Dubai Auto Spare Parts Trading Licence 2026: Cost & Requirements
A Dubai auto spare parts trading licence costs AED 18,000–35,000 all-in (2026). You'll need DET (Department of Economy and Tourism) approval, an Ejari-registered showroom or warehouse, and MOHRE compliance. Import duties on car parts typically range 5–15% depending on HS codes.
What Is a Dubai Auto Spare Parts Trading Licence?
An auto spare parts trading licence permits you to buy, store, and sell vehicle components—engines, filters, belts, lights, exhaust systems, and accessories—within the Emirate. Whether you trade on the mainland (Dubai) or in a free zone (JAFZA, DMCC, or DIP), you'll need approvals from DET and MOHRE (Ministry of Human Resources and Emiratisation). Your Dubai business setup must comply with 2026 regulations covering physical premises, customs registration, and import documentation.
Unclear on your licence type? WhatsApp DBS at +971 54 332 2846 for a free 20-minute consultation.
2026 Licence Cost Breakdown: AED 18,000–35,000
Total all-in cost ranges from AED 18,000 to AED 35,000. This includes:
| Item | Cost Range (AED) |
|---|---|
| Trade licence (DET) | 1,500–3,500 |
| Showroom/warehouse Ejari registration | 2,000–8,000 annual rent deposit |
| MOHRE labour compliance & registration | 500–1,500 |
| Customs code registration & HS classification | 1,000–2,500 |
| Professional setup support (DBS advisors) | 3,000–8,000 |
| Company formation & documentation | 2,000–4,000 |
| Miscellaneous (visas, insurance, inspections) | 3,000–6,000 |
Costs vary by free zone (JAFZA sponsorship adds 10–15% premium) and mainland location.
Showroom & Warehouse: Ejari Registration & Physical Requirements
DET mandates a physical showroom or warehouse for auto spare parts trading. You must register the premises on Ejari (Dubai's tenancy system) and obtain DET approval of the location. Minimum space: typically 200–500 sqm depending on inventory volume and local zoning. Your Dubai business setup consultants will verify zoning compliance. Mainland locations (Al Quoz, Al Baraha, Deira) cost AED 2,000–5,000/month; JAFZA warehouse space costs AED 3,000–8,000/month.
Need help securing a DET-approved location? Contact DBS: inquiry@dubaibusinessservices.com.
Customs Codes, Import Duties & HS Classification
To import spare parts, you must register with FTA (Federal Tax Authority) and obtain a customs code. HS (Harmonised System) codes classify parts; automotive spare parts fall under HS 8708 (typically 5–15% import duty). Common classifications:
- Engines & cylinders (HS 8407–8408): 5–10% duty
- Transmission & drive components (HS 8708.10): 10–15% duty
- Filters, belts, electrical parts (HS 8511–8545): 5–10% duty
FTA requires import documentation (invoice, packing list, origin certificate). Processing takes 5–10 business days.
Mainland vs Free Zone: Which Is Better for Auto Parts Trading?
Both structures suit spare parts trading; the choice depends on your supply chain and target market.
| Factor | Mainland (Dubai) | Free Zone (JAFZA/DIP) |
|---|---|---|
| Setup cost | AED 18k–25k | AED 24k–35k |
| Local market access | 100% UAE trade allowed | Limited; needs agent for domestic |
| Import duties | 5–15% on parts | 0% (duty-free) |
| Warehouse availability | Abundant, lower rent | Premium locations, higher cost |
| Sponsorship | Local Emirati/UAE national required | Free-zone sponsor (no UAE partner) |
Recommendation: Mainland if your primary market is UAE domestic and GCC distribution. Free zone if you're an international importer replicating to Asia-Pacific or Europe.
MOHRE Compliance & Labour Requirements
MOHRE mandates employer registration for any staff. You'll need:
- Valid trade licence from DET
- Labour contract template (MOHRE-approved)
- Health insurance (Daman or equivalent) for all employees
- End-of-service gratuity compliance
Minimum staffing: typically 1–2 full-time UAE or sponsored expat employees for a showroom-based spare parts business. Registration takes 3–5 business days.
DBS streamlines MOHRE filing—email inquiry@dubaibusinessservices.com to get started.
Step-by-Step Setup Timeline: 15–30 Days
- Week 1: Secure Ejari-registered showroom/warehouse; confirm DET zoning approval.
- Week 2: Submit DET trade licence application (business name, activity code 4641 for wholesale trade in automotive parts).
- Week 2–3: Register with FTA; apply for customs code and HS classification for target part categories.
- Week 3: MOHRE employer registration & labour contract filing.
- Week 4: Receive trade licence; arrange health insurance & staff visas (if applicable).
- Week 4–5: First import shipment documentation and customs clearance.
FAQ: Common Questions on Dubai Auto Spare Parts Trading Licences
Frequently asked questions
How much does an auto spare parts trading licence cost in Dubai in 2026?
Total all-in cost is AED 18,000–35,000, including DET trade licence (AED 1,500–3,500), Ejari warehouse registration (AED 2,000–8,000 annual), MOHRE compliance (AED 500–1,500), customs code registration (AED 1,000–2,500), and professional setup support (AED 3,000–8,000). Costs increase in JAFZA or DMCC due to zone sponsorship fees.
Do I need a showroom or warehouse for spare parts trading in Dubai?
Yes, DET mandates a physical showroom or warehouse registered on Ejari. Minimum space is typically 200–500 sqm, depending on inventory. Mainland locations (Al Quoz, Deira) cost AED 2,000–5,000/month; free-zone warehouses cost AED 3,000–8,000/month. Premises must pass DET zoning inspection before licence approval.
Can I import car parts under a Dubai trading licence?
Yes. You must register with FTA (Federal Tax Authority), obtain a customs code, and classify parts using HS codes (typically HS 8708 for automotive spare parts). Import duty ranges 5–15% depending on part category. Proof of origin, invoices, and packing lists are required for customs clearance, taking 5–10 business days.
Is mainland or free zone better for auto parts trading?
Mainland (AED 18k–25k setup) suits domestic UAE & GCC distribution with lower warehouse rent. Free zones like JAFZA (AED 24k–35k setup) offer duty-free imports but restrict local trade—you'd need a UAE agent. Choose mainland if targeting domestic market; free zone if importing for regional re-export.
Do I need a customs code for importing spare parts?
Yes, FTA registration and a customs code are mandatory. You'll also need HS classification for each product category (engines, filters, belts, electrical components). Registration takes 5–10 business days. Import duties are 5–15% based on HS code; this is in addition to your trade licence cost.
What is MOHRE approval and why is it needed?
MOHRE (Ministry of Human Resources & Emiratisation) registers employers and enforces labour law compliance. You'll need a trade licence, labour contracts, health insurance (Daman), and end-of-service gratuity reserves. Minimum staff: 1–2 employees. Registration takes 3–5 business days and is free after DET licence approval.
How long does it take to get a Dubai auto spare parts trading licence?
15–30 days total. Week 1: secure showroom & DET zoning. Week 2: submit DET & FTA applications. Week 3: MOHRE filing & customs code. Week 4–5: licence receipt & first import clearance. Delays occur if Ejari or zoning disputes arise; DBS advisors accelerate approvals.
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