EEU countries the rates vary from 30 to 50%. Already in 2020, the so-called grace period will end and the import of cars to Armenia will be regulated according to the new "Common European" rules.
As a result, the number of cars imported to Armenia in 2018 compared to 2017 increased by 71.2%, and compared to 2016 by 298%. So, in 2016, 16887 cars were imported to the republic, in 2017 - 39282, and in 2018 imports reached - 67255. Cars are mainly imported from the USA, Japan, South Korea, Germany and Georgia. The flow is expected to drop sharply from next year, when the EAEU regulations will be introduced. With this in mind, many auto-importers - organizations and individuals deliver cars in unprecedented quantities, and private traders - even on credit, hoping to resell them at an overpriced price in 2020, when the "Hour X" comes for cars from 3 countries.
From January 1, cars from 3rd countries will be imported at new customs rates. For cars, since the release of which no more than 3 years have passed and the value of which does not exceed 8,500 euros equivalent, customs clearance will be carried out at a single rate of 54% of the value of the goods, instead of the current 32% but not less than 2.5 euros per 1 cubic cm engine displacement. In this case, the calculation of two rates will be made and submitted for payment at the maximum calculation.
For cars which value exceeds 8,500 euros in equivalent, but does not exceed 16,700 euros in equivalent, customs duties to be paid will be calculated at a flat rate of 48% of the cost, but not less than 3.5 euros per 1 cubic cm engine displacement. And in relation to cars, the cost of which exceeds 42,300 euros in equivalent, but does not exceed 84,500 euros in equivalent, customs clearance will cost at a flat rate of 48% of the cost, but not less than 5.5 euros per 1 cubic cm engine displacement.
Customs payments will increase especially for cars with a more powerful engine and over 5 years old. So, with regard to cars, since the release of which more than 5 years have passed, the engine capacity, which exceeds 2,300 cubic meters, but does not exceed 3.000 cubic meters, the customs duty will be calculated at a single rate of 5 euros per 1 cubic cm engine displacement. For cars with engine capacity over 3.000 cubic meters customs clearance will cost at a single rate of 5.7 euros per 1 cu. cm engine displacement. Thus, if today the tax authorities calculate the cost of customs clearance of a car mainly on an invoice, then from next year this document will de facto be relegated to the background, and customs officers will be guided by the age and engine power of the vehicle.
Taking into account the fact that, from third countries, traditionally, cars have been delivered to Armenia "old" for a long time, it can be understood that, among other things, business will become unprofitable, and car dealers will be out of work.
The car importers of physical persons, of which today there are 25 thousand and they cover the "lion's share" of the used car market, they are already ringing that they will be reduced to 1 thousand people.
Meanwhile, the chairman of the public organization "Friend of the driver" Tigran Keyan urges not to succumb to the temptation and not to buy a car today, so that it will be profitable to sell in 2020. According to him, all those who hope for a 4-6-fold increase in prices for used cars are greatly mistaken, since it would be beneficial for a potential buyer to purchase a car from the passenger compartment at a price, for example, for $ 15 thousand more than the same "old" car with a cost of $ 10 thousand.
"Perhaps, in January-February of the next year there will be a price increase, which the importers themselves can artificially create, but the market will soon be adjusted, and private dealers will not be able to provide the desired sales volumes at the planned price," he said.
Thus, according to the expert, the desire of auto-importers to import cars in order to enrich them next year is unreasonable. At the same time, Tigran Keyan calls on the Armenian government to use the new adjustments in its favor - to invite the world's automakers to Armenia and organize, if not the production of the cars themselves, then at least their screwdriver assembly.
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