Chile is one of the more duty-friendly Latin American markets for a new BYD import. The general MFN tariff on passenger vehicles is around 6%, but the Chile-China Free Trade Agreement frequently reduces or eliminates duty entirely on many China-origin vehicle categories — meaning the effective rate on a given BYD model can land well below the general 6% figure. On top of duty, Chile applies a 19% IVA (VAT) on the customs value plus duty. Used passenger-vehicle import for commercial resale is generally prohibited in Chile outside narrow personal-effects exemptions, so almost all export orders into Chile are new units.

Chile Duty, VAT and Age-Limit Facts

  • General MFN import duty: approximately 6%, though the Chile-China FTA may reduce or eliminate duty on many China-origin categories
  • VAT (IVA): 19% of customs value plus duty
  • Used-vehicle import: generally prohibited for commercial resale except under narrow personal-effects exemptions
  • EV note: several Chilean municipalities offer a reduced annual circulation tax for EVs
  • Currency: Chilean Peso (CLP)
  • Steering configuration: left-hand drive (LHD)

How the Landed Cost Formula Works

The standard formula applies: FOB price + $1,450 fixed freight + insurance (1.1% of FOB) + import duty (Chile's applicable rate x CIF) + IVA (19% x (CIF + duty)) + $650 fixed clearance = Total Landed Cost. Because the FTA-adjusted duty rate can vary by specific tariff classification, the worked example below uses the general 6% rate as an indicative baseline — your actual duty may be lower.

Worked illustration using an indicative FOB of $18,000 (illustrative only, not a specific model quote):

  • FOB price: $18,000
  • Freight (fixed): $1,450
  • Insurance (1.1% of FOB): $198
  • CIF value: $19,648
  • Import duty (6% x CIF): $1,179
  • IVA (19% x (CIF + duty), i.e. 19% x $20,827): $3,957
  • Customs clearance (fixed): $650
  • Estimated Total Landed Cost: approximately $25,434

If the specific BYD model qualifies for a reduced or 0% FTA rate, the duty line drops or disappears entirely, lowering the total landed cost further — this is one reason it's worth confirming the exact tariff classification for the model you're ordering before finalizing a budget.

Why the FTA Rate Matters

Chile's FTA with China is one of the more mature agreements in the region, and many vehicle tariff lines have preferential treatment for China-origin goods. In practice this means Chile can be one of the most cost-competitive Latin American markets for landing a new BYD, especially compared to markets with flat 20%+ duty. That said, the exact preferential rate depends on the harmonized tariff code assigned to the specific model and trim, so it should always be confirmed rather than assumed.

Comparing Chile to Its Regional Neighbors

Against Mexico's roughly 20% duty or Nigeria's 35%, Chile's 6% general rate (before any FTA reduction) is already comparatively light, and the FTA can narrow the gap further. The tradeoff is Chile's 19% VAT, which is higher than several other markets in this lineup and applies to the combined CIF-plus-duty base rather than just the vehicle price. For buyers weighing several Latin American destinations for the same order, running the full landed-cost formula for each country side by side — rather than comparing headline duty rates alone — is the only reliable way to see which market actually lands cheaper for a specific model.

Practical Notes for Chile-Bound Orders

Because used commercial import is largely closed in Chile, buyers should plan their sourcing around new units from the outset rather than exploring a used-market fallback later. Documentation for a Chilean import typically includes the commercial invoice, packing list, bill of lading, and country-of-origin certification needed to claim FTA-preferential duty treatment — your Chilean customs agent will confirm the exact certificate format required to support the reduced rate.

Shipping Timeline to Chile

Sea freight transit to Chilean ports from origin typically runs 38-50 days, consistent with the broader Latin America range. Buyers should plan clearance time at the Chilean port on top of this transit window.

Rates shown are indicative only — always confirm current duty, VAT and any EV incentives with a licensed customs broker in-country before ordering.

BYD Global Export is an independent export trading company and is not an authorized dealer or representative of BYD Auto Co., Ltd.

To confirm the FTA-adjusted duty rate for your specific model and get a full landed cost quote for Chile, reach out via WhatsApp.