The public transportation system in Taiwan is awesome, and there are many ways of getting around. However, there are places that could be better explored if you had a private vehicle; not to mention more cost efficient, especially if you like taking long drives!
Another great thing about having your own car is you don’t have to worry about being late. Even if you reside quite far from a bus or train station, you can take your time before going to work. Indeed, there are many benefits of having your own vehicle in Taiwan.
Whether you’re planning to get a new car or a secondhand one, here’s a quick guide on purchasing cars as a foreigner in Taiwan.
Where to Buy Cars in Taiwan
When looking to buy a car, you can go to car dealerships or check out different online platforms.
Car Dealerships
In most cities across Taiwan, there are car dealerships featuring new and used cars. Visit these places so you can compare models and choose a car based on your budget and preferred features.
Online Platforms
In this day and age, online platforms are a useful way to shop for a car, especially secondhand ones. There are social media networks where buyers and sellers can connect with each other, as well as websites or online marketplaces that advertise vehicles.
Among the most popular online platforms for buying and selling cars in Taiwan are Sinjang Co. Ltd., TCV, Tealit, and USED CAR @Taiwan Facebook Group:
1. Sinjang Co., Ltd.
Sinjang Co., Ltd. is a popular secondhand car auction company in Taiwan. It is also a member of the Yulon group, one of the biggest vehicle manufacturing groups known for featuring brands such as Buick, Chrysler, Mitsubishi, and Nissan in Taiwan.
2. TCV
Formerly known as Tradecarview, TCV is an online platform that features mainly Japanese secondhand cars. Buyers and sellers are both welcome to use this platform.
3. Tealit
Tealit is a website catering mostly to foreign residents in Taiwan. Aside from having a page for promoting cars for sale, it also serves as an online advertisement platform for jobs, services, and items.
4. USED CAR @Taiwan Facebook Group
For Facebook users, this online group enables people to buy, sell, and exchange details about secondhand cars. It’s also a fast and effective way of connecting with fellow foreign residents in Taiwan.
Cost of New and Used Cars in Taiwan
Buying a car is a major purchase, so it’s important to have an idea of how much they are, so you can prepare your budget. For new cars, the key thing to remember is that brands with factories based in Taiwan are relatively cheaper compared to imported ones. These brands include Ford, Honda, Hyundai, Mitsubishi, Nissan, Toyota.
On the other hand, imported cars could be 1.5 or 2 times pricier than Taiwan-made cars, mainly because of import taxes. Imported car brands include BMW, Mazda, Mercedes, Porsche, Suzuki, Tesla, Volkswagen, Volvo, and other brands.
As for used cars, the price would depend on their age and condition. For example, a 10-20 year old car may cost around TWD 200,000 or less, whereas a 5-8 year old car could cost slightly higher.
Requirements
To purchase a car in Taiwan, foreign buyers need to have an Alien Residence Certificate (ARC) and a local driver’s license.
Procedure
Once you have obtained an ARC and a Taiwanese driver’s license, here is an overview of the steps involved in buying a car:
1. Do your research and compare options.
Go to car dealerships and search online. Be sure to compare different brands, models, features, and prices. What’s more, if you are buying a used car, check if there are any issues and conduct a test drive to make sure that it is well-maintained.
2. Buy and pay for the car.
When buying a used car, it is acceptable for you to bargain on the price. For this reason, it is a good idea to bring a Chinese speaker who can help you negotiate and discuss details.
Once you and the seller have agreed on a price, a contract would be signed by both parties. This contract must include details about any repairs that need to be made before the sale is finalized.
3. Apply for car registration/transfer of ownership.
When buying a new car, the dealership usually takes care of the registration process. You simply need to provide your ARC, driver’s license, and other documents that may be required.
Meanwhile, if you’ve bought a used car, you and the seller must go to the nearest Motor Vehicle Office to apply for transfer of ownership. The requirements usually include: proof of identity (both buyer and seller), driver’s license, proof of insurance, copy of the license plate registration certificate, and processing fee.
Additional Reminders
Buying a car and having it registered under your name is just the beginning. It is now your responsibility to ensure that it is well-maintained and “road worthy.” Here are some practical reminders:
1. Buy a parking space (if necessary).
Depending on where you live, you may need to buy a parking space for your car. The cost of parking spaces vary based on location. For instance, parking spaces in Taipei may cost TWD 2,000-5,000 per month, while those in Kaohsiung may cost TWD 1,000 a month.
2. Activate your car’s ETC account.
Taiwan uses the Electronic Toll Collection (ETC) system to automatically deduct toll payment when cars pass through toll gates on national highways. This involves the attachment of an eTag (RFID chip) on every vehicle.
3. Buy and renew insurance yearly.
First, there’s compulsory insurance, a fixed amount that you’ll need to pay, in case you get in an accident and need to shoulder medical expenses of passengers or of another party.
Secondly, there’s third party insurance. This covers extra amount for medical expenses of passengers, other parties, or damage to property. Although this type of insurance is optional, it is still highly recommended to get one.
4. Pay for taxes yearly.
Every year, you need to pay license plate tax and fuel tax, in accordance with the country’s transport laws and regulations.
5. Complete emission tests regularly.
Depending on the vehicle’s age, cars need to be inspected regularly. If the car is more than 5 years old, it needs to take an emission test once a year. For cars that are more than 10 years old, emission tests should be done twice a year. During these tests, the vehicle’s lights, brakes, and other features should be tested as well.
6. Follow traffic rules and regulations.
Just like in any other country, Taiwan has traffic laws, and imposes fines for those who break the rules. These laws are implemented to ensure road safety and prevent accidents, so be sure to follow them at all times.
If you’re the type of person who prefers to drive your own vehicle rather than use public transport, then you should definitely buy a car!
Of course, don’t forget that you need a local driver’s license to be able to drive in Taiwan. For Filipino motorists, the first step to getting a local driver’s license is to have your Philippine license verified at the Manila Economic and Cultural Office (MECO).