Imports of Car older than 5 years banned in Saudi Arabia

Imports of Car older than 5 years banned in Saudi Arabia

The Saudi government's decision to ban import of cars older than 5 years is being officially implemented by their custom's department. Suleiman Al-Tuwaijeri, director of the Customs Department, told Arab News in Jeddah that used cars, buses and other light goods vehicles more than five years old are banned for import. Heavy vehicles more than 10 years old are also not allowed to be imported. However, spare parts for old vehicles in use are not banned

Importers of used car are given six-month grace period to figure out their situation. Saudi Arabia registered an import of more than 140,000 used cars last year, accounting for 24% of total car imports in 2008.

According to few traders in the kingdom, used car dealers in Saudi Arabia had stored cars expecting demand rise after the import ban. Used car prices rose 20% over the past two months due to the adamant new car dealers who refuse to reduce prices during this recession.

Automobile Committee of the Eastern Province Chamber of Commerce and Industry has requested the officials to relax the rule and ban cars older than eight years.

Regulation to ban old cars and complete ban on 10-year-old vehicles in end of 2009 was ended by the country's president, seeing the public's opposition to the rule due to their job loses and banks not agreeing to give them bank loans for new cars.