CN code 8703 21 covers passenger cars and other vehicles for the transport of persons equipped with spark-ignition combustion engines with a cylinder capacity not exceeding 1000 cc. These are A-class vehicles and city minicars such as the Fiat 500, Toyota Aygo, Kia Picanto, and Hyundai i10, designed for daily urban driving. Modern engines with capacity up to 1 litre often use turbocharging, achieving power outputs from 65 to 100 HP. These vehicles must meet Euro 6e emission standards under Regulation (EC) No 715/2007, with real driving emissions (RDE) measurements. Type-approval is carried out under Regulation (EU) 2018/858. Passenger cars classified under CN heading 8703 are subject to excise duty in Poland, the amount of which depends on engine capacity – for vehicles up to 2000 cc the rate is 3.1% of the vehicle's value. Additionally, registration fees and vehicle tax apply.

Importing passenger cars with spark-ignition engines up to 1000 cc (CN 8703 21) involves payment of customs duty, excise duty, and VAT. Duty rates should be checked in the TARIC or ISZTAR4 system. Excise on passenger cars with engines up to 2000 cc is 3.1% of the tax base, which is the customs value plus duty (for non-EU imports) or the market value (for intra-EU acquisitions). VAT is charged on the customs value plus duty and excise. The importer must submit an excise declaration and pay excise duty before the first registration of the vehicle in Poland. Vehicles imported from third countries must hold EU type-approval or obtain individual vehicle approval. A technical inspection by an authorised vehicle testing station, third-party liability insurance, and registration at the transport department are required. For used vehicle imports, the customs value is based on the transaction price, verified by customs authorities against market value.

Passenger cars with spark-ignition engines up to 1000 cc (CN 8703 21) are subject to increasingly restrictive emission standards. Euro 6e requires meeting emission limits both in the WLTP laboratory cycle and under real driving conditions (RDE). Euro 7 (Regulation (EU) 2024/1257), with full implementation for passenger cars planned from 2026, tightens particulate emission limits from brakes and tyres and introduces emission control system durability requirements. Regulation (EU) 2023/851 on CO2 standards for passenger cars sets a target of zero CO2 emissions for new passenger cars from 2035, meaning the gradual phase-out of combustion engines. Small turbocharged engines up to 1 litre offer relatively low CO2 emissions, but increasing regulatory requirements may affect production costs and vehicle prices. In the context of CO2 tax and emission-based registration charges, vehicles with small engines remain tax-advantageous.