The car, found in the southeastern suburb of Amsterdam, was registered as stolen and had no number plates.
It was found inside a blue bucket on the pavement and it was “turned so that his face looked through the windows”, according to Telegraaf.
Detectives identified the body as 23-year-old Nabil Amzieb, and said he was “known to police.”
The man is thought to be part of the city’s Moroccan mafia, according to the Telegraaf.
Local media reports the location wherethe head was found is a significant place for the gangs of the city, who are involved in what the paper calls the “Mocro war”.
“It seemed to have been placed in such a way that the head was staring in through the windows of the cafe, like a kind of signal,” Stan Koeman, who runs a snack bar in the area, told Het Parool newspaper.
“It looked really bizarre. Not something you expect to see on a Dutch street. It made me think of the middle ages, or the Middle East. I’m OK now, but I don’t think I’ll be sleeping very well tonight.”
Police are urgently appealing to speak to any witnesses of both incidents or who may have information on Nabil Amzieb.