HS 8704Vehicles · Saudi Arabia

Light Commercial Vehicles - HS 8704 classification, duty and landed cost - Import into Saudi Arabia

Q: What is the typical import duty on vehicles (HS 8704) into Saudi Arabia?

Saudi Arabia applies an MFN duty of about 10% on HS chapter 8704 at the 6-digit line. National tariff schedules add 2–4 further digits, so the exact rate can shift once you confirm the 8- or 10-digit code. Preferential rates under FTAs (GCC Common External Tariff: 5% standard, 20% protective uplift on many finished goods to encourage local manufacturing (Vision 2030), 100% on tobacco, 50% on soft drinks with sugar) may reduce this to 0% for qualifying origins.

Q: How is VAT calculated on imports of vehicles in Saudi Arabia?

Saudi Arabia charges VAT at 15% on the CIF value plus duty. GCC CET, 15% VAT on CIF + duty

Q: What is the landed cost of a USD 100,000 FOB shipment of vehicles into Saudi Arabia?

On a USD 100,000 FOB parcel with ~8% freight and 0.5% insurance, CIF works out to USD 110,000. Applying 10% duty and 15% VAT brings total taxes to about USD 29,150 (~26.5% of CIF). Landed at buyer's warehouse ≈ USD 141,150.

Q: Which HS code should I use for vehicles in Saudi Arabia?

Start with the 6-digit international HS heading - for example 8704.21 (Motor vehicles for transport of goods, <=5t GVW). Saudi Arabia customs then requires the full national code (8- to 10-digit national tariff line). Confirm the exact line with your licensed customs broker before filing.

Q: Which Incoterm is best for shipping vehicles to Saudi Arabia?

Most importers into Saudi Arabia prefer CIF or CFR for sea freight so the seller arranges main-carriage transport, while retaining control of destination clearance. DDP shifts import duty and VAT to the seller - attractive to buyers but often priced with a risk premium. Compare all 11 Incoterms with our Landed Cost by HS & Country tool.

Q: What documents does Saudi Arabia customs need to clear HS 8704?

KSA uses the 8-digit GCC HS extension, aligned to WCO HS at 6 digits. Regulated commodities may also require a health certificate, phytosanitary certificate or import licence depending on the exact HS line.

Duty and tax snapshot for importing vehicles (HS 8704) into Saudi Arabia. Typical MFN duty ~10%, VAT 15% on CIF + duty. Decision-support only - confirm the 10-digit line and preferential status with your broker.

Typical duty

10%

VAT

15%

Total taxes / CIF

26.5%

Worked landed-cost example

USD 100,000 FOB parcel of vehicles (HS 8704) shipped to Saudi Arabia.

FOB valueUSD 100,000

Origin chargesUSD 1,500

FreightUSD 8,000

InsuranceUSD 500

CIFUSD 110,000

Import duty @ 10%USD 11,000

VAT @ 15%USD 18,150

Destination inlandUSD 2,000

Landed cost ≈ USD 141,150

Run your own numbers in the Landed Cost by HS & Country tool.

Sample HS codes

Code	Description
8704.21	Motor vehicles for transport of goods, <=5t GVW

Saudi Arabia duty regime

GCC Common External Tariff: 5% standard, 20% protective uplift on many finished goods to encourage local manufacturing (Vision 2030), 100% on tobacco, 50% on soft drinks with sugar. Preferential rates under GAFTA (Arab League) and the GCC-Singapore FTA.

Customs notes

· KSA uses the 8-digit GCC HS extension, aligned to WCO HS at 6 digits.
· FASAH is the national single-window platform - all import/export declarations file through it.
· SABER platform: mandatory Product Certificate of Conformity (PCoC) and Shipment Certificate of Conformity (SCoC) for regulated goods. Without SABER, goods will not clear customs.
· Customs value = CIF. Duty applied first, then 15% VAT on (CIF + duty).

Frequently asked questions

What is the typical import duty on vehicles (HS 8704) into Saudi Arabia?

Saudi Arabia applies an MFN duty of about 10% on HS chapter 8704 at the 6-digit line. National tariff schedules add 2–4 further digits, so the exact rate can shift once you confirm the 8- or 10-digit code. Preferential rates under FTAs (GCC Common External Tariff: 5% standard, 20% protective uplift on many finished goods to encourage local manufacturing (Vision 2030), 100% on tobacco, 50% on soft drinks with sugar) may reduce this to 0% for qualifying origins.

How is VAT calculated on imports of vehicles in Saudi Arabia?

Saudi Arabia charges VAT at 15% on the CIF value plus duty. GCC CET, 15% VAT on CIF + duty

What is the landed cost of a USD 100,000 FOB shipment of vehicles into Saudi Arabia?

On a USD 100,000 FOB parcel with ~8% freight and 0.5% insurance, CIF works out to USD 110,000. Applying 10% duty and 15% VAT brings total taxes to about USD 29,150 (~26.5% of CIF). Landed at buyer's warehouse ≈ USD 141,150.

Which HS code should I use for vehicles in Saudi Arabia?

Start with the 6-digit international HS heading - for example 8704.21 (Motor vehicles for transport of goods, <=5t GVW). Saudi Arabia customs then requires the full national code (8- to 10-digit national tariff line). Confirm the exact line with your licensed customs broker before filing.

Which Incoterm is best for shipping vehicles to Saudi Arabia?

Most importers into Saudi Arabia prefer CIF or CFR for sea freight so the seller arranges main-carriage transport, while retaining control of destination clearance. DDP shifts import duty and VAT to the seller - attractive to buyers but often priced with a risk premium. Compare all 11 Incoterms with our Landed Cost by HS & Country tool.

What documents does Saudi Arabia customs need to clear HS 8704?

KSA uses the 8-digit GCC HS extension, aligned to WCO HS at 6 digits. Regulated commodities may also require a health certificate, phytosanitary certificate or import licence depending on the exact HS line.