Export new cars to Chile from Dubai

Chile welcomes imported vehicles under favorable conditions if they originate from FTA countries like the United States. Per Trade.gov, all trade between the U.S. and Chile is duty-free under the U.S.-Chile Free Trade Agreement, which came into force in 2004. This means brand-new vehicles from Dubai will face the standard six percent tariff applied to non-FTA origin goods, plus Chile's 19 percent Value Added Tax (IVA) assessed on all imports regardless of origin.

Duty and Tax Structure

Electric vehicles are classified as luxury goods and incur a 15 percent luxury tax in addition to the six percent tariff and 19 percent IVA. Standard combustion-engine vehicles avoid the luxury tax and pay only the base tariff and IVA. Trade.gov notes that Chile eliminated its previous luxury tax on automobiles as of January 2007, streamlining the duty regime for conventional vehicles.

Documentation and Clearance

Chile's customs system requires standard import documentation and compliance with labeling and marking requirements. Vehicles must meet Chile's standards for trade and may require technical inspection reports depending on the importing entity (individual, dealership, or fleet). The destination port will typically handle preliminary assessment of vehicle specifications and tax classification before final duty calculation.

Key Considerations

Buyers should confirm whether their vehicle qualifies as a luxury good or standard passenger vehicle, as this determination affects total landed cost by approximately 15 percentage points. The combined duty and tax burden (six percent tariff plus 19 percent IVA at minimum) represents a substantial component of total import cost and should be factored into purchase decisions. Verify with the destination's customs authority before shipping — duty rates vary by engine size, fuel type, and buyer category.