How to import a car from Canada to the United States?
13 minute read Published on Sep 8, 2024 by BrokerLink Communications
Congratulations! You’ve made your big move from Canada to the United States (US)! Now what? You’re going to need a way to get around, and a car is the best option. However, despite being next-door neighbours, a Canadian vehicle is still considered one that comes from another country. Luckily, importing a car from Canada to the US isn’t too difficult.
However, you will have to follow certain rules and regulations like you would in your home country. So, how do you import a car from Canada to the US? There’s a process you have to follow. Luckily, at BrokerLink, we understand how to help you get your car across the border and ready to drive. Let’s talk about it.
Eligibility requirements for importing a motor vehicle from Canada to the United States
In order to import your vehicle from Canada into the United States, your vehicle must meet certain eligibility criteria. If your vehicle conforms to safety standards and other requirements, you should have no issue with transporting your vehicle. Let’s talk about the requirements for bringing a canadian car into the U.S:
- Meet the National Highway Traffic Safety Administration (NHTSA) standards
- Be up to the emission standards set by the Environmental Protection Agency (EPA)
- The exception to the above rule is if the vehicle is over 21 years old
- An NHTSA eligibility document if you own a nonconforming vehicle
How do you know if you meet these standards? The best idea is to speak with a customs broker to ensure your vehicle is up to par. Additionally, reviewing the requirements on your own can help you ensure your car conforms with the country’s Motor Vehicle Safety Act. Next, we will learn about what you need to bring your vehicle from Canada into the United States.
Preparing to bring an imported vehicle from Canada into the United States
Motor vehicles are pricey, especially if you have moved from another country. You already have had to handle the costs associated with your big move, so ensuring your vehicle complies with local laws might feel like another hoop to jump through. However, following these rules to drive your Canadian car in the US is essential. Let’s review the process to make your transition that much easier:
Doing your research about the Motor Vehicle Safety Act and other important requirements
When bringing your Canadian vehicle into the United States, you need to be prepared. That’s why you should do some research about the documents you will require and the organizations you will be dealing with. Look into the following:
- The U.S. Customs and Border Protection service for the port you will be crossing at. Calling ahead can prepare you and streamline the importing process
- U.S. Department of Transportation (DOT)
- Environmental Protection Agency (EPA)
- Your state department of transportation
If you aren’t working with a customs broker, you’ll need to find out what documents these organizations require for you to get your vehicle across the border and register it in your new home. Missing anything will delay the process, which can be detrimental, especially if you need your car for work.
Determine if you’re importing a personal or commercial vehicle
There are two types of vehicles you can import from Canada into the U.S.: personal and commercial. The process works differently depending on the type of vehicle you are bringing into the country. If you need to use this vehicle for work, you’ll require a Tax ID or employer identification number (EIN).
However, you don’t need these documents if the vehicle is for personal use. You can do all the paperwork on your own or with the help of a customs broker. However, you should be aware that you might face delays at the border if you miss any steps.
Ensuring your vehicle complies with safety and emissions standards
All imported vehicles need to comply with the U.S. Federal Motor Vehicle Safety Standards (FMVSS) set forth by the U.S. Department of Transportation (DOT) and U.S. emission standards regulated by the Environmental Protection Agency (EPA). You will have to complete a form for DOT and EPA when bringing your motor vehicle into the United States. We will discuss DOT and EPA safety compliance standards below:
Safety compliance standards for DOT
If your vehicle is under 25 years old, it must meet the country’s FMVSS standards to be imported. You can find this out by looking for an FMVSS certification label inside your car door or under the hood. Keep in mind that the label may only show that it meets Canadian Motor Vehicle Safety Standards (CMVSS). If this is the case, you can still bring your imported vehicle into the country, but you will require a letterhead stating that the vehicle also meets their safety standards.
If you fail to meet either set of standards, it will cost a lot of money to bring your motor vehicle into the U.S. You will have to find a registered importer and make modifications to your vehicle to get it up to standard, which takes a long time. In these cases, you’re better off purchasing a car when you arrive.
EPA Emission Standards Compliance Standards
Additionally, your car from Canada has to meet EPA standards. Sometimes, you will already have a label on your vehicle stating that it meets these standards. You will find this either under the hood of your car or in its engine compartment. Look for something that says “Vehicle Emission Control Information,” as this will usually have the information you need.
Not all motor vehicles will have this label. Luckily, if this isn’t the case, you will have an emission control system that’s almost the exact same as the ones in the cars of your American neighbours. Regardless, you will need to get a letter of compliance from an American vehicle manufacturer’s representative indicating your motor vehicle meets such EPA standards.
