If you plan to get a Tokunbo car this year, the cost picture has changed. The Nigeria Customs Service has announced lower import duties on new and used cars, while a new “green tax” surcharge now applies to cars with larger engines. Here’s what the changes mean for the price of a Tokunbo car, the figures we can verify and you should see for yourself.
What has changed in 2026?
According to a report by BusinessDay citing directives from the Nigeria Customs Service and the Ministry of Finance, the import duty on new vehicles has been reduced from 20% to 10% and on used (Tokunbo) vehicles from 15% to 5%. The same report mentions the change earlier in April 2026 which reduced the duty on fully built passenger vehicles from 70% to 40%.
Legit.ng reports that the revised levy system came into effect on 1 July 2026 as part of the new green tax as well as the 2026 fiscal policy measure. Industry stakeholders have warned that car prices may not drop immediately.
Green Tax Surcharge Explained
From 1 July 2026, a surcharge targets vehicles with larger engines to reduce carbon emissions:
- 2,000cc to 3,999cc: 2% surcharge
- 4,000cc and above: 4% surcharge
- Exemption: Public transport buses, electric vehicles and locally manufactured vehicles
Models cited as affected include some Toyota Land Cruiser, Volvo XC90 and Mercedes-Benz GLE variants, full-size luxury SUVs and heavy-duty pickups. Vehicles with engines under 2,000cc fall below the threshold, while a 2.5L engine sits in the 2% band, so check the engine capacity on your documents.
NCS Controller Murtala Muaju said, with a simplified process through the HS code declaration platform, surcharges require a separate assessment process and the sensitization of the Customs zonal headquarters is underway. Expect some inconsistencies in how it’s implemented on the port in the first months.
The fully tiered cost of cleaning a Tokunbo car
Duty is just one line. BusinessDay’s tiered used-car tariff description lists these elements:
- Import duties (costs, insurance and freight) on CIF value
- A 7% surcharge is calculated on duty
- A 15% National Automotive Council (NAC) levy
- A 0.5% ECOWAS Trade Liberalization Scheme duty (for vehicles within West Africa)
- 7.5% VAT
A caveat: That report cites a 15% pre-cut used car tariff in one place but lists a 20% tariff in a tiered structure and does not reconcile the two. For that reason, we are not disclosing a specific Naira “Total Clearing Cost” here. Ask your clearing agent for an itemized valuation based on the current tariff schedule and the CIF value of your vehicle and compare it with the customs published schedule.
Rules still apply to the importation of Tokunbo
- Age Limit: According to Legi.ng, customs bars have used vehicles for more than 12 years of production in 2026 which makes 2014 the oldest model year that qualifies.
- Left Hand Drive: Vehicles for general registration must normally be LHD; Right-hand-drive vehicles face restrictions.
- Verification: Confirm the year of manufacture against the document and VIN before you pay for shipping.
Will the price of Tokunbo drop?
Not automatically. Imports of passenger cars in the first half of 2026 hit about ₦1.18 trillion, up 145.6% from ₦479.26 billion a year earlier, according to NBS data analyzed by Nairametrics. But Legit.ng points out that it measures the quality, not the number of vehicles, so it does not prove that 145.6% more vehicles arrived. It does not list a new Tokunbo price. Naira exchange rates, shipping, port charges and dealer margins still drive what you pay in Lagos, Abuja or Port Harcourt.
How to Budget for a Tokunbo Car Now
- Get the CIF value from the shipping invoice.
- Ask your agent for a written tax assessment with a green tax line if the engine is 2,000cc or more.
- Add ports, terminals, shipping lines and transportation costs to your city.
- Add registration, plate number and insurance. Check out our guide on car insurance in Nigeria and car loan options if you’re financing.
- Keep a buffer for exchange rates between payment and clearing.
Worked example: How to structure your hypothesis
We are not intentionally inventing naira totals, but you can make your own estimates in a spreadsheet. Start with the CIF value in dollars, convert to the exchange rate your agent uses on the day of the valuation, then apply each level in the order customs list them: duty on CIF, 7% surcharge on that duty, NAC duty, any ECOWAS duty and VAT. If the engine is 2,000cc or larger, add the green tax line to the assessment. Ask the agent to show each line separately so you can see the padding. Many buyers lose money not to official fees but to unexplained “processing” charges, so insist on receipts and compare quotes from at least two licensed agents.
Inspection and Documentation Checklist
- Ensure that the VIN matches the bill of lading and the purchase invoice.
- Check the model year against the 12-year rule before shipping the car, not after it lands.
- Request a pre-shipment inspection report, especially to avoid flood-damaged or accident vehicles.
- Check the engine size on the title to know if green tax is applicable.
- Keep copies of all customs receipts; You will need them for registration and resale.
What this means for different buyers
Daily commuters
Small and medium sized Tokunbo vehicles below 2,000cc get low duty benefits without green tax. Fuel economy is also important because of petrol prices, so compare running costs, not just landing costs.
Ride-hailing and fleet operators
If you buy several vehicles, a small percentage change in duty adds up. Ask your agent about bulk assessments and confirm if any discounts apply to your category.
SUV and pickup buyers
SUVs and pickups with large engines carry a 2% or 4% surcharge on top of other tariffs. If you’re choosing between two similar SUVs, engine size can now trump total cost.
Schedule your purchase
Policy in this area has moved several times in 2026, and implementation announcements at the port are lagging behind. Before you commit, ask your agent if any new customs circulars have been issued, and check that the rates quoted reflect the 1 July 2026 regime. Don’t rely on old price lists from dealers on social media, as they may predate changes.
Tokunbo vs. buying a new car
New vehicle duty is now 10% versus 5% for used ones, so the tax gap still favors Tokunbo. But a new car comes with a warranty and no age-limit concerns, while Tokunbo comes with the risk of inspection. If your budget is tight, a well-maintained, low-mileage Tokunbo under 2,000cc is a more economical route for most Nigerian buyers, with better spare parts available for popular Japanese models.
Key takeaways and FAQs
Is Tokunbo car import duty lower in 2026? Duty quoting has been reduced from 15% to 5% on used vehicles, per business day.
What is green tax? 2% (2,000cc to 3,999cc) or 4% (4,000cc and above) surcharge from 1 July 2026; EVs and locally manufactured vehicles are exempt.
Can I import a 2012 car? No, the 12-year rule makes 2014 the oldest model year through 2026.
Will dealers lower prices? Stakeholders warn the savings won’t pass immediately.
Disclaimer: Car prices, import duties and specs change frequently in Nigeria. Always confirm current figures with the dealer, your clearing agent or official customs tariff before purchasing.