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Ministry of Interior recently announced that as of May 1, 2017 registration of imported used vehicles will be subject to a conformity letter by ESMA after verifying compliance with the new regulations on import of used vehicles. Many successful U.S. firms already in business in the region rely on technological advantage and quality assurance in addressing current demand and facing foreign competition.
Also, with increased emphasis on consumer safety, the U.A.E. government is introducing new regulations for Safety of Imported Used Light Vehicles to U.A.E. and safety requirement for Modified Vehicles (http://www.esma.gov.ae/en-us/ESMA/Pages/Laws-and-Legislations.aspx).
Regulations
- All vehicles must be in conformity to the U.A.E. standards and their steering wheels must not be
modified.
- There must be no damages on the vehicle outer body.
- The U.A.E. does not allow import of vehicles that have been subject to accidents such as
submerging, fire, collision, rollover, etc. Also, vehicles previously used as taxicabs or by police are
not allowed to be imported.
- Vehicles may only be exported to companies (having commercial registration for business activities
in vehicle sale and import) and to individuals with a valid residence authorization, if the importer is
not a citizen of any of the GCC States.
Required Documents
- Proof of vehicle ownership and invoice attested by the local chamber of commerce in the U.S.
- Export declaration of the customs administration in the U.S. The invoice and the certificate of
origin shall be attached to the export declaration.
- A document issued by Police in the U.S. indicating that the vehicle is not wanted for any criminal
investigation.
Parts and Components
The U.A.E.’s auto aftermarket has developed at a robust pace thanks to the strength of the country’s economy, high private consumption levels and a growing population. The U.A.E.’s strategic positioning and economic conditions has lead the country to become a regional hub for car parts and vehicle components in the entire Middle East and GCC. As a result, the U.A.E. has become a key player in the car parts trade within the Gulf region and has positioned itself as a major re-export center. In addition, the economic slowdown that has resulted in fewer new vehicle purchases could positively impact auto aftermarket sales if vehicles are kept longer.
best prospects