Importing a Prius hybrid to Canada

BC Business Magazine posted an article on the economics involved in importing vehicles from the US to Canada. As I’m currently researching the very same topic, here are some cost comparisons, for those of you who are looking to import a Toyota Prius.

It is almost impossible to compare apples to apples when looking at importing a Prius. The reason is quite simple – Canadian consumers have a smaller selection of packages and options to choose from. As such, a consumer looking as specific functionality may be required to pay for additional features, simply because they’ve been bundled into an expensive package.

Here are the features I was looking for:

- Prius ‘07

- VSC (Vehicle Stability Control)

- Backup camera

- Audio system /w MP3 support and aux input

In the US, this feature set is called Package #2. In Canada these features are part of Package B, which also includes premium audio, Bluetooth support, and many other features I don’t care for. However, since I won’t consider buying the car without the features I am looking for, the effective Canadian price becomes that of Package B.

Now for the cost comparison – US Prius ‘07 package 2 vs. Canada Prius ‘07 package B. Although the CAD is trading today at 1.056 CAD per USD, I’ll use the conservative 1.07 exchange rate. The results (in Canadian dollars) are astounding:

- MSRP:

• Canada: $35,360 (includes package B)
• US: $23,727.25

- US Package 2: $615.25

- Accessories (high-end cabin+cargo mats, first aid kit):

• Canada: $300 (not all accessories are available)
• US: $365.94 (for all desired accessories)

- Destination charge (note that in both cases the vehicle comes directly from Japan to the west coast):

• Canada: $1,240
• US: $663.4

- Levies (A/C, battery, tires): $125 in both cases.

- Additional fees (est.): $66 in both cases.

- Duty:

• Canada: $0
• US: $1551.76 (at a rate of 6.1%)

- PST (BC, 7%):

• Canada: $2,596.3
• US: $1898.08

- GST (6%):

• Canada: $2,225.4
• US: $1,626.93

- RIV fee (for importing a vehicle into Canada):

• US: $195

- Installing daytime running lights on imported vehicle:

• US: $150 ($40 parts + $85 labor, USD)

- Vehicle inspection for imported vehicle:

• US:~$150 (est.)

- BC PST refund (up to $2,000):

• Canada: $2,000
• US: $1,898.08

Total price, Canada: $39,911

Total price, US: $29,221

Price difference: $10,690

All I can say is “wow”. You can save +$10k by driving south for 90 minutes. And before you ask, Toyota’s warranty covers North America – Canada included.

Of course Toyota isn’t making this easy – they try and prevent US dealers from selling to Canadians. But some dealers will take your money – do your research.

More to follow…

— Oren