Can You Ship a Tesla from China to the USA?

If you think about the electric vehicles industry, only one car brand is Tesla.

A dream car for many, the global appetite to own a Tesla has made many American sedan enthusiasts look towards China and their enviable lower retail prices for electric vehicles.

But is it even possible to own a China-made Tesla in the US? Shipping any vehicle - let alone a Tesla - across an ocean can seem daunting.

So, can you ship a Tesla from Beijing to the USA?

History of Tesla in China

Tesla began selling vehicles in China in 2014 and has since become the biggest brand in the country's electric vehicle market.

One of the major investments Tesla undertook a was the construction of a state-of-the-art complex called the GigaFactory Shanghai.

This vast factory was created in a bid to meet the huge Chinese domestic demand for Tesla vehicles.

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Tesla GigaFactory Shanghai

The Shanghai GigaFactory is the first wholly-owned Tesla factory outside of the United States. This massive facility serves as a production hub for Tesla’s vehicles and an export channel.

The factory produces the China-made Model 3 vehicles, Model Y and the Made-in-China version of the Model S.

The GigaFactory has advanced manufacturing equipment and cutting-edge technologies, enabling production to churn out a colossal 500,000 cars annually.

This incredible production rate saw Tesla smash its monthly record in November of last year, as the Elon Musk-led company delivered over 100,000 China-made electric vehicles as well as passing the milestone of one-million rides manufactured.

Can you Transfer a Green vehicle?

Unfortunately, no you can't. The delivery of a Tesla from China to the USA is prohibited due to import restrictions (a.k.a. politics) and safety regulations (a.k.a. politics).

This is due to regulations from the US Customs and Border Protection, which restricts all electric China-made sedans from being imported into the borders of the US.

The NHTSA also requires vehicles to contain a vehicle identification number, or VIN decoder, to identify the car's origin and plant of manufacture. The U.S. Department of the Treasury also introduced the Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit to further strengthen the position of North American-made cars.

Sadly, any Tesla vehicles assembled in China would be ineligible.

Cost of a Model 3 in China vs. the USA

The price gap between purchasing a Tesla and purchasing one in the United States is significantly lower. This is because China has a far more generous rebate for buyers for electric car purchases. Tesla starter prices also benefit from localized production and logistical savings through lower labour costs, import duties, local taxes, and incentives.

In layman's terms, if you wanted to buy a China-made Model Y, it would cost you $37,889. Your bank account would look at upwards of $54,990 for that same vehicle in the US. Enviable, to say the least.

Not only are the cost savings associated with buying a Tesla in PRC desirable to the average American consumer, but so are the actual vehicles themselves. Eastern Tesla fans benefit from access to more advanced versions of Chinese-made vehicles.

Due to its presence, Tesla can make faster progress on new technologies and features. Chinese consumers often get their hands on features earlier than those based in other countries, such as their counterparts in the USA.

It's important to remember that while the initial purchase price may seem to be cheaper here, ongoing costs, such as maintenance fees for Chinese consumers, tend to be higher due to market demand.

Can You Deliver Any Sedans From Sino?

The silver lining is that yes, you can... however, it can be a costly endeavour.

The size and weight of the vehicle, dispatching firm, and port of destination all have a role in determining the final cost.

Once you've grappled with the numbers, you must then contest the intimidating task of logistically shipping your vehicle from China to the United States.

Here are some factors to consider before transferring your dream vehicle from China to the US:

Eligibility of Sedan

First and foremost, make sure your chosen car is actually eligible for importation.

A series of certification requirements must be met from complicated-sounding legislation, but don't worry—it's easy once you've done your research.

Your car must comply with the laws and requirements outlined in the complex-sounding but easily navigated Motor Vehicle Safety Act of 1966 and the Vehicle Safety Compliance Act of 1988. It must also comply with the bumper standards established by the Motor Vehicle Information and Cost Savings Act of 1972 and the air pollution control standards established by the Clean Air Act of 1970.

Conforming vs. nonconforming vehicles

Regarding conforming vs. nonconforming vehicles, it's important to understand the fundamentals of what makes one conform to regulations and another does not.

Generally speaking, if a car is designed for export and sale in the United States, or manufactured domestically for domestic sale, then it will tend to meet most standards set forth by FMVSS and EPA emissions standards.

Adjustments and certain modifications must be made to reach compliance with each respective standard for a nonconforming vehicle to be accepted into the U.S. and meet each specification.

The process for verifying a conforming vehicle includes providing any pertinent documentation such as a manufacturer's label attesting the compliance with emissions standards, certification near the driver's door confirming safety, bumper and theft prevention regulations have been followed, and EPA form 3520-1 and DOT form HS-7 attesting compliance have also been submitted.

Other documents, such as proof of origin from the shipper or carrier’s original bill of lading from a registered importer, can also go a long way in providing assurance that all regulations are being met prior to entry into the U.S.

Dispatching costs and timeframe

The cost of a container moving a compact car from China to the U.S. of America via the roll-on/roll-off technique typically averages around USD 3,000, and the time of importation takes roughly 20-40 days.

However, this could vary depending on many factors, such as the type and model of your vehicle, location and nearest departure port, and your chosen shipping method and services.

Other costs such as storage charges, cleaning fees and taxes and duties may also apply at both ends and need to be considered when estimating the total expenses associated with delivering a sedan.

If you stay in the United States for longer than 12 months after your arrival date with a vehicle from here, duties must be paid to Customs and Border Patrol upon entry. These duties and tariffs can be avoided if you opt to stay for a shorter period in the country.

Taxes and duties

Importing a sedan to the United States can involve several taxes and duties. Duties are typically applied to foreign-made vehicles depending on their price paid or payable, in a bid to push consumers to American-made products.

Amid a trade war, the United States currently imposes a 27.5% tariff on imported passenger vehicles from China, further increasing the overall cost for any would-be Chinese vehicle enthusiasts.

An ad valorem tax of 2.5% may also be applied by the U.S. Customs and Border Protection Agency, so make sure you're saving every dollar you can before you choose to import a car!

Conclusion

Although various car brands and models can be transported from China into the US, it's unfortunately impossible to ship a Chinese-manufactured Tesla.

Electric vehicles are especially tough to import into the United States as it seeks to strengthen its domestic economy and pushes its "Made in America" mantra.

A-1 Auto Transport can safely transport all vehicles, no matter how rare or valuable. We're happy to help, so call us for your free quote today.

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