Duty on key imports waived

Minister Professor Mthuli Ncube

Business Reporter

Zimbabwe has waived customs duties on key imports in the transport, mining and tourism sectors, effective January 1.

Under Statutory Instrument (SI) 237 of 2025, gazetted last week, Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube introduced new tax reliefs and extended existing duty suspensions on critical imports, including public service buses, mining chemicals and vehicle assembly kits.

The Government suspended duty on new public service buses with a seating capacity of at least 60 passengers.

Under the new regulations, electric buses will be subject to zero percent duty, while diesel and petrol-powered buses will be liable to an effective rate of 10 percent.

To qualify, bus operators must be registered with the Zimbabwe Revenue Authority (ZIMRA) and hold a valid tax clearance certificate.

The regulations strictly prohibit the sale of the buses within five years of import without written authority and payment of the previously suspended duties.

“The commissioner (of ZIMRA) may authorise the disposal of a public service bus on payment of such duty, not exceeding the amount of duty suspended, as he or she thinks fit, if, in his or her opinion, the public service bus cannot be economically used for the purpose for which it was entered under suspension,” says the new regulations.

“Duty suspended on a public service bus, which is accidentally destroyed before being used in the approved importer’s business, may be remitted if the commissioner is satisfied that every reasonable effort was made and precaution taken to prevent its destruction.”

The tourism sector also received a boost, with the Government extending the duty-free import of specified motor vehicles by safari and tour operators. The extension will run for two years, effective from January 2026 through December 31, 2027.

To promote local car production, the Government introduced a zero percent duty on semi-knocked down motor vehicle kits imported by approved assemblers.

The suspension is designed to encourage the local assembly of passenger motor vehicles, provided that the assemblers maintain secure storage facilities and detailed stock-books for ZIMRA inspection.

The mining industry will benefit from duty suspensions on essential materials used in mineral extraction.

This includes oils for gold flotation and chemical substances used in refining or research. Mining houses are required to sign a declaration ensuring these materials are used solely for their intended industrial purposes.

Further provisions in the Statutory Instrument address the agricultural export sector and general vehicle maintenance.