How to import classic cars in India: all questions answered

With the recent relaxation of rules regarding the import of 50-year-old cars, enthusiasts all around the country are excitedly checking prices in international markets to make their wishlists. While some are looking for their dream cars, others are hunting for more affordable ‘bargains’ they can first import and then bring back to life here. But how does the process work, and what are some of the regulations and expenses? So here, without further ado, are some of your questions answered. 

What’s new about this legislation? 

Whereas earlier car enthusiasts could import pre-1950s cars, the new rules allow the import of any 50-year-old car. This means any pre-1974 car can now be brought to India without applying for a licence or individual permission. That’s not it; as things stand, the 50-year rule will roll forward every year. So, in 2026, you will be able to buy and import any car from 1975 and so on.  

The 50-year import rule will roll forward every year.
 

How is the age of the car calculated?

The car’s age is calculated based on the date of the original registration. This could cause some problems as cars in some countries are, at times, re-registered when they are bought or sold, says classic car enthusiast Behram Ardeshir. So, you need to get a copy of the car’s original papers to make it eligible for import.

Can you import left-hand-drive cars or diesel cars? 

Yes, you can import left-hand-drive cars, which is great news, especially when it comes to rare cars that often are not made in right-hand drive. Diesel cars are allowed, too, for those collectors interested in some of the early cars. 

While importing these old cars is licence-free, how much import duty do you need to pay? 

The effective duty you pay is around 256 percent, depending on specifics. Sure, this is a high rate, but the good thing is there is no restriction on what type of cars you can import. Also, what you must remember is that the duty will be levied on the CIF (cost, insurance and freight) value of the car after it has landed in India. 

The effective duty one pays in 256 percent, depending on specifics.
 

How is the price of your car evaluated? 

This evaluation is done by a chartered engineer or a surveyor who is registered with the customs authorities. While this sounds like an exercise fraught with ambiguity, many who have bought pre-1950s cars through this process say it is generally fair and relatively straightforward, as the engineer makes his own evaluation based on the prices of similar cars from the market where the car has been imported from. Also, if you are not happy with the evaluation, you can get the car re-evaluated. Diljeet Titus, general secretary of Heritage Motoring Club of India, suggests you try to stick to cars that have been advertised or listed for sale publicly, just to make the evaluation process easier.  

How much does it cost to ship the car? 

This, of course, depends on where you are importing the car from. Freight rates from the UK currently stand at anywhere between USD 900 and 1,400 (Rs 80,000-1,20,000) for a twenty-foot container. Shipping from somewhere far away, like the US, costs USD 2,500 (Rs 2,17,000) on average, while shipping from close by, like Dubai, costs only Rs 25,000 to 35,000, with prices even lower at times, often only enough to cover costs. 

You can also import a car with spares to be worked upon here. 
 

Is there an upper limit on the value of the car you can buy? 

Yes, there is. It has to fit within your LRS. Known as the Liberalised Remittance Scheme (LRS), this is a policy introduced by the Reserve Bank of India (RBI) to facilitate the remittance of funds by resident individuals to foreign countries. The LRS limit is calculated annually and is limited to USD 2,50,000 per financial year. Those individuals earning foreign exchange or registering a profit in foreign markets can also attach funds.  

What about getting parts for your 50-year-old car? 

This is a bit tricky, as you can only import new parts and not used ones. This is so that there is some regulated price guide to go by for the calculation of duties and taxes. Once the parts are imported, a basic customs duty (BCD) between 10 and 28 percent is applicable. After this, another 10 percent of the BCD is charged as a social welfare surcharge (SWS), with integrated goods and services tax (IGST) then applicable on the total value, including BCD and SWS. GST rates range between 18 percent and 28 percent. So, the effective customs duty on spare parts can work out to be 49.12 percent in most cases. 

Spare parts have to be imported as new parts and not used ones.
 

What about the registration of the car in India after it has been imported? 

The car has to be registered at the RTO (Regional Transport Office) under which your address falls. Any emission norms are not applicable. While there is no restriction as of now as to the sale and transfer of imported cars, the authorities have warned against dealers trading in these imported classics. They say a five-year lock-in period could be imposed in case of too many instances of trading. The cars could also be required to register on a VA (or vintage) number plate, where after the first two letters denoting the state (for example, MH or TN for Maharashtra or Tamil Nadu), a ‘VA’ is added. These cars cannot be used as commercial vehicles or even be used on a daily basis.  

Is it possible to buy and import a car with spares so you can work on it here? 

Yes, it is possible to do this. The price of the spares will be added to the cost of the car, and the duty has to be paid on the total. What you often save on here, especially if the parts are large and heavy, is freight. Most of your spares can be placed in your 20-foot container.  

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