How much it costs to import a Tesla to South Africa

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source:https://mybroadband.co.za/news/motor...rce=newsletter

How much it costs to import a Tesla to South Africa

Hanno Labuschagne6 March 2021


South African renewable energy company Rubicon recently announced it was bringing the first Tesla Model X electric vehicle (EV) to South Africa.
There have been several instances of sought-after vehicles which are not sold locally being imported to the country from overseas, particularly by affluent businessmen and automotive enthusiasts.
However, despite the local popularity of its South-African born CEO, and the fact that it is now the world’s most valuable car brand, there are no other publicly recorded instances of Tesla’s cars making their way to South Africa via individual imports.
One major contributor to this may be the general lack of charging infrastructure in the country, with only a few stations located primarily within major metropolitan areas.

Scroll toFor those buyers willing to ignore this, as well as the possibility of having no after-sales support, the expensive import fees latched onto electric vehicles (EVs) might be more than enough of a deterrent.

Rubicon Energy and Electric Mobility Director Greg Blandford has recommended that South Africans don’t import these vehicles themselves, as the process is expensive and complex.
“The combination of customs duties, sales tax, and Ad Valorem duty (luxury tax) make it difficult to justify bringing in EVs to South Africa. The barriers for entry are just too high,” Blandford said.
Blandford laid out the tax and duty structure for Rubicon’s Model X purchase as follows:

• Vehicle retail price + 10% = Dutiable value for VAT purposes.
• Customs VAT is then calculated at 15% of this value and added to the retail price.
• On this total value, 25% customs duties for EVs are levied.
• Another 30% Ad Valorem excise duty is added as Teslas exceed the R600,000 bracket for luxury value.

He said that the end result was staggering, with 90% additional value added to the landed product in duties and taxes.
On top of this, Rubicon had to pay for the shipping of the vehicle to a South African harbour, which worked out to around €1,500 (R27,440).
Calculating the cost

Rubicon imported its Tesla Model X from the UK, as this is one of only two markets in the world where right-hand-drive Teslas are available.
It opted for the Tesla Model X Performance model, which offers around 487km WLTP range on a charge, 0-100km/h acceleration in 2.7 seconds, and a top speed of 262km/h.
Its most recent retail price was £96,900, or just over R2 million. However, it has been superseded by the Tesla Model X Plaid, which is yet to be released in the UK.
Based on Blandford’s explanation of how tax was calculated on Rubicon’s, we found the rough final price for bringing this type of Tesla into South Africa would work out to more than R3.8 million – around 90% more than its retail price.
A breakdown of this calculation can be seen in the table below, with the final price indicated in bold.

Other Tesla imports

Using the same calculation as above, we also determined the cost of importing various other Tesla EVs from the UK.
For residents in that country, we found a range of models priced between £40,490 (R845,026) and £130,980 (R2.73 million).
However, getting one of these cars through customs would cost a minimum of R1.6 million for the Tesla Model 3 Standard Range Plus and can go up to R5.17 million for the recently announced Tesla Model S Plaid+.
This is without including the costs of shipping and shipping insurance.
The table below shows the UK retail pricing, as well as the total price an importer would have to pay with all duties and taxes included to get the car in South Africa.

Additional costs

Blandford said that before the car can be driven in South Africa, approvals are also required by the National Regulator for Compulsory Specifications (NRCS), which can include more costs.
“The process can be difficult depending on the application chosen for authorisation, but I must comment that the officials at NRCS are very helpful and professional.”
“Once the authority is received from NRCS the vehicle can then follow the rest of the vehicle registration and licensing processes,” Blandford added.
There may be further steps needed if the vehicle is second hand and in other special cases.
A possible change

It’s clear from this analysis that importing a Tesla vehicle would end up costing a fair bit more than the actual retail price, which could be a major deterrent for prospective buyers.
While electric vehicles carry a 25% import fee, fossil fuel-powered cars with conventional international combustion engines (ICE) can be imported to South Africa at 18% duty.
Many of these also don’t require any luxury tax like EVs, which have highly valuable battery packs that push up their price.
Blandford said that the simplest way for electric mobility to be stimulated in South Africa was to waiver import duties to 0% for five years and then gradually ramp up duties to level out at 18% as we currently have with ICE vehicles.
In addition, the Ad Valorem duty needs to be scrapped for EVs.
“This will encourage foreign investment and also create new opportunities in other business segments related to EVs such as charging infrastructure, energy storage and PV solar, which in turn creates local jobs.

[Naes-Landy]

Was on a road trip through France not too long ago. Pulled into the fuel station on the freeway to fill our little Ford Fiesta up, with petrol. As we drove in, there was a special charging area for Tesla's. There was a women standing next to her Tesla chain smoking while charging it. We filled up, parked our car, strolled in to use the facilities, drink coffee etc. When we eventually got back in the car, the same woman was still chain smoking next to her still charging Tesla.

