BREAKING: FG Slashes Import Levy on New, Used Vehicles as New Tariff Takes Effect

• The Federal Government has reduced the import levy on new and used vehicles, cutting rates to 10% and 5% respectively.

The Federal Government has officially reduced the import levy on both new and used vehicles as part of its 2026 Fiscal Policy Measures aimed at lowering import costs and boosting economic activity.

Under the revised policy, the import levy on new vehicles has been cut from 20% to 10%, while the levy on used vehicles has been reduced from 15% to 5%.

The changes, which took effect on July 1, are part of a broader overhaul of Nigeria’s import tariff structure designed to ease the financial burden on importers and potentially make vehicles more affordable for consumers.

The new fiscal measures also introduce a Green Tax Surcharge on certain high-engine vehicles, alongside other customs and excise reforms.