Poland is one of the most dynamic markets in the European automotive industry and it has put a well-established regulatory framework in place for importing used cars from China. To reach its goal of modernizing the country’s vehicle fleet and advancing environmentally friendly transportation, it is important for exporters to know these rules. This paper presents a comprehensive account of the Polish regulatory system concerning the importation of used automobiles from China, mainly focusing on importation policies, taxation, documentations required and market information.

Poland Automotive Market Overview

The demand for personal transportation has been growing significantly due to economic growth in Poland hence making its automotive market to expand consistently:

•      Polish market is a left-hand drive country, which only allows left-hand drive vehicles to be imported.

•      There has always been an upward trend for new car sales with high sales volumes coming from brands like Toyota, Skoda and Kia.

•      There is a growing interest in new energy vehicles, supported by government subsidies and incentives, reflecting a shift towards sustainable transportation.

•      According to data from Marklines, Poland sold 512,357 vehicles in 2023 , a 12.4% increase on previous year indicating a strong market for both new and used cars.

•      Poland’s GDP in 2023 was approximately 701.7billion with a slight increase of 0.2%.

Import Policies for Used Cars from China

Poland has put in place certain import policies meant to ensure that used cars entering the market are of good quality and safe to use:

•      Used cars must undergo a roadworthiness check, including assessments for emissions, noise, and brakes.

•      Importers are restricted to trading vehicles of only one type- cars, trailers or motorcycles.

•      Poland prohibits vehicles over six years old, trucks over ten years and those without production date records or heavily damaged from entering.

Taxation Policy for Used Car Imports

Poland’s taxation policy for used car imports has been developed in line with EU standards and to promote environmental friendly vehicles:

•      Cars older than 6 months and traveled above 6,000km are levied with an excise tax calculated basing on age and engine capacity plus 22% VAT.

•      To stimulate demand for energy efficient vehicles, Poland reduces by half the excise tax rate for hybrids cars. Cars having engines displacements below 2000cc have 3.1% excise while those exceeding this capacity have 18.6%.

Documentation Required for Used Car Imports

In order to facilitate the importation of used cars from China, a comprehensive checklist of documents is needed:

•      Original vehicle ownership certificate

•      Original registration documents should be under the name of a person buying car

•      Vehicle insurance policy

•      Bill of Lading

•      Purchase invoice

•      Documents confirming vehicle change or proof of ownership

•      Vehicle registration certificate.

•      Proof of vehicle performance inspection

•      Receipts of excise tax payment

•      Vehicles customs clearance certificate

Market Dynamics and Future Outlook

Poland’s automotive market continues to grow at a steady pace with present focus on recuperation and growth of new energy vehicle segment. Further incentives on eco-friendly cars may come due to Poland’s commitment towards EU environmental goals thereby shaping the future of the market. The demand for used cars is expected to remain strong, driven by economic considerations and the availability of vehicle models that meet the evolving environmental standards.

Summary

Poland’s regulatory framework on imports of used cars from China is designed to combine maintenance of good cars on her roads while fostering international trade and economic growth. When Chinese used car exporters make themselves familiar with Poland’s import regulations, system of levies and requirements of papers, they will navigate the Polish market effectively. As the market continues to evolve, these regulations will play a crucial role in shaping the future of Poland's automotive industry.

Please note that used car import tax rates and policies may change over time or be adjusted according to the latest regulations from the government. Therefore, it is advisable to confirm the most current tax information with relevant tax and customs authorities before importing.