in Japan, the boom in used car exports to Russia

In Japan, a country renowned for its cars, the Toyota, Nissan and Honda brands are popular on the second-hand export market, particularly to Russia. In the north-west of the country, in Toyama prefecture, near the ports, huge parking lots stretch along the road for several kilometers where used vehicles, passenger cars – including luxury models – but also trucks, motorhomes or tractors and even forklifts.

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Prefabs serve as offices for merchants, all Pakistanis who have been living in Japan for a long time. Ali tells, for example, how he exports vehicles everywhere but especially to Vladivostok, on the Pacific coast of Russia, only three days away by boat: “Russia is the first destination, we sell twice as much as before. It’s because exports of new cars from Japan have stopped. Ditto for Europe. And since all Japanese manufacturers have closed their factories and their dealerships in Russia, well the only way for Russians to get a Japanese car is the second-hand models, which are very popular because they are very well maintained.”

The economic sanctions that target Russia in retaliation for the war in Ukraine do not prevent the sale of used cars. Provided that you do not sell models at more than six million yen (42,000 euros) per unit, which leaves room to go up to a hybrid 4×4 for example or even a luxury model that is a few years old . According to Ali, for Russian buyers it is safer than cash in a bank account in a country at war: “Those who have money buy a Japanese car as an investment. Whether they drive it or not, it doesn’t matter, in six months or a year it is possible to resell it for a higher price.”

That said, the used car trade to Russia is so booming with almost 18,000 vehicles exported per month that the Japanese state may take a closer look, the seller adds: “We would like it to last but we are still worried, if the law changes it could stop overnight. I think the rules will become stricter.” In the meantime, Pakistani merchants are recovering after suffering hard from the Covid-19 crisis.


source site-29