The UAE is a gateway market for machinery headed to the Gulf, Africa and South Asia. Many shipments land in a free zone before entering the mainland. The duty and VAT may be deferred, but they do not disappear. This page separates the entry cost from the later transfer.
GCC duty and VAT
Most goods under the GCC common tariff carry a 5% duty on the CIF value. Import VAT is generally 5% on the customs value plus duty. For a VAT-registered mainland business, VAT is usually recoverable, but it still has to be funded at entry.
The 5% planning rate is not universal. Tobacco, alcohol and selected regulated products carry higher rates. The 8-digit GCC line is the right place to confirm.
- Duty is charged on CIF, not FOB.
- VAT sits on top of duty, so the order matters.
- VAT recovery depends on a valid TRN and business use.
Free zone or mainland
Jebel Ali and other free zones allow goods to be held, processed or re-exported without duty and VAT in many cases. When goods leave the free zone for the mainland, duty and VAT generally become payable.
That deferral can be useful for cash flow and re-export. It does not make the mainland sale duty-free. Model the later transfer separately if your buyer is in the UAE.
- Free-zone entry is not mainland entry.
- Storage and handling in the zone are real costs.
- Re-export documentation and origin rules still apply.
Conformity and used machinery
Electrical equipment, pressure equipment and consumer-facing machinery may need conformity evidence or Arabic labelling. Used machinery can be inspected for condition and safety.
The local charge range in the model assumes a routine Dubai entry. Inspection, storage or an unusual release can move the number.
United Arab Emirates · 100 units · FCL 40ft
| Cost line | Amount | Evidence |
|---|---|---|
| FOB goods | $30,000 | You provided |
| International freight (FCL 40ft) | $4,360 | Estimated |
| Cargo insurance | $155 | Estimated |
| Customs duty (5.0% × CIF) | $1,726 | Rule-based |
| Additional measures | $0 | None modelled |
| Import VAT / GST (5%) | $1,812 | Rule-based |
| Statutory fees | $0 | Rule-based |
| Clearance, port, inland, docs | $750 | Estimated |
| Estimated landed total | $38,802 | $388 / unit |
Sample generated with engine 2026.11.1 and data reviewed 2026-11-01. It is not a quote or a ruling.
What this page does not decide
It does not classify your goods, confirm origin, determine the customs value, promise a freight rate or replace a licensed broker. Use the sample as a planning frame, then replace each assumption with a confirmed figure.
For the full destination context, read the UAE destination file and the related guide.
Common questions
Is UAE duty always 5%?
Most goods under the GCC common tariff are 5%, but regulated products can carry higher rates. Confirm the GCC 8-digit line.
Can I defer VAT in a free zone?
Goods held in a free zone are often outside the duty/VAT net until they enter the mainland. The treatment depends on the zone, the goods and the movement.
Does the estimate include Dubai port charges?
Yes, as a modelled range for a routine entry. Replace it with a forwarder quote for your actual terminal, container and release.