Benin’s Republic Second-Hand Car Trade Business

Benin’s Republic Second-Hand or used Car Trade Business, Although the Benin economy is not dependent upon the import of used cars, a significant percentage of Cotonou port activities involves used vehicles.  The import of second-hand cars into Benin exceeds 25,000 cars monthly, which, at first glance , seems like a lot of cars for a country with a population of just over 10 million people. The fact is, up to 90% of all used cars imported into Benin are shipped to West Africa, most ending up in Nigeria.

The Nigerian border is less than a half hour drive from Cotonou’s port. On any given day there are dozens of cars lined up waiting to cross from Benin into Nigeria. Most of the window stickers indicate these second-hand cars are in transit to Niger, but most will never leave Nigeria.

The importation of used cars into Benin is entirely legal, as is the transiting of second-hand cars through Nigeria. What is illegal is smuggling cars into Nigeria without paying the applicable duties. The high import duties imposed on the importation of second-hand vehicles into Nigeria is what fuels the illegal used vehicle smuggling. Also, Nigeria does not allow the importation of vehicles more than 10 years old, whereas other West Africa countries do. The simplicity of smuggling cars into Nigeria does nothing to curtail the illegal trade either.


The lucrative trade in second-hand vehicles has given birth to a business network of shipping companies, importers, resellers, and intermediaries for Nigerian businessmen. Cars supposed to be in transit are parked near the port, creating an automobile market with brokers working the crowd looking for customers. Although business is good for the many people involved, this may change in the near future. Both Nigeria and Benin belong to the Economic Community of West African States (ECOWAS) and the organization plans to implement a single import tariff across the entire economic bloc. If import duties are unified, the Benin used car trade will lose its competitive advantage.

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