Why Zimbabwe Urgently Needs a Motor Import Act: Formalizing a Key Sector for Economic Growth

Panashe Chigunwe
Jun 14, 2025
5 min read

The motor vehicle industry in Zimbabwe is one of the most dynamic, high-value sectors in our economy, yet it remains one of the least regulated and most informal. From Harare to Bulawayo, vehicle imports power daily livelihoods, personal mobility, and small businesses. And yet, this industry operates largely outside of formal oversight, costing the nation jobs, tax revenue, and economic opportunity.

According to data from ZIMSTAT, as of December 31, 2022, Zimbabwe had 1,467,955 registered vehicles, up from 1,449,973 just three months earlier. That’s a 1.2% increase in one quarter—indicative of a rapidly expanding vehicle market. Of these, light motor vehicles account for 80.6%, reflecting everyday consumer demand.

This surge is happening in an unregulated space where individual and business importers operate without coordinated policy, long-term planning, or sectoral guidelines. It is now urgent that Zimbabwe introduce a Motor Import Act—a transformative law to formalize, regulate, and grow this crucial industry.

1. The Case for a License-Based Import System

Under the current system, any individual or informal dealer can import vehicles into Zimbabwe—resulting in fragmented operations, inconsistent quality, and limited accountability. There is no structured way to:

Track who is importing what.
Evaluate the suitability of certain vehicle models for our roads.
Ensure post-import service, parts availability, or consumer protection.

A license-based import system can fix this.

Key Features of the System:

Licensing Tiers: Create different tiers for individuals, small businesses, and large dealers.
Eligibility Criteria: Applicants must be fully registered businesses with a tax clearance certificate, NSSA compliance, and a declared place of operation.
Annual Import Quotas: Aligned with government-approved market research, limiting unnecessary or unsuitable imports.
Approved Brands & Models: Encourage imports of cars with parts, support, and servicing already accessible in Zimbabwe or the region (e.g., Toyota, Nissan, VW, Mercedes-Benz, Honda, BMW).
Restricted Categories: Exotic, super-luxury, or unsupported models (rare Japanese or Korean cars with no local footprint) will face scrutiny.

2. Service, Repairs, and Road Safety: From Chaos to Coordination

Currently, a significant number of vehicles on Zimbabwean roads are rebuilt, poorly serviced, or structurally compromised. Informal mechanics and panel beaters dominate the service space, operating outside formal training or quality assurance systems.

A Motor Import Act can:

Mandate roadworthiness clearance before registration.
Link this process with a centralized vehicle servicing and testing database.
Approve brand-specific service centers, creating standardization and job creation.
Develop technical specialization for motor mechanics, enabling them to train on particular car brands.

This will professionalize the auto-service industry, support polytechnic and vocational training institutions, and ensure better safety on our roads.

3. Currency Confidence: Vehicle Imports as a Catalyst for the ZWG

One of Zimbabwe’s biggest macroeconomic challenges is the lack of confidence in the Zimbabwean Dollar (ZWG). Most vehicle sales happen in USD, with informal traders controlling pricing. A structured, government-aligned import policy would allow:

Cars to be priced in ZWG based on a fair exchange-rate model.
Banks to offer vehicle financing in local currency, making it easier for salaried workers to own vehicles.
Loan-based purchases to gain popularity, keeping money in banks and increasing ZWG usage.

This will restore demand for the ZWG, reduce pressure on the parallel market, and increase liquidity within formal financial institutions.

4. Economic Growth: From Informality to Industrialization

The benefits of a Motor Import Act extend far beyond compliance.

Job Creation:

Marketing professionals, sales reps, mechanics, accountants, bank loan officers, insurance agents, and parts dealers will thrive under a formal system.
Specialized dealers can emerge: e.g., a BMW-only dealership, with approved spares and trained staff.
Vocational training can be enhanced through partnerships with brand OEMs.

Infrastructure Development:

Vehicle testing centers.
Warehousing and bonded storage.
Servicing hubs for electric and hybrid vehicles.

Tax and Economic Benefits:

Improved tax collection through traceable imports.
Expansion of the banking, insurance, and asset finance sectors.
Companies dealing in vehicle imports can scale and list on the Zimbabwe Stock Exchange, creating national champions akin to Motus Group (SA) or Hatfield Motors.

5. Supporting Innovation and Culture: Special Clauses for Supercars and Vintage Imports

To remain inclusive and visionary, the Motor Import Act should create special categories for:

Exotic and Supercars: High-end vehicles (e.g., Lamborghini, Ferrari, Maserati) imported by collectors or businesses in hospitality/tourism/motorsport should enjoy facilitated clearance, provided road safety and tax requirements are met.
Vintage Cars: Vehicles recognized by the Ministry of Transport as classic or heritage models should be allowed for import without restriction, provided they’re for restoration or public display.

This preserves automotive heritage and prestige, promotes tourism, and gives collectors legal protection.

6. Controlling Dumping and Ensuring National Pride

Zimbabwe has become a dumping ground for undesirable vehicle models—including cars with strange shapes, unsupported tech, or limited parts availability. Many of these cars are simply offloaded from other markets without strategic benefit to Zimbabwe.

The Motor Import Act should:

Ban or restrict cars that do not align with regional trends, parts availability, or long-term maintenance viability.
Promote national brand alignment, ensuring that Zimbabwe supports a manageable number of brands for which local mechanics, banks, and insurers can develop deep expertise.

This also cultivates national pride and a clear market identity—similar to what countries like Kenya or Ghana have implemented.

7. Incentives for Compliance and Investment

To encourage adoption, the government can provide import duty reductions or preferential customs clearance to importers who:

Stick to the approved brand and model lists.
Partner with vocational training programs.
Build service centers or invest in infrastructure.

This will ensure that compliance is seen as a benefit, not a barrier, to business growth.

8. Protecting Consumers and Reducing Scams

With a licensed importer list, all vehicle purchases can be verified and registered. This will:

Prevent scams by "wannabe dealers."
Ensure cars are roadworthy and legally compliant.
Help consumers access financing, insurance, and after-sale support.

A national database of verified sellers, registered importers, and approved service centers can be linked to the Zimbabwe Revenue Authority (ZIMRA), the Road Traffic Safety Council, and commercial banks.

9. Enabling Youth and Talent Development

Young people in vocational colleges and polytechnics will now have the opportunity to:

Specialize in high-demand brands.
Work with structured dealerships and service firms.
Gain OEM-recognized training and potentially receive exportable certifications.

This formalization process will retain talent within Zimbabwe and position local youth as leaders in the Southern African vehicle sector.

A Nation on the Move

A well-drafted Motor Import Act has the power to transform Zimbabwe’s informal vehicle sector into a thriving economic engine. It can:

Create jobs.
Stimulate banking.
Promote the ZWG.
Improve consumer safety.
Support vocational training.
Modernize the auto-service landscape.
Restore trust in vehicle transactions.

Zimbabwe has the skills, the people, and the opportunity. What’s missing is a framework. A Motor Import Act is not just a policy—it’s a pathway to progress.

Let us build it.