Imported Used Vehicles Must Undergo VIN Valuation, Nigeria Customs Insists

The Nigeria Customs Service (NCS) has insisted that imported used vehicles otherwise called tokunbo must be subjected to Vehicle Identification Number (VIN) Valuation.

It clarified that the details of a viral circular that expressed concerns about the loss of revenue on imported used vehicles and the indictment of the VIN Valuation officers across the commands was inaccurate.

The circular signed by Assistant Comptroller General, Tariff and by Trade, C.K Niagwan, dated August 24, expressed worries that the said officers were not complying with the procedure for examination, valuation, and release of used vehicles.

The report directed that all used vehicles after examination, should be referred to the valuation seat to verify the trim of the imported vehicle and assign the appropriate value, instead of applying the base value.

Clarifying the various media reports that it said caused confusion concerning the process, the NCS stressed that “While it is true that a circular about ‘examination and release of used vehicles’ has been highlighted by the author, it is regrettable that the accurate context has been overlooked.

“The VIN Valuation Process remains fully operational and effective. The mentioned circular specifically pertains to imported used vehicles equipped with trim numbers,” the Service explained in a statement.

The statement signed by its spokesperson, Chief Superintendent Abdullahi Maiwada, noted that the trim numbers are critical in identifying distinct versions or tiers within a specific car model.

He added that the trim delineates varying configurations, features, and levels of equipment associated with the model.

According to him, different trim levels offer diverse technological advancements, interior and exterior features, and, occasionally, distinct engine options.

“For instance, a car model could feature trim levels such as ‘Base’, ‘Sport’, ‘Luxury’, and ‘Premium’.”

“Each of these trim levels might present differing combinations of attributes, such as premium leather seats, advanced infotainment
systems, upgraded wheels, and enhanced safety features, among other enhancements.

“This results in an elevated value for the vehicle compared to the base model.

“To ensure fairness and accuracy, the NCS mandates that imported used vehicles with trim numbers undergo valuation at the Valuation Seat after a thorough examination.

“This process aims to establish the vehicle’s appropriate and precise Customs value.

“The NCS urges the general public to dismiss the misleading report and encourages individuals to engage with the various Customs Formations across the nation for any additional clarification or information they may require,” he said.