
Tanzania’s updated 2025 electric vehicle (EV) import rules aim to simplify the process, encourage adoption, and reduce costs. Here’s what you need to know:
- Tax Exemptions: EVs benefit from excise duty waivers, reducing overall import costs. However, VAT (20%) and import duty (25%) still apply.
- HIV Response Levy: A new fee based on battery capacity ranges from TZS 95,000 (under 50kWh) to TZS 250,000 (50kWh+).
- Age Limits: Imported EVs must be 8 years old or newer (2017+ for 2025).
- Required Documents: Include the Bill of Lading, pre-shipment inspection certificate, Taxpayer Identification Number (TIN), and proof of payment.
- Cost Comparison: EVs have lower taxes (45%) compared to conventional cars (50–65%). Fuel savings are up to 86%, with electricity costing 7% of petrol prices.
Tanzania’s EV market is growing, with over 5,000 EVs on the road. While incentives like reduced taxes and streamlined processes make importing easier, challenges such as upfront costs, limited charging infrastructure, and grid reliability remain. Stay compliant by following updated procedures and leveraging platforms like EV24.africa for smoother imports.
Top Tips Before Importing Affordable Electric Vehicles to Africa!
What Changed in Tanzania’s EV Import Rules
The Finance Act 2023 introduced significant changes to Tanzania’s electric vehicle (EV) import policies. Excise duties on many electric cars, motorcycles, and three-wheelers have been removed, along with waivers on several import charges. These updates simplify the import process, making it more accessible for businesses and individuals.
A national framework has also been introduced to oversee EV importation, registration, and usage. This framework focuses on key areas such as infrastructure development, policy updates, technological advancements, and increasing public awareness. Additionally, discussions are underway about offering further tax incentives to promote EV registration and the expansion of charging infrastructure.
Which Electric Vehicles Qualify for Import
The updated regulations specify which types of EVs are eligible under the new rules. These include electric cars, motorcycles, and three-wheelers, aligning with Tanzania’s focus on affordable urban mobility and the economic realities of local consumers. Battery electric vehicles (BEVs) are fully exempt from excise duties, but all EVs must undergo pre-shipment inspections to ensure they meet safety, environmental, and legal standards.
Age Limits for Imported EVs
Tanzania enforces an 8-year age limit on all imported vehicles, including EVs. Vehicles older than 8 years are subject to steep fines, making it essential for importers to adhere to this rule. For those looking to import used EVs in 2025, this means prioritizing models manufactured in 2017 or later.
Documents You Need for EV Imports
The new framework has standardized documentation requirements for EV imports. Importers need to present the following:
- Original Bill of Lading: Proof of ownership and shipping details.
- Pre-shipment Inspection Certificate: Verification of safety, environmental, and legal compliance.
- Taxpayer Identification Number (TIN): For tax-related processing.
- Proof of Payment: Evidence of payment for all applicable duties and taxes.
These streamlined requirements aim to make the import process more straightforward while ensuring compliance with safety and environmental standards.
Import Costs: Duties, Taxes, and Savings
Understanding the full cost structure for importing EVs into Tanzania is essential. While the 2025 regulations have introduced better terms for EV imports, taxes still play a significant role.
Import Duties and Taxes Explained
The tax framework for imported EVs aligns with Tanzania’s general vehicle import system but includes some notable adjustments. Import duty is set at 25% of the EV’s dutiable value for all passenger vehicles. On top of this, Value Added Tax (VAT) is charged at a rate of 20%, calculated on the total value, including the import duty. However, unlike conventional vehicles – which are subject to excise duties ranging from 5% (for engines between 1,000cc and 2,000cc) to 10% (for engines above 2,000cc) – qualifying EVs benefit from excise duty exemptions.
EVs are also subject to the HIV Response Levy, determined by battery capacity:
EV Power Category | Battery Capacity | Levy Amount (TZS) |
---|---|---|
Lower Power EVs | Below 50kWh | 95,000 |
Mid Power EVs | 50.1–100 kWh | 250,000 |
High Power EVs | 100.1–200 kWh | 250,000 |
Performance/High-End EVs | Above 200 kWh | 250,000 |
This levy is factored into the total import costs. For example, importing a mid-range EV with a 60kWh battery would incur a levy of TZS 250,000 (approximately $95).
These tax structures set the stage for government incentives aimed at promoting EV adoption.
Government Incentives and Tax Breaks
Electric four-wheelers and e-buses enjoy full exemption from excise duty, unlike conventional vehicles, which are taxed based on engine size. Additionally, recent reforms have halved excise duty rates for imported electric four-wheelers and e-buses, reducing them from 20% to 10%, while increasing rates for internal combustion engine (ICE) vehicles from 25% to 35%.
