The painful truth about the expensive yen
Japan’s economists have no answers about the decline in the value of the US dollar and the euro against the Japanese yen. Late this week, the USD$ has been swinging back and forth around 85 yen to the dollar and 110 yen to the euro. Remembering not so much, but in 2007 the euro had risen so much that it reached 180 yen per euro. At that time, the economists were also shaking their heads. Now, the truth is that if this situation of the expensive yen is reduced, some jobs could move from Japan to other countries again. Japan’s business has not been growing steadily either outside or within Japan. Leave out car manufacturing giant Toyota, which suffers a loss of about USD$352 million per year with a single yen cheaper than a dollar.
Gradually, this situation will be negatively affected towards Japan’s weak economy. If the government doesn’t take a serious look and act fast, perhaps, according to recent speculation, the weak dollar could fall as low as 79 yen to the dollar.
There is still a bargain from Japan in importing high-quality cheap second-hand cars. Here is a checklist to do before contacting a dealer and exporting.
Decide on the Japanese used requirement because you want it.
Contact the exporter and offer to buy the car from Japan. If it’s a relatively new model less than 5 years old, then you may have to ask the exporter to look at local Japan used car auctions.
The exporter will issue a proforma invoice, usually by fax or email.
After signing, return the Pro-Forma invoice – you have agreed to buy the car! Send the car payment to the Exporter by Telegraphic Transfer through your bank. If you have paid any deposit, request a deduction and pay the balance amount. The exporter will book the vehicle on a ship from Japan and authorize the shipment of the car, known as FOB.
After the ship has left Japan, the Exporter will send you all original documents required for importation by express courier. Arrange a shipping agent who will handle the arrival of the car and clear customs. Please pay the shipping fee (if you have not paid in Japan) which is calculated on the cubic meter of the vehicle. Pay the import tax and VAT. Pay Customs Duties. Pay the shipping agent for his services.
The car leaves Customs and is available for collection. Register the car and pay the registration fee. For the UK: Prepare the car for the SVA or MOT test. (ie change speedometer to miles per hour, adjust rear fog lights, etc.). SVA and/or MOT test of the car. Taxes and Insure the car for use on the road. Drive and enjoy your imported car!