Indian Automobile Import Guide: What You Need to Know in 2025

Thinking about bringing a car from abroad to India? You’re not alone. Many people want a specific model, a classic, or a cheaper version that isn’t sold locally. The process can feel messy, but breaking it down step by step makes it manageable.

Understanding Import Duties and Taxes

The biggest surprise for most buyers is the duty structure. India charges a basic customs duty of around 10% on the car’s assessed value. On top of that, there’s an additional cess that can push the total to 30% or more for larger engines. For example, a sedan with a 2.0‑litre engine may attract a lower rate than a SUV with a 3.5‑litre engine.

Besides duty, you’ll pay a Goods and Services Tax (GST) of 18% on the sum of the car price plus customs duty. Some states also levy registration fees and road tax, which vary widely. The key is to calculate the full landed cost before you place an order. A simple spreadsheet that adds the car price, shipping, insurance, duty, GST, and local fees will prevent nasty price shocks.

Step‑by‑Step Import Process

1. Choose the right car and supplier. Verify that the vehicle meets Indian emission standards (Bharat Stage VI). Ask the seller for a clear invoice, a copy of the title, and proof of compliance.

2. Get a customs clearance agent. Most importers rely on a licensed clearing agent to handle paperwork. They will file a Bill of Entry, arrange for inspection, and pay duties on your behalf.

3. Arrange shipping. You can ship by container (Safer, more expensive) or by roll‑on/roll‑off (RoRo) if the car is already road‑ready. Shipping from Europe or the US typically takes 3‑4 weeks; from Japan, about 2‑3 weeks.

4. Prepare documentation. Required papers include the commercial invoice, packing list, certificate of origin, insurance certificate, and a copy of your passport. The clearing agent will also need a Power of Attorney.

5. Pay duties and taxes. Once the car arrives at the port, the clearing agent will calculate the exact amount. Pay promptly to avoid storage fees.

6. Vehicle inspection. Indian customs may inspect the car for compliance with safety and emission norms. If everything checks out, you get a clearance certificate.

7. Register the car. Take the clearance certificate, insurance papers, and original invoice to the Regional Transport Office (RTO). You’ll receive a registration number and a number plate.

8. Enjoy your ride. After registration, you can legally drive the car on Indian roads.

Throughout the process, communication is key. Keep your supplier, shipping line, and clearing agent in the loop. Small delays often happen because of missing documents, so double‑check everything before you send it.

One practical tip: if you’re importing a classic or a low‑volume model, consider applying for a “Special Purpose Vehicle” (SPV) licence. It can lower some fees, but the paperwork is a bit more involved.

Finally, compare total landed cost with local alternatives. In many cases, the price difference isn’t huge enough to justify the hassle. However, if the model you want is unavailable in India or you need it for a specific business use, the import route can be worth the effort.

Importing a car to India doesn’t have to be a mystery. By knowing the duty rates, preparing the right documents, and working with a good clearing agent, you can keep the process smooth and avoid surprise expenses. Ready to start? Grab a calculator, list your preferred models, and take the first step toward driving your dream car on Indian roads.