If you don’t have an EPA certification label or your emission control system is different, there are options. You can apply for a written letter of exemption—remember to do this before bringing your imported vehicle into the country.
Find out if you need an American driver’s licence
When it comes to using your Canadian driver’s licence in the U.S., rules vary from state to state. Sometimes, you can use it, but other times, you will have to get an American driver’s licence or I.D. card. Ask your local Department of Motor Vehicles (DMV) what the rules are in your state. Sometimes, you don’t have to get a new driver’s licence when you arrive.
In the event that you do have to apply for a licence, you will need a few essential documents. Bring your Canadian driver’s licence and passport for an additional photo I.D. along with a property tax bill or other utility bill with your name and U.S. address on it. You will have to pay a small amount annually to renew it every year. Additionally, you will have to get your photo taken and undergo an eye scan. Sometimes, you need proof of the day you entered the country to ensure you haven’t exceeded the number of days to get a licence (180 days). Your stamped passport should be proficient.
Get car insurance
When legally importing your car from Canada, you will need American auto insurance. You have to ensure your auto insurance is transferred to a U.S. registration. You cannot keep your Canadian insurance after this, even when driving imported vehicles. You will need liability car insurance.
Additionally, you will need to find an American car insurance broker or company. Be prepared to present your Canadian ownership details and your Canadian driving record. Like in Canada, you should shop around for car insurance to find the right policy at the best rate. If you will be driving your Canadian vehicle for less than six months of the year, you can get lower insurance rates.
Register your motor vehicle
When importing vehicles, you have to register them in your state, even if you are a snowbird who only stays in the country for a few months of the year. The rules don’t change, and you have to understand them like you would when learning how to register a car in Ontario. You will have to visit your local Department of Motor Vehicles (DMV) location. Always contact them before visiting because there are import duties, and you will have to pay fees as a non-U.S. citizen When registering your vehicle in the United States, you will need to do the following:
- Complete a permanent vehicle registration application
- Show proof that your vehicle has insurance
- Pay taxes and fees related to registering a vehicle in your state
- Obtain licence plates from your local DMV location
- Get permits like your licence plate sticker and emissions test certificate
To register your imported vehicle, you must make an appointment at a vehicle registration office. During the appointment, they will ask for your serial number and odometer reading. Remember to bring the vehicle import paperwork that you got approved at the border. State DMVs need it to complete the registration process. However, you should make sure your DMV location can verify vehicles imported from other countries. Remember that you will also have to pay a fee to get your American licence plates.
It’s essential to make the proper preparations when importing a vehicle from Canada to the U.S. You should have all your motor vehicle information on hand when dealing with customs and border protection. This will make getting into the country and visiting your local DMV location to obtain license plates and registration easier. Next, we’ll discuss the process of taking your vehicle across the border and into the country.
Bringing your motor vehicle into the United States
When bringing your Canadian car across the border, you will have to deal with the Canada Border Services Agency and U.S. border protection. This can be overwhelming even when bringing simple passenger cars into the country. Here’s how you can simplify the process and be ready on the day of your big move:
Driving your car yourself
The most affordable and straightforward way to legally import your car into the United States is to drive it yourself. However, you will need all the previously mentioned paperwork, such as the documents from the DOT and the EPA form. Only the vehicle title holder can drive it across because it is a personal import. Call ahead to let the customs and border protection service know that you’re importing the vehicle to streamline the process.
Be prepared for a detailed inspection. If you are bringing additional vehicle parts with you, you have to declare them because they often come with a customs duty. They may also be subject to import taxes, so be ready to pay.
Your best bet is to plan ahead. Consider the wait times at different border crossings, which can often be affected by traffic volume, time of day, seasonal trade, vacation crossings, weather events, accidents, or protestors blocking ports of entry. Sometimes, border crossings close when there are heavy amounts of snow, so know which ones are open and which ones are not so you don’t delay your trip.
Alternative transportation options
If you cannot drive your car or the distance is too far, you can pay someone to bring it from Canada into the U.S. However, the Canadian Border Protection Services will process the vehicle as cargo.
You likely don’t know someone with a truck big enough to bring your car from Canada to the States. That’s why you should reach out to a customs broker. A customs broker will help you find branded truck fleets that specialize in these kinds of moves.
