New 2026 Customs Duty Policy: FG Cuts Tokunbo Import Tariffs to 5% – What It Means for Car Prices in Nigeria

The Federal Government, via the Nigeria Customs Service (NCS), officially slashed import tariffs on foreign-used ("Tokunbo") vehicles from 15% to 5% and brand-new cars from 20% to 10%. However, alongside this tariff cut, new 2026 fiscal guidelines have introduced a 12-year age limit on vehicle imports (restricting models older than 2014) and a 2% to 4% "Green Tax" surcharge on high-engine capacity vehicles.

• Tariff Cut vs. New Taxes: While basic import duty dropped to 5% for Tokunbo cars, the introduced Green Tax (2% for 2.0L–3.9L engines; 4% for 4.0L and above) and exchange rate fluctuations mean total clearing costs won't drop overnight.

• Strict Age & Drive Rules: The 12-year age rule makes 2014 the absolute limit for imports in 2026, while right-hand drive imports remain strictly banned.

• Market Shift: Clean, pre-cleared Tokunbo units already in the country and verified Nigerian-used commuters are seeing an immediate surge in buyer demand.

The Breakdown: What Changed in the 2026 Auto Import Rules?

For years, high customs tariffs forced many importers to seek alternative border routes or pass exorbitant clearing costs directly to buyers. The drop in duty rates to 5% on used vehicles aims to curb smuggling and make legitimate port clearing more attractive.

However, importing a car into Lagos, Port Harcourt, or Calabar involves a balance of multiple clearing variables:

1. The Green Tax Surcharge

To encourage cleaner mobility and CNG/EV adoption, the government introduced an additional levy based on engine displacement:

• Under 2.0L (e.g., Toyota Corolla, Honda Civic): Exempt from Green Tax.

• 2.0L to 3.9L (e.g., Lexus RX350, Toyota Camry V6, Ford Edge): Attracts a 2% surcharge.

• 4.0L and Above (e.g., Toyota Land Cruiser, V8 Hilux, Mercedes G-Wagon): Attracts a 4% surcharge.

2. The 12-Year Import Age Limit

Customs enforcement has tightened on manufacturing dates. Cars manufactured before 2014 are prohibited from entering Nigerian ports. If you are shipping a Tokunbo vehicle this year, 2015 and newer models provide the safest compliance margin.

What This Means for Your Pocket

While the tariff reduction is a positive step, exchange rate volatility, port handling charges, and terminal fees mean market prices at Cotonou or Apapa will not crash overnight. For the average Nigerian buyer, purchasing a pre-cleared Tokunbo car or a well-maintained Nigerian-used vehicle with full Customs Duty Verification, VReg clearance, and original paper documentation remains the most cost-effective path to ownership.

Ready to Buy or Sell With Confidence?

Navigating changing import rules, VReg requirements, and Customs papers shouldn't give you a headache.

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