Your guide to importing a car from Mexico to Canada

Did you fall head over heels for a car in Mexico and now wish to import it from Mexico to Canada? Or maybe you’re moving from Mexico to Canada for work, school, or a vacation and would like to bring your car with you? Whatever the reason, it's possible to import the car with you. In this article, we discuss the steps involved, the required documents, and costs. We also discuss how you can maximize your money using Wise for cross-currency payments. Let’s get into it!

We'll be looking at:
What are the conditions for importing a car from Mexico to Canada? What are the costs involved in importing a car from Mexico to Canada? Save money on cross-currency payments with Wise How to make payments with Wise How to import a car from Mexico to Canada Documents Required Before Your Car Arrives in Canada Procedure on Your Car’s Arrival in Canada After Your Car’s Arrival in Canada

What are the conditions for importing a car from Mexico to Canada?

Before importing a car from Mexico to Canada, there are several things to considerIf the vehicle doesn’t meet the following criteria, it cannot be imported from Mexico to Canada:

• You may need to report to U.S. or Mexican Customs for clearance before exporting the vehicle.¹
• Pay taxes and duties applicable taxes when bringing your vehicle through Canadian customs.
• The vehicle must be recall-free and pass an inspection by the Registrar of Imported Vehicles (RIV) in Canada. This inspection must be completed within 45 days (or one year for salvage vehicles).¹
• Vehicles cannot be modified from their original state. This includes vehicles modified in the U.S. or Mexico, such as:

1. Vans converted to motorhomes
2. Vans with raised roofs or modified interiors
3. Pick-ups or passenger cars with lift kits
4. Motorcycles converted to tricycles
5. Vehicles that have been stretched or lengthened¹
6. Vehicles assembled or built by more than one manufacturer, such as vocational trucks, van conversions, motorhomes, buses, and limousines, must meet additional requirements.¹

What are the costs involved in importing a car from Mexico to Canada?

Understanding the expenses to importing a car from Mexico to Canada helps with making an informed decision. Here are the main cost considerations:

Cost Considerations	Details
Before Arrival	Broker and carrier fees (optional) A temporary permit or plate before it has completed provincial/territorial safety certification or obtained permanent licensing.2
On Arrival	GST, PST, or HST, which varies by province or territory.3 Air Conditioning tax, if applicable, is $100.2 Vehicles weighing more than 2,007 kg (4,424.68 lb pounds) are subject to an additional tax.2 Excise tax for fuel-inefficient vehicles, ranging from 1,000-4,000 depending.2 Cost of any required inspections and modifications.
After Arrival	Register the vehicle in Canada with the Registrar of Imported Vehicles (RIV) fee, which costs $325, plus tax.2

As some transactions involved might be made in Mexican Pesos (MXN), it would help account for currency conversion fees.

Save money on cross-currency payments with Wise

To keep your costs in check when importing a car, consider using Wise.

Wise offers a mid-market exchange rate, granting customers exclusive access to fair currency change, without hidden markups and fees. The mid-market rate is the midpoint between the buying and selling prices set by bankers and traders, a true reflection of the market value!

What could be better than that? Low transfer fees!

Wise’s transfer fees start at just 0.33%^*, making it extremely affordable when sending large amounts needed for importing vehicles. You can easily send money in more than 160 currencies and hold over 40 currencies in your account, for ultimate flexibility and convenience. There is no need for subscriptions and no monthly charges. All charges are transparent—you’ll only ever pay for what you use.

How to make payments with Wise

Here’s how to get started with Wise:

• Step 1: Register for an account with your email address and password. Complete the verification process and voilà!
• Step 2: From the Home screen, click “Send.”
• Step 3: Fund your transfer from an external account or your Wise balance.
• Step 4: Specify the amount you want to send, or what your recipient will receive, and select the currency.
• Step 5: Add the recipient's details by searching their name, Wisetag, email, or phone number.
• Step 6: Review the transfer to confirm details are correct.
• Step 7: Choose your payment method. Hint: paying from your bank account is most cost-effective.
• Step 8: Complete the transfer. Once Wise receives the amount, you’ll get a confirmation message, and the recipient will also be notified when the money is en route. You can track the payment in “transactions.”

How to import a car from Mexico to Canada

Below is a breakdown of how to import a car from Mexico to Canada:

Documents Required

The following documents are required to import a vehicle into Canada:

• Vehicle Import Form (Form-1), as required by Transport Canada and the CBSA.
• Original Title, Manufacturer’s Statement of Origin, or Certificate of Origin (front and back)
• Bill of Sale, which is the proof of purchase.
• USMCA Documentation (if applicable)
• Letter of Gifting with Letter of Appraisal (if applicable)
• Last copy of registration (for used vehicles)

Gathering all required documentation in advance will support a smooth border crossing, reducing the risk of delays or issues.

Before Your Car Arrives in Canada

Before importing a vehicle into Canada from Mexico, check it adheres to Canadian import regulations set by the Canada Border Services Agency (CBSA), Transport Canada, and the Registrar of Imported Vehicles (RIV).

You must then decide whether to drive or ship your vehicle from Mexico to Canada. While it's possible to drive, it’s a significant distance of over four thousand km.

Shipping a car can be better than driving as it:

• Saves time.
• Avoids unnecessary wear and tear on the car.
• Saves money considering fuel, food, lodging, and potential vehicle repairs.
• It’s safer, reducing the risk of accidents or damage.
• Avoids the discomfort of long drives.
• Avoids legal and compliance issues.

Procedure on Your Car’s Arrival in Canada

At the Canadian border, the following will occur before the car is let into Canada:

1. Declare the vehicle to customs officers and provide the necessary documentation.³
2. Customs officers may inspect the vehicle to check it meets Canadian safety and environmental standards.³
3. Officers will review your documents to verify that they meet all import requirements. ³
4. You may need to pay import duties, taxes, or fees.³

After Your Car’s Arrival in Canada

Upon its arrival in Canada, you’ll have to complete the following steps:

• Obtain a Canadian title and register with your provincial or territorial motor vehicle authority.⁴
• Get Canadian insurance coverage.⁴
• Acquire and install Canadian license plates.⁴

Final Thoughts on Importing a Car from Mexico to Canada

We hope this article has helped make the process of importing a car from Mexico to Canada more straightforward! If you follow the proper procedures, and use Wise to handle your finances and cross-border payments, it doesn't have to be complicated. Before you know it, you could be cruising in Canada. Open your Wise account now to get started!

---

Sources:

1. Transport Canada : Importing a vehicle from the United States and Mexico
2. RIV : Import Checklist
3. Canada Border Services Agency: Importing a Motor Vehicle into Canada
4. ICBC: Import a vehicle into B.C.
   Sources verified on 18 September 2024