Import Rules for Used Trucks and Buses

Executive Order No. 782 governs the authority under which the IAC-UTE reiterates used vehicle import policies, as amended by Executive Order No. 354 and Executive Order No. 361.
The classification framework for import control status is tied to BSP Circular No. 92, series of 1995 dated 19 October 1995.
The rules are implemented through IAC-UTE requirements administered by the IAC-UTE Secretariat/Bureau of Import Services (BIS) of the Department of Trade and Industry (DTI).
The issuance references penalty schedules for compliance failures under IAC-UTE set penalties (Annex B).

The IAC-UTE reiterates import controls governing the importation of any used trucks/buses.
The import rules apply to used vehicles including used trucks, used buses, and special purpose vehicles.
The rules treat compliance issues as subject to enforcement at Philippine ports, including seizure and fines in appropriate cases under Annex B.
The issuance specifically addresses Right Hand Driven (RHD) entry restrictions and compliance with roadworthiness and emission standards.

The issuance uses Right Hand Drive (RHD) to refer to RHD units subject to a general entry ban, with enumerated exceptions.
The issuance recognizes very special vehicles described as off-the-road type as the exception category for allowing RHD units.
The issuance recognizes off-the-road type, heavy duty and slow moving vehicles as vehicle categories that may be allowed even if RHD, subject to the stated classification and concurrence requirements.
The issuance recognizes vehicles specifically manufactured for concessions such as mining/logging/etc. as additional exception categories that may be allowed even if RHD.

All importations of used trucks must comply with government policies that ban the entry of Right Hand Drive (RHD) units, except for very special vehicles that are off-the-road type.
Any RHD unit that reaches Philippine ports is subjected to penalties that may include fines and seizure, under IAC-UTE set penalties (Annex B).
RHD entry is allowed only for RHDs that are classified by the BSP and concurred with by the LTO as off-the-road type, heavy duty and slow moving vehicles.
RHD entry is also allowed for RHDs specifically manufactured for concessions like mining/logging/etc., consistent with the BSP classification and LTO concurrence requirement stated for allowed RHDs.

All importations of used trucks, special purpose vehicles, and buses must comply with government requirements on road worthiness, including emission standards.
Proof of compliance requires Certificates of Road Worthiness and Compliance to Emission Standards issued by duly authorized Inspection Centers in the country of origin.
The Certificates must be presented to the SGS examiner/inspector in the country of origin and are used as a basis for the issuance of the Clean Report of Findings (CRF).
No CRF should be issued by the SGS for any importation of used motor vehicle if it is right hand drive (except in the case of special types of vehicles) and/or if the required Certificates are not allowed.
Any imported used motor vehicle that reaches Philippine ports and is found to lack the required Certificates is subjected to penalties under the same penalty framework referenced for RHD violations (i.e., Annex B).

Importers must secure an import authorization from the IAC-UTE Secretariat/Bureau of Import Services (BIS) of the DTI before any importation is effected.
For IAC-UTE purposes, importation is deemed effected on the date the unit/s is/are laden on board.
An import application must be filed with the IAC-UTE Secretariat/BIS at 3rd Floor, Oppen Bldg., 349 Sen. Gil J. Puyat Ave., Makati City.
The filing requirements include an import application, a notarized undertaking, and the original of the pro-forma invoice describing the commodities, including number of units, value, terms of payment (e.g., FOB, CIF, FAS, etc.), mode of import arrangement (e.g., L/C, D/P, S/F, etc.), gross vehicle weight, year model, number of wheels, type/brand of the used motor vehicles, and spare tires (if used, maximum of 2 pieces per unit), and the like.
A processing fee of PHP 500.00 per unit is charged.
Processing time for the initial import application is three (3) days.
The fees schedule is reflected in Annex B.

The Certificate of Authority to Import (CAI) is treated as final.
Any required change/s in the CAI must be covered by IAC-UTE approval in the form of an Amendment.
An import authority is limited to a maximum of 3 opportunities to be subjected to amendments.
Processing fees for amendments are PHP 500.00 for the 1st amendment, PHP 750.00 for the 2nd amendment, and PHP 1,000.00 for the final amendment.
Processing time for amendments is three (3) days.
A shift in the mode of import arrangement (e.g., from L/C to S/F or D/P) that is not covered by an approved amendment is fined PHP 25,000.00 per unit.
A discrepancy in Gross Vehicle Weight per approved CAI versus actual shipment that is not covered by an approved amendment is also penalized at PHP 25,000.00 per unit.

Importation is deemed effected without the required CAI from the IAC-UTE and thus subjected to the penalty specified in Annex B when the used truck/bus/special purpose vehicle is:
- laden on board before the CAI’s issuance; or
- laden on board after the expiration of the CAI’s validity.

When the CAI is approved under an arrangement requiring L/C, the CAI validity is 60 days from the date of issuance.
Under L/C situations, the L/C should be opened within the validity of the CAI.
The importation can then be effected within the duration of the L/C’s validity.
When the CAI is approved under D/P, validity is 120 days, within which importation should be effected.
When the CAI is approved under Self-funded, validity is 120 days, within which importation should be effected.

Only importations effected under the self-funded mode require a Release Certificate from the IAC-UTE before the imported units are taken out from the BOC premises.
Releasing imported units from the BOC premises without the required Release Certificate from the IAC-UTE triggers penalties specified in Annex B.

Importers must review the terms and conditions in their Certificates of Authority to Import to ensure compliance with importation requirements and to avoid violations subject to penalties.
For IAC-UTE purposes, importers are treated as primarily responsible for transactions affecting their importations and are held accountable for established violations.