Is it worth it to import an A5 into Canada?
 

The price difference seems smaller for the A5 vs other cars.

I was looking on the US website and a 2010 automatic Prestige S-line with Navigation and 28,000km costs $47500 USD, still under warranty.

With 6% import tax and import fees, what's the approx amount of money saved?

Thanks.

Re: Is it worth it to import an A5 into Canada?
 

There is import tax, and your local GST total cost on top of price with all in, tax, a/c, riv, transport anywhere between 12-15% so that car would cost you $54625 worst case

Re: Is it worth it to import an A5 into Canada?
 

A new 2011 was quoted as $58000 in Canada without the NAV by a dealer I walked into and asked a question nonchalantly.

NAV is $2000 extra retail price.

Doesn't look like you save much buying used in the US. Why do used A5 think they can still gouge customers, selling a used previous year model car with 20,000km for only $3000 less?

Re: Is it worth it to import an A5 into Canada?
 

The A5 still has a higher demand than production is currently supporting. Because of this used A5 sellers are able to ask a higher price. Based on current used prices versus new, you can save with financing and other options on a new A5.

As for importing a car from the US, there's a fair amount more to it.

Price & Content

Similar model names on either side of the border do not necessarily mean vehicles are identical.

Price variances may also result from significant content differences. Canadian Audi model are equipped differently. Some Examples:

• Canadian A4 Premium compares best to Premium Plus trim on U.S. models
• Canadian A5 Premium compares best to Premium Plus trim on U.S. models
• Canadian Q5 2.0T Premium compares best to Premium Plus trim on U.S. models
• Canadian TT 2.0T Coupe compares best to Premium Plus trim on U.S. models

Additional Taxes and Charges

Duty

• Vehicles built outside of NAFTA zones (Canada, U.S. and Mexico) are subject to duty when entering Canada.
• European product duty is 6.1%
• Applicable sales taxes (HST in your case) are also charged on the duty.

State tax

• U.S. state tax can be charged on the purchase and may or may not be refundable after the purchase (Avg. 5%)

Registrar of Imported Vehicles

• Fee of $195 + tax is charged for all imported vehicles.

Canadian Federal and Provincial Taxes

• Applicable GST, HST, PST, A/C Tax & Green Levies are all charged

Financing

• Of course, U.S. purchases for export to Canada are not eligible for special lease or finance offers

Time and Effort

Beyond locating and purchasing the vehicle, importation is a multi-step process.

• Preparing the importation paperwork of the vehicle: Bill of sale, recall letter, ownership (all must be sent to the border at least 72 hours before crossing)
• Logistics of vehicle transport (private carrier or pickup)
• Crossing the border, pay all owing fees and taxes
• Federal Inspection: Retrofit (if needed) & Re-inspection (Examples: Daytime running lights, Metric cluster, Child seat tethers)
• Provincial safety inspection & E-test (where provincially required)
• Provincial registration
• Vehicles that are not in compliance within 45 days of import must be exported back to U.S. at the importer’s expense.

Service & Repair

The premium experience one receives from the ownership of an Audi goes beyond the purchase of the vehicle.

• Warranty and goodwill considerations
• Roadside assistance complications for U.S. vehicles
• CPO Warranty (Audi Assured) is not transferable from other countries
• Audi Care is not transferable from other countries

U.S. vehicles can be mechanically different than Canadian versions

• Differences can cause delays as technicians are trained on the Canadian version of the vehicle.
• U.S. specification parts are not stored in Canadian warehouses which may results in longer parts ordering lead times as they need to be brought in from the U.S.

U.S. dealerships are unable to report new vehicle sales to Canadian addresses

• Meaning you cannot buy a new Audi from a U.S. Audi dealer

Other Considerations

• 1 in 7 Canadians* work in the automotive sector or a field directly related to it. Supporting the Canadian automotive sector supports Canadians and their families.
• Buying out of the country will forfeit the ability to use the CAMVAP arbitration process if it were to be needed.
• Value of a U.S. vehicle trade in or private sale in the future can be unpredictable

Re: Is it worth it to import an A5 into Canada?
 

Good post Tony, haven't spoken in a while all the best from Calgary

Re: Is it worth it to import an A5 into Canada?
 

Any more non-biased advice?

I saw an S5 for only a few grand more than the A5 in the States. Not sure why it's that cheap.

Re: Is it worth it to import an A5 into Canada?
 

I brought one up as per all of the rules above, happened to find a surplused new one at a Lincoln dealer.
Saved some money because I was able to get less options than the Canadian dealers put on up here (not quattro). Probably could save some money if you go option for option but the used market is a whole different set of rules down there (buyer beware).
My import experience was good, I hired U Can Import for support, well worth it. Good luck with it, keep us posted.

Re: Is it worth it to import an A5 into Canada?
 

Tony,

An excellent, balanced and comprehensive post.

I brought back a new 2010 A6 Avant earlier this year and jumped through all the hoops you mentioned above in addition to having an American purchase the A6 from the dealer then sell the car to me. I saved about 25%, but had to do a fair amount of work to keep those dollars in my pocket.

Each person has a level at which they are prepared to pay a premium to buy from a Canadian vendor.

Lou

Re: Is it worth it to import an A5 into Canada?
 

imported my S4 from Atlanta 4 years ago, but I wouldn't bother doing it today

the CDN market fairly mimics the US market as far as pricing goes. As far as availability goes, that's another story. That's why I originally looked south, and was surprised (positively) by the savings. Today though those savings don't really exist.

i.e. base model B8 S4 = $52,500 in Canada and $46,900 in USA

46,900 @ 0.99 (Currency) + 6.1% duty + $100 AC tax + $300 in import fees (RIV+inspection) + $1000 in transportation = $50,663

Certainly something to think hard about. After all the hassle (which isn't terrible, but isn't easy) and then reselling the car at a slight discount, I bet you break even.

Re: Is it worth it to import an A5 into Canada?
 

My feeling is more about how soon I can get one. A new Q5 is a 6 month wait at best from a recent inquiry, and I decided to get one used. I don't know if the scenario is the same for the A5, but I am a bit impatient.

The other thing I was a little annoyed with was the fees the dealer wanted to charge over and above the typical PDI and freight. For mudflips, block heater, and wheel locks, they imposed a $750 fee. The salesperson said that it's put on every Audi that comes in. I am sure I could haggle my way out of it, but wow! $750??? When was the last time you used your block heater?