Tariffs on Old Cars Now a Reality

[prototype]

Originally Posted by 67since67

In 1982 I sold a roadworthy project El Camino and a bed full of parts to two gentlemen from Hamilton ONT. They were very happy that it had a mis-matched color fender from another car that they said would be leverage to limit the duty (Tariff) value at the border which seemed substantial back then.

So maybe the only thing new here is the increased percentage of value to import into CAN??

A couple years ago I was pursuing a Beaumont SD. TFX was going to handle the paperwork at the border but the numbers quoted for coming this way weren't anything substantial.

Your El Camino situation was common place in those days. Vehicles that were less than 25 yrs old were subject to duty, so a vehicle that appeared in poor condition was often declared at a lesser value, thus less duty and tax.

Once a vehicle was over 25 yrs old the duty wasn't applicable so it didn't matter.

In the case of the 68 Charger, yes it will only increase the value to import

98,000 USD purchase price......1.44 exchange rate to Canadian

141,000 Canadian value for purchase price
35,250 25% tariff (duty)
176,250 Canadian import value
8,812.50 GST (federal goods and services tax)
185,062.50 Total cost of vehicle in Canada

If the vehicle originally came with A/C there is a tax on that
In Alberta there is no provincial (state) tax (just like Oregon and Montana)
Other provinces have provincial sales taxes (PST) or harmonized sales tax (HST) which combines the provincial and GST.

This is our little world. If tariffs continue it will certainly put the brakes on our old cars.

[Arrowsmith]

Originally Posted by LT1vette

I don't think it was mentioned in the article from Winnipeg...
To get the car into Canada....
1..Fill out import paperwork ( get it notarized best idea)
2..Inform US customs you are exporting vehicle (minimum 2 days to 7 days)
3..Stop at US customs to pick up your form (stamped hopefully or you are not taking vehicle.
4.. Cross to Canada, declare vehicle. ( go into customs and they will give you the 3rd degree, that's when you NEED the notarized receipt) They will check to see IF, IF the car is eligible. Yup... hopefully you checked first, if not car is going back.
5..In Ontario pay the 10% HST tax, then the new 25% tariff.
6.. Of course there was the "incidental" exchange rate from CAN $$ to US $$ of 40%

So how are you doing NOW?? That should stop the old car hobby in it's track.

Think I'll up the selling price on my car....LOL

Exactly right. I’ve imported and exported a number of “classic” cars over the years and I learned a long time ago that it’s critical to get a customs broker involved from the very beginning. Fees are minimal when compared to the anxiety. It used to be a lot easier with far fewer hoops to jump through but that all changed when we as Canadians had to get export approval from US Customs before the car entered Canada. I really feel sorry for the guy in Winnipeg. A broker could have saved him a ton of anxiety, but that is hindsight. With my most recent import (my Corvette), TFX Transport worked with me to get the car cleared through Customs and across the border before the tariff war began ( everyone involved knew it was imminent).

[CamaroNOS]

It is so sad what is happening. It is now crazy for a Canadian to buy a car from the U.S. (for now).

If the car cost $75,000 U.S..... the final price sitting in my driveway here in Ontario will be $132,000 Cdn ($75,000 US PLUS 40% exchange PLUS 25% tariff on top of that new number PLUS 13% of the $75,000 US for HST in Ontario = $132,000 CDN) and that does not include any shipping fees if you needed that as well.

$75,000 US = $132,000 CDN

Here's the million dollar question for us guys in Canada.....are our cars now worth an additional 25% (if sold in Canada) because of the tariffs???? It is a terrible question to ask but.......

Just NUTS!

Paul

[LT1vette]

Here's the million dollar question for us guys in Canada.....are our cars now worth an additional 25% (if sold in Canada) because of the tariffs???? It is a terrible question to ask but.......

Just NUTS!

Paul[/QUOTE]

I'm going to say ..YES.
Why should us as the owner lose out? But lets give it a few months, the values surely have to be adjusted.

[X66 714]

Here's a question. What if you have a Canadian car in the US & now it's going back to Canada to stay? It's titled & has all of the original body tags. Anybody know what he might run into. The new owner is a Canadian citizen from Sask. ....Thank you, Joe

[BJCHEV396]

I recently sold my Camino and was bidding on a couple of cars on B.A.T. that were in the States.I was the top bidder on one of them that didn't meet reserve.The seller reached out to me to make a deal but I declined just in case tariffs would impact the deal! I was fortunate to sell "high" cause my Camino sold on a U.S.site for $40K. which was $57K.Canadian.I'm gonna be 75 in July and this crap might just be the end of my long journey in the classic car hobby.I think we've all been concerned about the future of our beloved hobby and things like tariffs are just gonna hasten it's demise.

[L78M22Rag]

I was planning on bringing a vintage vehicle from the US into Canada, and was caught off guard by these tariffs as well. Looking into it, I discovered that the big three auto makers entered into the Auto Pact back in 1964 which was signed early in 1965 where they worked together on both sides of the border supplying parts for the manufacturing of these cars to avoid the tariffs at the time. I was going to use this as my argument at the border. Here’s an article on the Auto Pact…

https://www.hemmings.com/stories/mad...-pact-of-1965/

Curious what your thoughts are on this?

[Tracker1]

Originally Posted by L78M22Rag

I was planning on bringing a vintage vehicle from the US into Canada, and was caught off guard by these tariffs as well. Looking into it, if realized that the big three auto makers entered into the Auto Pact back in 1965 which was signed early in 1966 where they worked together on both sides of the border supplying parts for the manufacturing of these cars to avoid the tariffs at the time. I was going to use this as my argument at the border. Here’s an article on the Auto Pact…

https://www.hemmings.com/stories/mad...-pact-of-1965/

Curious what your thoughts are on this?

I'd say save your breath, the officers you will encounter are just doing what they are told. I brought parts across last week, a mix of used and new reproductions. I paid my HST and was told " no tariffs on auto parts." That is likely because of the Auto Pact I'm guessing. But an assembled car from the USA is now going to be subject to tariffs. No ifs, ands or buts. I would hold off until calmer heads prevail on this.

[BJCHEV396]

Originally Posted by Tracker1

I'd say save your breath, the officers you will encounter are just doing what they are told. I brought parts across last week, a mix of used and new reproductions. I paid my HST and was told " no tariffs on auto parts." That is likely because of the Auto Pact I'm guessing. But an assembled car from the USA is now going to be subject to tariffs. No ifs, ands or buts. I would hold off until calmer heads prevail on this.

I hope calmer heads do prevail.

[1967 4K]

Lot of nice cars and good Car Guys in Canada. Make it hard for us to trade with one another, but what are ya going to do! 🤷*♂️