News

Vehicle Import Program That Brought New European Luxury Cars to Cuba Is Stopped

1 Comment 08 March 2010

By Brendan Moore

A government-approved import program that allowed wealthy Cubans to bring in Mercedes-Benz and BMW cars into Cuba was abruptly ended by the Cuban government last week.

The program launched last April, with the stated aim of reducing pollution and fuel consumption by replacing some of the ancient Russian cars and even older American cars typically seen in the island nation. Any car manufactured before 1990 was eligible for replacement, with the old car sold to the government. The Cuban government controls the sale of all cars, as well as who can purchase a car. The only cars that can be bought and sold by citizens are the American cars still in Cuba that were imported and sold before the Communist takeover in 1959.

The government halted the program, citing unnamed “irregularities”. No further comment was forthcoming from government officials.

A Moskvich 2140 side by side with an earlier Moskvich 408 in downtown Havana

It is well-known that the Cubans that could afford to buy a car like a Mercedes-Benz or a BMW were often buying one of the eligible old cars in order to meet the requirements for the import program. The old cars typically sell for anywhere from $3000 USD to $40,000 USD, depending on the condition of the car, and the type of car. That price was in addition to the purchase price of the new luxury car, which was additionally increased by tariffs, duties and fees.

Doctors posted abroad, athletes and artists are in the small group of Cubans that could afford a car brought in through the import program.

Most Cubans can only dream of owning any kind of car. When an ordinary Cuban needs to go somewhere they walk or take a bus, no matter how far the distance may be.

The notice of the termination of the import program was posted online in the Official Gazette, the government newspaper.

Trackbacks/Pingbacks

  1. A brief window for auto imports » Cuba - 05. May, 2010

    [...] guess: wealthy Cubans would be the only individuals that could buy new cars from the government, and they were seeking to do so through unacceptable means. In fact, the few wealthy citizens in [...]

Share your view

Post a comment

What we do

We love cars and the car business, no matter where that takes us - United States, Japan, Germany, France, China, Brazil, Australia, India, the U.K, etc. You get the idea. No subscription fees, no sign-up, no sign-in - all you have to do is just show up and start reading. We provide both opinion and information. We have two writers in the EU, one in Asia, and five in the U.S. We focus on the United States (because we're here), but we want our readers to have the benefit of seeing a global picture regarding automotive products and industry. We hope you enjoy the site.

March 2010 Used Car Bargains

This is stored on our Used Car page - just click here and you will go there post haste. Which models are bargains month after month? Which models are bargains as of the past few months and may not be in the future as the price of gasoline continues to rise? We know, and we have added some more bargain used vehicles to the list this month, so check it out.