Undergoing an inspection
Whether you’re bringing your car across the border yourself or using a transportation service, your vehicle may be subject to an inspection. The Canada Border Services Agency will do this to ensure the vehicle coming into the country is safe and free of illicit materials.
Inspections are fairly standard and are nothing to worry about. In addition to keeping the country safe, they’re also there to verify that your vehicle complies with American safety and emission standards. During the inspection, the officer will ensure your car has all the necessary parts installed correctly and that any equipment relating to safety or emissions works properly. Here are some tips to ensure your vehicle passes the inspection with flying colours:
- Have your paperwork in order
- Remove personal belongings from your vehicle
- Keep your vehicle clean and free of dirt and debris, especially the tires and undercarriage
It’s important to remember that your car isn’t a storage container to bring everything across the border. If you bring everything in your car, you will have to declare it to customs and border protection. Doing this also risks seizure and additional costs.
Whether you drive your car across the border or use a transportation service, you will have to pay to import a vehicle. Additionally, border services have to ensure your vehicle meets safety and environmental standards before you can drive it in the U.S. However, the fees enforced by customs and border protection aren’t the only ones you will have to pay. Imported cars come with a couple of costs that we will get into in the next section.
Costs associated with bringing Canadian motor vehicles into the U.S.
Importing a car comes with a few expenses, especially with foreign-made vehicles. However, preparing by putting money away will make these fees for imported cars feel less overwhelming. Let’s review the costs associated with bringing a car into a new country:
Import duties
When you import a car from Canada into the U.S., you will have to pay duties and fees. However, the costs will often vary depending on various factors, including the type of vehicle, how much it costs and its age. Keep in mind that the duty fee for Canadian vehicles is 2.5% of the vehicle’s value.
Customs bonds
Border protection services require you to pay a customs entry bond when bringing a vehicle into America. There are two types of bonds that you might have to pay. A single-entry bond applies to one-time imports, and a continuous bond is used to import multiple vehicles within a year.
DOT bond
If you have a nonconforming vehicle without a DOT certification label, you must pay a nonconforming vehicle fee. You must register with a DOT-registered importer and pay a bond that’s 1.5 times the car’s dutiable value.
Gas guzzler tax
Certain vehicles require you to pay a gas guzzler tax. What does this mean? It’s the amount of tax determined by a combined fuel economy rating set out by the EPA. If you have a higher fuel economy, you will pay less, but you won’t have to pay this if your car has a combined fuel economy rating of 22.5 miles per gallon or more.
Car insurance
When importing a vehicle, you should remember to get car insurance. That’s because many states, like Canada, have minimum vehicle insurance requirements. You have to find out how to get insurance in the U.S., like understanding how to buy car insurance in Canada. Often, driving without car insurance is illegal, so you should find a company or broker to work with ahead of time.
Brokerage Fees
Working with a customs broker makes bringing your car from Canada into the country much easier. Additionally, working with an expert will allow you to get your vehicle registration and obtain licence plates even sooner.
Shipping costs
When importing a car from Canada, it can be driven across the border or shipped across in a truck. The costs of shipping vary depending on how big your car is and the carrier you use. An auto broker or shipping company can help you estimate the cost before committing to your preferred transportation method. This is where opting for a customs broker makes sense.
Licensing and registration
If you keep your car in the country for more than a year, you will have to go through their licensing and registration process. These costs are based on the state you live in and will be revealed once you arrive in the country.
Moving is already stressful enough — don’t let the additional costs become an obstacle. Save money ahead of time to cover the costs of importing your vehicle and other expenses. By doing this, you will be prepared for your move to the United States and can ensure your vehicle conforms with the requirements outlined in the importation process.
Contact us for all your auto insurance needs!
Bringing your car into the United States from Canada can be quite a process. However, with the right preparation, you won’t have to worry. Complying with the Motor Vehicle Safety Act and environmental standards will make bringing your car into a new country easy. Do you need car insurance? Lucky for you, the BrokerLink team is here to help. Our team understands the importance of car insurance in Canada and how it keeps you safe on the road. You can check out the list of policies we offer below:
- Third-party liability coverage
- Accident benefits coverage
- Direct compensation - property damage coverage
- Uninsured automobile coverage
- Collision coverage
- Comprehensive coverage
Finding the right car insurance when visiting a new country is difficult. We understand the steps to insure a new car in Canada. That’s why we offer car insurance for international drivers in Canada and car insurance for tourists in Canada. With the help of one of our experienced brokers, finding car insurance is easy. Whether you’re new to the country or returning home after living elsewhere, contact BrokerLink for all your insurance needs today!