Addis Ababa, October 19, 2024 – The Federal Democratic Republic of Ethiopia’s Ministry of Finance, in collaboration with the Customs Commission, has issued a new directive regarding the import of fuel-powered vehicles stored at Djibouti and Dire Dawa Dry Port. The directive is aimed at resolving the issue of vehicles that have been restricted from entering Ethiopia, in accordance with the government’s earlier decision to ban vehicles operating on fuel classified under tariff number 87.03.
Following a detailed assessment by a government committee, which included various agencies and the Customs Commission, the vehicles in question were categorized based on their purchase date and customs registration status. Notably, the government has decided that vehicles purchased before February 26, 2016, and duly registered through the Customs Commission, will be transported to Dredawa and held until further government decision. Meanwhile, vehicles in transit that meet similar criteria will be allowed entry after fulfilling customs formalities.
The Ministry of Finance has clarified that vehicles classified under tariff number 87.03, stored at both Dredawa Dry Port and Djibouti Port, must have their detailed information thoroughly documented. These vehicles will be subject to customs taxes based on the exchange rate in effect on the day their customs declaration is processed. Only after these formalities and payments are completed will the vehicles be cleared for entry into the country.
This move comes as a recommendation to address the growing backlog of vehicles stranded at these ports and to ensure compliance with the country’s fuel vehicle importation policies.
The directive was communicated to key government offices, including the Prime Minister’s Office, the Ministry of Revenue, the Ministry of Transportation and Logistics, and the Ethiopian Sea Transport and Logistics Service Company. Minister Ahmed Shide, on behalf of the Ministry of Finance, affirmed the government’s commitment to resolving the matter swiftly and ensuring that all vehicles meet the necessary customs requirements.
Impact and Future Implications
The new directive is expected to clear up the congestion at Djibouti and Dredawa Dry Port, where many vehicles have been waiting for months. It also highlights the government’s stance on regulating fuel-powered vehicles, as part of its broader efforts to promote cleaner and more sustainable transportation in the country.
Owners of vehicles affected by the February 2024 cutoff date are encouraged to prepare for the necessary customs procedures, including the payment of taxes. The Customs Commission will oversee the process, ensuring that all vehicles comply with the regulations before entering Ethiopia.
For further information, stakeholders are advised to contact the Ministry of Finance through official communication channels.
