Buying a used Car in Beijing

I just completed my first car-buying experience in Beijing. I will share my experience so others might know what to expect.

I bought a lightly used Jeep from the 2nd hand market (SE 4th Ring Road market) and this is what happened:

1) There are many vehicles to select from (several hundred, at least). There were about a dozen Jeeps to choose from (some in pretty bad shape).

2) Almost all of the vehicles for sale are blue-plated (locally-owned) and I needed to have it switched to a black-plate (foreign-owned).

3) Before deciding on any vehicle, I began casual price negotiations. The ones in bad shape were most likely to offer up to 10% off, the ones in excellent shape had very little coming off the price (the dealers know they have a good one)

4) I decided on a nice one, and got about 4% off the price, but also had the dealer agree to an "All-Inclusive" price (that is important ... make sure you get an "All-Inclusive" price ... it means the dealer will pay all taxes and transfer fees, which can add up to several thousand RMB). Also, the dealer knows the ins & outs of how to do the complicated transferring ordeal.

5) After agreeing on the deal, I put down a small deposit and came back a couple of days later to finish the deal (I needed to get lots of cash)

6) The first thing I had to do was go to the Vehicle Branch to start the transfer process. They have an office inside the car market, so it is very convenient to do Stage 1 of the process. If I was a local Chinese, just needing a blue plate, the transfer would be done. Alas, as a foreigner, I needed a black plate, so I had to proceed to Stage 2.

7) For Stage 2 of the transfer, I had to go to the Motor Vehicle Branch for Foreigners which is a few miles away (the PSB for foreigners on the South 4th Ring Road ... the same place where you get your driving license).

Make sure you have the first set of transfer documents (done at the Car Market in Stage 1), your passport and your temporary residence permit (stamped by your local PSB). Your driving license should also be with you, of course.

9) You have to hand in the blue plates in the Chinese section, then go to the Foreigner section to get your black plates.

10) The PSB goes out to inspect the vehicle, then comes back in. Some more documentation is done. Then the PSB goes out to photograph your vehicle, then some more documentation is done.

11) You are given a choice of 5 randomly selected plate numbers to choose one from (it is through a kiosk-type of machine, all in Chinese). You choose, then there is more documentation, and the PSB goes out and puts the plates on your vehicle.

12) Once you have your plates, you now need to transfer the Road Tax. You go back to the Chinese section (2nd floor this time), do the transfer and get more documentation.

13) You can now leave the PSB and proceed to Stage 3

14) You now need to transfer the vehicle insurance, which means you have to go to the Insurance company, across town. More documentation and on to Stage 4.

15) You now need to transfer the original Sales Tax record into your name. When the car was originally bought new, by the original owner, a sales tax was paid and there is a little book verifying that. You need to transfer it into your name. Of course, that is somewhere else.

16) After the Sales Tax record is transferred, you are done!

All together, it took me from 08:30 to 16:00 to have everything done. I had my girlfriend, who is a local Beijinger, to help. I had also bought an all-inclusive Jeep, so someone from the dealership came along for every transfer. I would have been completely lost if I tried it on my own. Like in my home country, the Motor Vehicle Branch people are not exactly the most friendly and customer-service oriented people.

My STRONGEST recommendation is to hire someone to help you.

In the crazy process at the PSB, there was a guy who helped my girlfriend and the dealer, both who were struggling with the black-plate bureaucracy. He gave me his card and says he charges 500 RMB for everything. His name is Zhao Huan (139 013 23080) but he speaks minimal English. He seemed to know what he was doing. I didn't hire him, he just offered advice to my girlfriend and the dealer.

Overall, it was a tiring and frustrating procedure that took all day, but as soon as you drive away with the shiny black plate (I even got a lucky number!), you forget about it. Your new frustration quickly becomes Beijing traffic.

By the way, when looking at cars, check to see that the Road Tax is paid for the full year and also that there is good insurance for many months ahead (the insurance stays with the vehicle).

Good luck!