Court allows used car importation at CEZA

BAYOMBONG, Nueva Vizcaya, Philippines – A Cagayan court has allowed the importation of used cars at the Cagayan Economic Zone Authority (CEZA) after declaring former President Arroyo’s order banning the practice as “impliedly repealed”.

In a decision dated Nov. 12, Aparri Judge Neljoe Cortez said Arroyo’s Executive Order (EO) 418 “impliedly repealed” the EO 156 she signed earlier, which banned the importation of used vehicles in the country.

The court said Arroyo’s EO 418, which modifies the Tariff Nomenclature and Rates of Import Duty on Used Motor Vehicles, superseded the EO 156.

The court said the EO 418, which was issued on April 4, 2005 “rendered inoperative the ban on used motor vehicles” as contained in EO 156 issued on Dec. 12, 2002.

The judge’s decision enjoined the respondents — the Office of the Executive Secretary, the Department of Finance, the Bureau of Customs and the Land Transportation Office, from enforcing and implementing the EO 156.

The decision favored the petitioner, Forerunner Multi-Resources, Inc., one of the major importers of used vehicles at the special economic zone and freeport in Santa Ana town where CEZA is based.

With the order, another major used car importer, Fenix International Inc., asked CEZA to issue a car importation permit as it invoked its right to import used motor vehicles.

Nilo Aldeguer, CEZA senior deputy administrator, in a statement said they would only issue import permits based on the court order.

Aldeguer said the CEZA would see to it that importers declare the actual number of units to be imported before the issuance of import permit.