Cost Comparison: EVs vs Regular Cars
When comparing taxes, conventional passenger vehicles face a combined tax rate of 50–65%, while EVs are taxed at 45% (plus the HIV Response Levy). This translates into savings of 5% to 20%, depending on the engine size of the conventional vehicle being compared.
The cost advantage of EVs becomes even more apparent when factoring in fuel expenses. EV owners bypass fuel taxes, which can add 40–50% to fuel prices. Additionally, older conventional vehicles are subject to extra excise taxes – 15% for vehicles aged 8–10 years and 30% for those over 10 years – further increasing their overall cost.
Commercial EV importers also benefit from reduced tax rates. While conventional commercial vehicles incur a total tax burden of around 32% (15% import duty and 20% VAT), electric buses and other commercial EVs enjoy more favorable terms. These lower upfront costs, combined with long-term operational savings, make EVs an attractive option for businesses looking to cut costs and invest in sustainable transportation.
How to Import an EV: Step-by-Step Process
If you’re planning to import an electric vehicle (EV) under Tanzania’s 2025 import rules, here’s a practical guide to help you navigate the process. Follow these steps to ensure compliance and avoid unnecessary delays.
Getting Pre-Approval and Applying
The first step is to secure the necessary permits and approvals from Tanzanian authorities. The Tanzania Revenue Authority (TRA) handles tax collection and customs administration, so you’ll need to start by visiting their online Taxpayer Portal at www.tra.go.tz. This portal allows you to pay taxes and register motor vehicles online.
You’ll also need permits from TFDA and TBS to confirm that your EV meets the required safety and quality standards. If you’re importing EVs for commercial purposes, consider applying for an investment incentive certificate through the Tanzania Investment Centre or the Zanzibar Investment Promotion Centre. These certificates may qualify you for exemptions on import duties.
Customs Clearance Steps
Once your approvals are in place, you can proceed with shipping and customs clearance. At the port, you’ll need to present key documents, including:
- Bill of Lading
- Export Certificate
- Proforma Invoice
- JEVIC or QISJ certificate (depending on the vehicle’s origin)
- Agent’s Authorization Letter (if you’re using an agent)
During customs clearance, officials will conduct a physical inspection of your EV to verify that all documentation matches. TRA officers will also assess the vehicle’s value to calculate the applicable import duties and taxes. Thanks to TRA’s online system, this process is now more streamlined and efficient.
Common Mistakes to Avoid
To avoid setbacks, keep these common mistakes in mind:
- Skipping Pre-Shipment Inspection: Failing to complete the mandatory pre-shipment inspection could result in delays or even rejection of your vehicle at customs.
- Underestimating Duties and Taxes: Ensure you calculate all fees accurately in advance to avoid surprises.
- Choosing Unreliable Partners: Work only with trusted dealers and shipping companies to prevent issues with documentation or shipping schedules.
Stay informed about regulatory updates, such as the eligibility of EV spare parts for tax benefits. Be aware of challenges linked to Harmonized System (HS) codes for specific EV types, like e-bicycles and e-tuk-tuks.
Lastly, make sure pre-registered EVs have the correct documentation to comply with TRA’s recent requirements. For instance, the TRA conducted a registration exercise for all electric vehicles without official number plates between May 16 and June 30, 2025. Vehicles that remain non-compliant after this deadline may face legal consequences.
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Benefits and Challenges of Importing EVs
Importing electric vehicles (EVs) under Tanzania’s 2025 regulations presents a mix of opportunities and hurdles. These are directly tied to the reforms introduced by the Finance Act 2025.
Government Support for EV Importers
The Tanzanian government is actively encouraging EV imports by offering a range of incentives, including tax exemptions, infrastructure development support, and loan guarantees. This demonstrates a clear commitment to reducing the country’s reliance on fossil fuels.
To put the importance of this shift into perspective, Tanzania imported $5.19 billion worth of refined petroleum in 2022, making it the nation’s costliest import. By promoting EV adoption, the government aims to curb this economic burden.
The financial benefits of EVs are also striking. Electricity costs approximately TZS 230 per kWh ($0.09), while petrol averages TZS 3,210 per liter ($1.19) as of 2024. This means electricity costs are roughly 7% of petrol costs on a per-unit basis, offering significant savings for EV owners over time.
Tanzania also stands out as a leader in the regional EV market, providing a promising environment for importers. However, these advantages come with their own set of challenges.
Import Challenges and Problems
Even with government incentives, several obstacles complicate EV imports. High upfront costs, vague battery standards, and limited expertise among customs agents are some of the key issues.
While EVs promise long-term savings due to lower fuel and maintenance costs, a Total Cost of Ownership (TCO) study in Tanzania found that EVs still have a higher TCO compared to internal combustion engine (ICE) vehicles. This is largely due to higher initial expenses, including vehicle costs, import duties, taxes, and registration fees.
