BOC Suspends Destruction of Smuggled Cars, to Auction Them Instead

Smuggled cars will no longer be crushed by the Bureau of Customs (BOC). Instead, the local agency will auction them for profit.

According to Commissioner Rey Leonardo Guerrero, the Department of Finance has instructed the Bureau of Customs to auction the smuggled vehicles in their possession. This way, the Government can earn from the seized vehicles.

This is not the first time for the BOC to sell the seized cars in its possession. Last December, BOC held an online auction for 5 luxury vehicles  :

• 2008 Ferrari F430 Scuderia: Php 23,230,000
• 2011 Mercedes-Benz E220: Php 1,490,000
• 2001 Mercedes-Benz SLK55 Php 1,320,000
• 2001 Mercedes-Benz SLK350: Php 1,250,000
• 2001 Porsche Boxster: Php 1,790,000

According to BOC, this smuggled cars sale initiative is made possible by the necessity to gather more pandemic funding in the Philippines. Earnings will go toward COVID-19 response initiatives. Overseeing the entire process is the collaboration between the BOC, Treasury and the Land Bank of The Philippines (LandBank).

The joint press release further elaborates on the principles of fairness and transparency, quoting: “The BOC’s partnership with reputable government agencies and the shift to an open process send a strong signal to the public that this administration is very serious in addressing collusion in the disposal of smuggled goods.”

Despite the repeated crushing of smuggled cars, importers still find ways to bring them to the Philippines. Last November, a shipment of secondhand luxury vehicles initially declared as furniture were seized at the Manila International Container Port, according to the Bureau of Customs.

The shipment was imported by Blue Core Enterprises and declared as furniture, but after examination, it contained luxury vehicles such as a Porsche, Bentley, oMercedes Benz, and a half-cut Volkswagen. Altogether, they amount to roughly Php 20 million pesos.

The importer is already under investigation and will face charges for violation of the Customs Modernization and Tariff Act (CMTA). 

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