Last week, several media outlets and bloggers reported on the planned tightening of car import regulations in Uzbekistan starting from April 1. The publication Kun.uz, citing a Telegram channel called "Customs Clearance," stated that the information has not been officially confirmed.
According to the report by "Gazeta.uz," the directive was issued on March 25, approving a proposal from the Agency for Technical Regulation sent to the Cabinet of Ministers on March 19.
The directive states that from April 1, motor vehicles will not be processed under the IM-40 customs regime "release into free circulation" if the compliance certificate is issued to other individuals or legal entities.
The Customs Committee has been tasked with preparing proposals to amend legislation regarding the transfer of cars in customs storage regime to other parties.
There have been no official announcements regarding any changes in car import regulations yet.
In late December last year, discussions were held within the government on tightening import rules for cars, including electric vehicles. The plan included banning individuals from importing cars for commercial purposes from 2024 and reverting to selling new foreign cars only through official dealers.
Reasoning behind the changes
The Agency for Technical Regulation's letter provides information on the import of passenger cars and their compliance with quality and safety standards, based on the Prime Minister's directive from November last year.
The agency has drafted regulatory amendments to restore the order, allowing new imported cars to be sold only by legal entities - official dealers of manufacturing companies. This rule was revoked by the president's decree starting January 1, 2023, enabling individuals to import and sell foreign cars at lower prices than official dealers.
Additionally, the agency has prepared amendments to the general technical regulations on the safety of wheeled vehicles.
The agency mentions that despite allowing individuals to import cars, issues such as after-sales service, free service during the warranty period, and uninterrupted supply of spare parts remain unresolved.
The agency highlights international practices in its letter. For example, in the European Union, car import and sales are carried out by the manufacturer and its official representative. Cars can be sold in the domestic market based on a compliance certificate issued by the manufacturer for vehicles with a type approval document.
In Turkey, cars can only be sold after the approval of the vehicle type and all established quality and safety parameters. Similar procedures exist in the member states of the Eurasian Economic Union based on the technical regulation TR TS 018 on the safety of wheeled vehicles.
In 2023, out of 62,748 imported cars in Uzbekistan, 61,372 had compliance certificates, with 60,451 certificates issued to individuals, allowing car sellers to bypass the vehicle type approval procedure.
To address these issues and regulate vehicle imports, the agency proposed:
- Prohibiting the transfer of compliance certificates to other legal or natural persons;
- Not allowing the transfer of goods placed under the customs storage regime to other individuals;
- Releasing new imported cars into circulation only after their full compliance with regulations and type approval. An exception is made for importing one car for personal use within a calendar year;
- Restoring the procedure for selling new cars imported into Uzbekistan only through legal entities - official dealers of manufacturing companies.
Legal framework
Financial analyst Otabek Bakirov reminded in his Telegram channel that according to Article 18-1 of the law "On Guarantees of Freedom of Entrepreneurial Activity," documents introducing new obligations or responsibilities for businesses come into force no earlier than three months after their official publication.
In other words, if the changes were approved on March 25, they should come into effect on June 25, not April 1.
According to a presidential decree from March 2021, any new restrictions or obligations on business entities must be assessed by the Ministry of Justice within the framework of regulatory impact assessment.
Another presidential decree from September 2023 states that draft documents regulating entrepreneurial activities should be discussed in the Public Council for Business Support under the president before undergoing legal expertise by the Ministry of Justice.
A government decree from December establishes that any regulatory document limiting the number of businesses, affecting competition, or imposing additional costs should be considered detrimental to competition.
Recently, there have been reports of potential restrictions on the unofficial import of Chinese BYD cars. A presidential decree from March 18 approved an investment agreement for the production of electric and hybrid vehicles in Uzbekistan, with a provision for limiting the import of electric cars not meeting local standards and lacking official warranties. BYD requested the government to address this issue by July 1 based on existing legislation and competition principles.
BYD representative Ivan Tsao highlighted that unofficially imported cars may not meet local standards, posing long-term safety risks. Making irreversible changes to the cars could jeopardize their safe usage.