Now tell me, please, why would I want to spend so much money on such a car? We paid €9k for the Fiesta (new) and R105k for the Defender (not so new)

[Tom13]

Well at least you don't have to get it serviced on a regular basis which is a big saving. No oil, no filters, no organic fuel. With a bit of planning I would easily be able to do 95% of my driving without charging away from home and I drive a lot on a daily basis.

The biggest downside to a full electric car is the high initial cost.

Was on a road trip through France not too long ago. Pulled into the fuel station on the freeway to fill our little Ford Fiesta up, with petrol. As we drove in, there was a special charging area for Tesla's. There was a women standing next to her Tesla chain smoking while charging it. We filled up, parked our car, strolled in to use the facilities, drink coffee etc. When we eventually got back in the car, the same woman was still chain smoking next to her still charging Tesla.

Now tell me, please, why would I want to spend so much money on such a car? We paid €9k for the Fiesta (new) and R105k for the Defender (not so new)

[Naes-Landy]

Well at least you don't have to get it serviced on a regular basis which is a big saving. No oil, no filters, no organic fuel. With a bit of planning I would easily be able to do 95% of my driving without charging away from home and I drive a lot on a daily basis.

The biggest downside to a full electric car is the high initial cost.

I somehow don't think I'll spend anything remotely close to 5 million Rond on maintenance on my Defender and Fiesta combined, in multiple lifetimes.

Yes, electric vehicles have their place, in the mines, the cities, and on the golf course, but not in the Kalahari or Namib.

High initial cost? I'll say.

[EttiennedK]

Well at least you don't have to get it serviced on a regular basis which is a big saving. No oil, no filters, no organic fuel.

True, but you'll probably have to invest those savings in order to have enough money to replace the battery/batteries when it goes belly-up.

[Patrick L]

The rollout of EVs and related infrastructure- particularly to developing countries -will take decades.
Until then EV and solar tech will be at a premium in those countries.



https://www.reuters.com/article/us-t...-idUSKBN28B5Q8


“It will take another 20 years for cars to be fully electric. It is like with phones, you cannot replace them all at once,” Musk said in a talk streamed on the Bild.de web site, adding that around 5% of vehicles are replaced every year.

Petrolheads have some time yet!

[Henkus]

Nothing beats the burble of my V8's so they can take their green safe the planet scalextric tjor and fly a kite.

[Tom13]

Current batteries have a lifetime of roughly 15 years. At that point the battery has lost 20% of its capacity. The batteries can then be used as a powerbank for a house for instance ( how much do people spend on solar batteries at the moment?). Over that period of time the amount saved in fuel and servicing cost will easily pay for a replacement battery.

I love the sound of V8's, sixes and even four cylinder cars but electric cars and bakkies are inevitable. With Toyota investing in a locally build hybrid vehicle it might be closer than we think.

True, but you'll probably have to invest those savings in order to have enough money to replace the battery/batteries when it goes belly-up.

[Tom13]

Second hand electric cars are available locally for as little as R350k or you can buy a brand new Jaguar I-pace for R1.9M. no need to spend R5M on a Tesla.

I somehow don't think I'll spend anything remotely close to 5 million Rond on maintenance on my Defender and Fiesta combined, in multiple lifetimes.

Yes, electric vehicles have their place, in the mines, the cities, and on the golf course, but not in the Kalahari or Namib.

High initial cost? I'll say.

[Naes-Landy]

Nothing beats the burble of my V8's so they can take their green safe the planet scalextric tjor and fly a kite.

And I love the drone of my TDi 300 and the whistle of the turbo :-)

It's not about saving the planet, that's just a ruse. It's about Musk and others like him getting rich. I work in a factory that makes sound and heat proofing for cars and trucks using all sorts of nasty chemicals. We make for both electric and fossil fuelled vehicles, using electricity generated by coal, and I drive to work in a petrol powered car. Said nasty chemicals and other raw materials as well as the finished products are delivered and taken away by diesel powered trucks.

So until the entire chain of supply in the making of electric cars is 100% environmentally friendly, please don't come to me with this green nonsense.

[Patrick L]

And I love the drone of my TDi 300 and the whistle of the turbo :-)

It's not about saving the planet, that's just a ruse. It's about Musk and others like him getting rich. I work in a factory that makes sound and heat proofing for cars and trucks using all sorts of nasty chemicals. We make for both electric and fossil fuelled vehicles, using electricity generated by coal, and I drive to work in a petrol powered car. Said nasty chemicals and other raw materials as well as the finished products are delivered and taken away by diesel powered trucks.

So until the entire chain of supply in the making of electric cars is 100% environmentally friendly, please don't come to me with this green nonsense.

You fail to grasp the unquestionable necessity for humanity to eventually evolve from fossil fuels.

It is an absolute that alternate energies -solar, geo, bio, H, nuclear fission/fusion, etc. -eventually take the place of finite fossil fuels.

Essentially this will save the planet as far as humanity will require to sustain life -if not also humanity itself.

Musk is in no way 'out to get rich' - -he's just a boy who's grown and managed to make his childhood dreams an everyday reality- and done so in a very honest way, and with only good intent in his work.