Battery standards and charging requirements also remain unclear, adding to the complexity. As the regulatory framework continues to evolve, importers may face inconsistent guidance from different government agencies. Compounding this is the limited experience among customs agents, which can delay the clearance process.
Infrastructure challenges further complicate matters. The reliability of Tanzania’s electricity grid is a major concern for potential EV owners. While the completion of the Nyerere Hydropower Plant is expected to improve grid stability, current issues may deter consumers from investing in EVs.
Consumer skepticism is another hurdle. As Ms. Mercy Kitomari, government relations and policy lead at Tri, explains:
"It will take a minute for someone to believe that you can charge a vehicle for two hours and drive 100km. And they always wonder, what if I want to drive 110km?"
This hesitation, combined with the lack of charging infrastructure and low EV adoption rates, creates a cycle where infrastructure investment is not prioritized, further discouraging potential buyers.
EV Import Pros and Cons for 2025
Importing EVs in 2025 requires balancing clear advantages against notable challenges. Here’s a comparison of the key factors:
Advantages | Disadvantages |
---|---|
86% fuel cost savings | Higher upfront costs |
50% lower maintenance costs compared to ICE vehicles | Limited charging infrastructure |
Tax-free import incentives offered by the government | Unclear battery standards and evolving regulations |
Growing EV market with over 5,000 EVs already in use | Electricity grid reliability concerns |
Government loan guarantees and infrastructure support | Inexperienced customs agents for EV processing |
Reduced reliance on costly petroleum imports | Consumer skepticism about EV performance |
Operational benefits are particularly compelling. For example, EVs generally require 50% less maintenance than ICE vehicles due to having fewer moving parts. Additionally, electric two- and three-wheelers account for 79% of Tanzania’s EVs, indicating strong demand in these categories.
However, the challenges cannot be ignored. The higher upfront costs of EVs compared to ICE vehicles make them less appealing to price-sensitive consumers in Tanzania. This price sensitivity directly impacts the size of your potential customer base.
Timing is another critical factor. Chinese EV manufacturers are looking to expand into African markets due to high tariffs in the US and EU. While this could lead to more competitive pricing and supplier options, it also increases competition among importers.
Strategic planning is essential for success. Tanzania’s growing network of solar off-grid and mini-grid systems could support EV charging infrastructure in remote areas. These developments hint at future improvements that could benefit your import business, but they require careful monitoring and planning.
Tips for EV Buyers and Importers
Importing electric vehicles (EVs) successfully into Tanzania requires thoughtful planning and smart decision-making. Here’s how you can navigate the process effectively.
Choosing the Right Vehicles and Suppliers
In Tanzania, two- and three-wheelers are a major focus for urban mobility needs. These vehicle types are especially popular among commercial drivers who often face range anxiety due to frequent trips. When selecting EV models, prioritize those that address these concerns and offer meaningful reductions in operating costs.
China remains a dominant player in the global EV market, producing about 11 million of the 17 million electric cars sold globally in 2024. This creates opportunities for Tanzanian importers, but also requires careful supplier selection. Look for suppliers who provide flexible financing options tailored to local market conditions. These financing solutions can help you better serve price-sensitive customers.
Another option worth exploring is local assembly. Assembling EVs locally has the potential to lower retail prices over time, making EVs more accessible to Tanzanian buyers.
Preparing Documentation and Planning Ahead
Proper documentation is absolutely critical for smooth EV imports. The Tanzania Customs Integrated System (TANCIS) automatically rejects incomplete declarations, so double-checking all paperwork is a must. Align your documentation process with the specific EV import requirements discussed earlier.
To streamline the process, hire a Licensed Clearing and Forwarding Agent (CFA) who is well-versed in EV import regulations. Ensure your CFA submits all necessary documents through the clearance system at least seven days before the vessel arrives. This timeline is essential, as outlined by the East African Community Customs Management Act (EACCMA) 2004.
Your declarations must also include detailed descriptions to avoid rejection by the Integrated Query System (IQS). Since the system flags incomplete or unclear documentation, precision is key.
In addition to basic paperwork, it’s wise to prepare for possible regulatory changes. Analyze how tariff adjustments or new regulations could impact your costs and revenues. Diversifying suppliers and developing flexible sourcing strategies can also help you navigate any geopolitical shifts or trade policy changes that may arise.
Simplifying Imports with EV24.africa
For a smoother import experience, consider using EV24.africa. This platform offers a wide selection of new and used electric vehicles from leading brands like Tesla, BYD, Leapmotor, ROX, Dongfeng, Geely, Hyundai, Toyota, and Suzuki. Detailed listings, transparent pricing, and financing options make it easier to choose the right vehicles and suppliers.
