Now is the time to buy!
In the Japanese used car auctions vehicles increase this time of year. If vehicles increase this time of year, then due to the law of supply and demand, the auctions become over-supplied, and to sell a vehicle you have to accept a lower price. All the better for the buyers in the auctions (as well as the exporters and in your case the importers).
So why the increase in vehicles in the Japanese used cars auctions this time of year?
- The end of the financial year for many companies, especially used car dealers in Japan. This is stock take time of year and a good chance to re-auction cars that have not been selling. Also other companies, also at the end of their financial year, replace vehicles regularly, especially at the end of the financial year.
- Private owners of vehicles must pay in May, the annual car tax. This is no small amount of money that must be paid during May. This is where the decision makers of the household will decide whether to keep their vehicle for another year or trade it in at a local trade in company (Gullivers used car trade in is the largest). The Japanese public, not being card holding “car dealers”, do not have the ability to sell their vehicles into the Japanese used car auctions, it all must go through a dealer.
These car taxes can be quite high. They increase for the engine size of the vehicle:
|Less than 1000cc||29500yen|
|Between 1000 and 1500cc||34500yen|
|1500cc to 2000cc||39500yen|
|2000cc to 2500cc||1,45000yen|
|2500cc to 3000cc||51000yen|
|3000cc to 35000cc||58000yen|
|3500cc to 4000cc||66500yen|
|4000cc to 45000cc||76500yen|
|45000cc to 6000cc||88000yen|