Nigeria has reduced the tax burden on imported vehicles under its 2026 fiscal policy, effective 1 July 2026 — most notably cutting the National Automotive Council (NAC) levy from 15% down to 5%. For anyone importing used cars into Nigeria, landed costs just got lighter. Here’s a plain-English breakdown of what changed and who benefits.
What actually changed
The headline move is the NAC levy: 15% → 5% of CIF value. Alongside it, the 2026 structure for used cars sits at roughly:
- Import duty 20% (CIF)
- NAC levy 5% (down from 15%)
- Green tax 0–4% by engine size (0% for EVs, buses and sub-2,000cc)
- Surcharge 7% on the duty amount
- ETLS 0.5% + CISS/FOB levy
- VAT 7.5% on the combined base
Bottom line: the combined duty-and-levy baseline for smaller-engine cars falls from about 35% toward ~25% of CIF — a real reduction in the cost of putting a car on Nigerian roads.
Who benefits most
- Small and mid-size cars (under 2,000cc) — they dodge the green tax entirely and gain the full NAC-levy cut.
- EVs — 0% green tax plus the levy cut make Chinese EVs (e.g. BYD Seagull, Dolphin) especially attractive for the Nigerian market.
- Dealers importing in volume — the saving compounds across a container.
Larger, high-displacement engines still pay more via the green tax, so the benefit is smaller there.
What hasn’t changed
- Age limit stays at 12 years from year of manufacture (2014+ eligible in 2026).
- Left-hand-drive only.
- Cars near the age limit can still face “risk age” valuation uplifts of 20–30%.
One caution
The reform is only weeks old. Enforcement at some terminals is still settling, and assessed CIF values (via the digital VIN valuation system) can differ from your invoice. Treat any landed-cost figure as indicative and confirm with your clearing agent before committing.
What this means if you’re sourcing from China
Lower levies widen your margin on every unit — or let you offer sharper prices to win buyers. Hanvia Motors supplies China-market cars and EVs that meet Nigeria’s rules, with shipping to Lagos and full documentation.
👉 Ask us for a post-reform landed-cost estimate to Lagos on WhatsApp — we’ll apply the new 2026 rates to the models you want.
Sources: Nigeria Customs Service 2026 fiscal policy measures; industry guidance cross-checked July 2026. Figures are indicative — verify current rates with Nigeria Customs.