You might, for example, have you his spark and innovative thinking, see to it that your company possibly investigate some greener tech. as far as is practical. I'm sure you can use a teabag twice now and again!

Understand that the shift to alt.-en. is an evolution, not a revolution. Work with it!

[EttiennedK]

Current batteries have a lifetime of roughly 15 years. At that point the battery has lost 20% of its capacity. The batteries can then be used as a powerbank for a house for instance ( how much do people spend on solar batteries at the moment?). Over that period of time the amount saved in fuel and servicing cost will easily pay for a replacement battery.

I love the sound of V8's, sixes and even four cylinder cars but electric cars and bakkies are inevitable. With Toyota investing in a locally build hybrid vehicle it might be closer than we think.

I have a hybrid ("SWAMBO's unmentionable abomination)
On its 3rd set of batteries.
In 12 years.
All the old sets were good for was as boat anchors.

Oh wait - that will pollute the ocean...
And nobody knows how to dispose of those old batteries in an environmentally friendly way...

[Naes-Landy]

What I fail to grasp is humanity’s insistance to keep breeding like rabbits.

Don’t worry, I try to avoid attaching a Kreepy Krauly pipe to my car exhaust and then into my car window, which is esentially what we’re doing to the planet right now.

So what you’re saying is I should spend 5 Bar on a Tesla to save the planet? How much money do all the other animal species on this planet invest to save it?

Swambo and I have chosen not to breed, instead of working like dogs using fossel fuels to buy a Tesla.

[Patrick L]

What I fail to grasp is humanity’s insistance to keep breeding like rabbits.
You also fail to stay on point -here being renewable energy/EV's
Don’t worry, I try to avoid attaching a Kreepy Krauly pipe to my car exhaust and then into my car window, which is esentially what we’re doing to the planet right now.
So then?- you gonna try and do what you reasonably can to minimise your impact on others, and support alt.-en.?
So what you’re saying is I should spend 5 Bar on a Tesla to save the planet? How much money do all the other animal species on this planet invest to save it?
We're not animals -well,most of us -I'm saying: Don't throw your KitKat wrapper in the river, or: buy a R5m vehicle ( you'd have to return here first, though) -whatever you can-but do commit to what is sensible for the generations to follow -even if just those of others.
Swambo and I have chosen not to breed, instead of working like dogs using fossel fuels to buy a Tesla.Your choice does not trade off as a right to trample others' rights.

[Tom13]

Three sets are a bit much. As Einstein said "In theory, theory and practice are the same. In practice they are not."

What does your Swambo drive and what did a battery replacement cost?

I have a hybrid ("SWAMBO's unmentionable abomination)
On its 3rd set of batteries.
In 12 years.
All the old sets were good for was as boat anchors.

Oh wait - that will pollute the ocean...
And nobody knows how to dispose of those old batteries in an environmentally friendly way...

[EttiennedK]

Three sets are a bit much. As Einstein said "In theory, theory and practice are the same. In practice they are not."

What does your Swambo drive and what did a battery replacement cost?

Its a (spit!) Toyota Prius. Last battery was R21K

[stone]

Its a (spit!) Toyota Prius. Last battery was R21K

What about importing an electric motor and batteries and holders with controllers , cables
etc and doing a re-powering aftermarket conversion to an existing petrol or diesel vehicle, would that not be the way to go for now...?

[EttiennedK]

What about importing an electric motor and batteries and holders with controllers , cables
etc and doing a re-powering aftermarket conversion to an existing petrol or diesel vehicle, would that not be the way to go for now...?

I'd rather buy another Landie...

[franshorn]

The costing of the car is not quite accurate, as the initial cost of the vehicle is the RRP in UK, which already included all the taxes to get the vehicle into the UK from the factory, which is likely to be a fair bit similar tax structure to getting it into SA.

IF and then a big IF, is that if Tesla were to ever locally start a dealer chain, pricing will be a lot lower than they paid.

[ernestank]

Single phase charge points in a domestic environment is limited to 32 Amp 7.4 kw. Average EV battery is 100kw. Charge time from 0 to 100% 13.5 hours. In Gauteng this will cost R270. That is with no load shedding and 100% power availability.
Coal fired power stations generate on average 0.455 kg of CO2 per kwh. That relates to 45.5 kg of CO2 per full charge. This will give a range of 370km.
1 liter of diesel produces 2.7 kg of CO2 from the Toyota mentioned below. At 10l/100km this gives 99.9 kg of CO2 for a range of 370km.
In Gauteng that will cost R592 at R16/liter. You pay R0.87 more per km.
Tesla model X price in SA is R3594576.
Toyota Land Cruiser 200 4.5 D4-D VX-R price in SA R1575100.
You can drive the Toyota for 2.1 million kms and save 205 days (1380 km range per tank of diesel and 30 minutes per tank refill) on replenishing your energy source.
You are going to produce 308.7 tons more CO2 though.
Then the whole debate around the cost, environmental factors, use of rare earth metals etc. To produce EV batteries must still be taken into account......