Does UzAuto Motors pay customs duty on imported cars? Deputies send a parliamentary inquiry to FinMin and Customs Committee

On October 23, a group of parliamentarians asked the government to comment on issues related to imported cars. Deputies Rasul Kusherbayev, Doniyor Ganiyev and Bekmirza Eshmurzayev claim that UzAuto Motors JSC and Jizzakh Automobile Plant LLC, possibly, do not pay import duties and utilization fees for imported cars.

Rasul Kusherbayev told Kun.uz that Chevrolet Tahoe, Traverse, Trailblazer and Equinox cars are being delivered from Chevrolet plants in the United States, China and Thailand.

“In addition, Jizzakh Automobile Plant LLC, a part of Uzavtosanoat, has been selling Volkswagen Caddy cars since July this year, and Škoda Kodiaq cars since October. According to open sources, these cars are imported from the plant in Poland,” Kusherbayev said. 

According to him, the prices of cars imported by UzAuto Motors JSC and Jizzakh Automobile Plant LLC, which are offered through the dealer network, were analyzed. As a result, it was discovered that the customs value of cars is calculated differently.

Financier Otabek Bakirov drew attention to this issue and wrote the followings on his Telegram channel:

“Let’s take the price of a Chevrolet Trailblazer imported from Thailand. The car is currently being sold by UzAuto Motors for 398 million soums or $38,492.

If UzAuto Motors pays all customs duties (156.8 million soums), VAT (46.6 million soums), other relevant duties (0.3 million soums) and utilization fees (40.1 million soums) while importing this car to Uzbekistan, the customs value of this car at the Uzbek border should be 154.1 million soums or $14,903,” Bakirov said.

A study by the parliamentarians showed that no factory or official partner of Chevrolet or Volkswagen in the world has such a low-cost car offer. Thus, the deputies are close to the conclusion that UzAuto Motors JSC and Jizzakh Automobile Plant LLC, possibly, are not paying import duties and utilization fees.

According to the current legislation, officials of public authorities and administrative bodies should send a response to the deputy’s inquiry no later than 10 days from the date of receipt of the inquiry.