While the Trump administration’s raft of tariffs are causing concern for new car manufacturers, certain classic vehicles will avoid the new 25 percent import tax.
Experts at car transport company Autoshippers have analysed America’s new tariff rules, and discovered a notable exception.
Provided a vehicle is more than 25 years old on the date of importation, it will avoid the steep new tariffs being imposed by the United States.
Instead, classic cars entering the USA will only be subject to the regular 2.5 percent import duty, making for a potentially substantial saving.
The ’25-year rule’ for imports
Mike Harvey from Autoshippers notes that: “Under the new Harmonised System code 9903.94.04, classic cars only incur the standard 2.5 percent duty, provided they meet the 25-year age requirement.
“This means that while newer vehicles may face higher tariffs, classic cars are exempt from these additional charges, significantly reducing the financial burden for enthusiasts and making vintage imports more accessible.”
Vehicles aged older than 25 years already hold a special significance for American car enthusiasts. Created in 1989 by the National Highway Traffic Safety Administration (NHTSA), the ‘25-year rule’ allows for cars to be imported without having to comply with a host of federal safety and emissions regulations.
Loophole in the legislation
Ironically, the NHTSA’s original 25-year rule was linked to action taken by car manufacturers to end the thriving grey import market during the 1980s.
Mercedes-Benz dealerships in particular were concerned about the number of vehicles being unofficially brought into the USA, and the impact this was having on their business.
After lobbying the US Congress for action, the result was the Imported Vehicle Safety Compliance Act of 1988. This outlawed the private importation of cars not intended for the US market, wiping out grey imports almost overnight.
The 25-year rule was introduced by the NHTSA in 1989 so that collector vehicles could be imported into the USA. Now, that same legislation has ensured classic cars remain unaffected by new ‘Liberation Day’ tariffs.
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