EV24.africa delivers to 54 African countries, providing access to vehicles from various markets through a single, reliable partner. This is particularly helpful given the complexities of Tanzania’s evolving EV regulations. The platform also includes expert car services and customer reviews, which can guide your decisions and help you avoid common pitfalls.
One of the platform’s standout features is its clear pricing structure, which includes duties, taxes, and fees. This transparency supports effective customs and tax planning. For businesses handling multiple imports, the dealer plan offers bulk listings and dealership branding, streamlining operations and boosting visibility in Tanzania’s growing EV market.
Additionally, EV24.africa’s financing options align with the flexible payment arrangements that are becoming increasingly popular in Tanzania. These options cater to customers who prefer alternative payment methods, making the platform a valuable tool for importers and buyers alike.
Key Points for EV Importers in 2025
Tanzania’s electric vehicle (EV) market in 2025 presents a promising landscape for importers who stay informed and prepared. With 5,000 EVs already on the road and global EV sales surpassing 20 million that year, the stage is set for continued growth. These market shifts align with regulatory updates that offer both opportunities and challenges.
The Finance Act 2023 eliminated excise duties on many EVs, reducing costs by up to 44%. However, importers need to account for the HIV Response Levy, which is TZS 95,000 for EVs with capacities below 50kWh and TZS 250,000 for those with higher capacities. Proper HS Code classification is critical to ensure tariff benefits are applied correctly.
Looking ahead, the regulatory framework is evolving. A national e-mobility policy is under development to address importation, registration, safety standards, and energy grid integration. Importers should also keep an eye on potential VAT exemptions for locally manufactured vehicles. Staying updated on these policies will be crucial as they shape import logistics and compliance requirements.
In terms of shipping logistics, container shipping is now preferred over Ro-Ro transport for its efficiency and ability to handle larger volumes. Additionally, securing export licenses requires the expertise of seasoned freight forwarders.
Success in this growing market hinges on staying compliant with regulations, maintaining accurate documentation, and leveraging available tax incentives. The Finance Act 2025 introduces further changes to tax, duty, and levy structures through 2028, making ongoing compliance monitoring essential for profitability.
For importers seeking a streamlined entry into this market, platforms like EV24.africa offer tailored solutions. Their transparent pricing includes duties, taxes, and fees, while also providing financing options designed to meet Tanzania’s preference for flexible payment terms.
FAQs
What steps should I follow to import an electric vehicle into Tanzania under the 2025 regulations?
To bring an electric vehicle (EV) into Tanzania under the 2025 regulations, here’s what you’ll need to do:
- Gather the necessary paperwork: Make sure you have all the required documents, such as the purchase invoice, export certificate, and any other forms specified by Tanzanian authorities.
- Engage a Clearing and Forwarding Agent: Partner with an agent registered with the Tanzania Revenue Authority (TRA). They’ll help you with filing the declaration and ensuring compliance with local requirements.
- Pay the required duties and taxes: Be prepared to cover import duties, VAT, and other fees. These costs depend on factors like the vehicle’s age and specifications.
- Complete the pre-shipment inspection: Before shipping the EV, it must undergo an inspection to confirm it meets Tanzania’s import standards.
- Clear customs and register the vehicle: Once the EV arrives, go through customs clearance and register it with the TRA to make it legal for Tanzanian roads.
Following these steps will help streamline the import process and ensure you meet all the necessary regulations.
How will the new tax exemptions and levies in Tanzania impact the cost of importing an electric vehicle compared to a gas-powered vehicle?
The recent tax exemptions in Tanzania have made importing electric vehicles (EVs) much easier on the wallet compared to gas-powered cars. EVs now enjoy zero import duties and VAT exemptions, while traditional vehicles face import duties of at least 25%, plus additional taxes that can push their total cost up by 50% to 65% of the dutiable value.
While EVs still tend to cost 20% to 40% more upfront than gas-powered cars, these tax breaks are closing the price gap. This shift makes EVs a more appealing choice for buyers who want to save money in the long run and support a cleaner, more sustainable future.
What are the key challenges and factors to consider when maintaining an electric vehicle in Tanzania under the current infrastructure and regulations?
Maintaining an electric vehicle (EV) in Tanzania presents a unique set of hurdles, largely tied to the country’s infrastructure and regulatory landscape. Some of the main challenges include scarce charging stations, steep import taxes on EVs and their components, and a shortage of skilled technicians equipped to handle EV-specific maintenance. On top of that, the electricity grid in certain regions may not always be reliable enough to meet charging demands.
To manage these obstacles, it’s essential to assess the availability of charging options nearby, budget for potentially higher maintenance expenses, and keep track of any changes in regulations or incentives. Setting up a home charging station and working with experienced service providers can make EV ownership in Tanzania far more manageable.