There are many charges and fees involved with importing a car from Japan
The costs involved with importing a Japanese are rarely discussed in detail and can vary wildly between who gives you the answer. We are going to discuss the costs involved with buying a car from Japan and not purchasing a vehicle already stateside. There are also some costs that must be paid in JPY or Japanese Yen and not other currencies. Dealers and sellers in the US have already baked and inflated all of the costs into their final vehicle price.
What are each of the fees from beginning to clearing customs and picking up your car?
TWIC Fee: The TWIC card or Transportation Worker Identified Credential or TWIC is your access pass to ultimately enter the port and get your car. The entire importing process is almost like a video game where you need a special key card and “achievements” to eventually find your treasure. This card was implemented in 2002 as part of the maritime transportation security act. Your TWIC card will cost $125 and is good for five years. You will need to schedule a background check, photos, and wait a few weeks to a month or more to get this card. Some ports will allow someone with a TWIC to escort someone without one, or you will need to pay a transportation company to move your car a few hundred yards from inside the port to outside of the port. This can cost anywhere from $50 to $250.
Winning auction bid – Assuming you or someone you know has access to the Japanese vehicle bidding sites. This is the biggest cost and largest variable. You may know what bid the car starts at, but you will have no idea what it ends at or if your bid meets the sellers reserve price.
Auction fee – A fee is paid to the auction house for using the bidding system and participating in the auction itself. This fee can range anywhere from $150 to $300 or more.
Shipping from the auction site to the seaport – Depending on where the auction house is located, the vehicle will need to be transported from here to the seaport where it will be loaded on the vessel. The costs can be anywhere from $50 to $500 or more.
Commission – Typically if you are partnered with someone in Japan, or using a service you will need to pay them a commission. Without them you won’t have a car to import. The extent of their cooperation depends on the quality of the company or their rapport with you. They will hold the vital export certificate and coordinate all shipping and paperwork. Commission fees can range anywhere from $200 to $1000 or more.
Currency fees – You will need to send money, likely JPY, USD, or a combination of both. These wire transfer or electronic transfer fees can range depending on what service you use and how you send payment. Expect to pay $50 to $100 or more
Purchase is complete and ready to ship out, or is it?
Sea shipping – The best option for running and driving vehicles is RO / RO or roll on, roll off. Your vehicle will be driven into a ship and unloaded the same method. Expect to pay $2000 – $3000 or more. Container shipping can be extremely expensive to the US and can run to $10,000 or more.
Export fees – In order to actually export the vehicle and send it across the ocean, some export fees need to be paid to the shipping agent for their services in booking the sea shipping and coordinating the paperwork. Costs can range from $200 to $500 or more.
Insurance – Your vehicle should be insured for major loss or problems. Insurance won’t cover dents, scratches or other minor damage. Expect to pay around $50 or more.
Broker clearance – Once you find an import broker you will need to pay them to assist with dealing with the government. Their customs entry fees per vehicle can range anywhere from $150 to $500 or more. You don’t want to try dealing with this on your own.
ISF or Importer Security Filing – The broker will need to file the ISF 24-48 hours prior to the ship leaving Japan. This is done electronically and tells US customs the information that your vehicle will be on the way. The broker can charge usually between $25 and $100 to do this
Bond – You will need to pay for a bond which is a financial guarantee you will pay all import fees, duties, and taxes related to your vehicle. This needs to be paid per vehicle and is typically $50 – $300. If you plan on importing two or more vehicles per year then a continuous bond is recommended which renews on a yearly basis. This is a one time cost per year at $400 – $600.
NHTSA Declaration – Paperwork will need to be filed stating that the vehicle is older than 25 years. This will allow the vehicle in. Cost is typically $25 – $100
EPA Declaration – Paperwork will need to be filed stating that the vehicle is older than 21 years. This is the second item needed to allow the vehicle in. Cost is typically $25 – $100
The car arrived at a USA port, surely it’s ready to be picked up
2.5% Duty – As long as the vehicle is not a truck or doesn’t have a pickup bed you will need to pay 2.5% of the purchase price. If the vehicle is $20,000 then the cost is $500. If it is a truck then the duty jumps to 25%.
Harbor Maintenance Fee – Another fee that is 0.125% of the commercial value. On a $20,000 car that is another $25.
Customs Merchandise Processing Fee – .03464% with a minimum or $32.71 and maximum of $634.62 per entry. On a $20,000 car this would be $6.98, but bumped up to the $32.71 minimum.
TWIC Escort Fee – Sometimes free, sometimes they will charge you $150 to have someone escort you to your car. You can’t enter the dock without it or without someone that has it.
Dock processing Fee – They can charge whatever they want just because. Could be $50 or could be $150 just to “process” your pickup.
Storage Fees – As soon as your car is unloaded from the ship it has the potential to accumulate storage fees at the port. Some ports allow a few days of complimentary storage. These fees can range anywhere from $10 to $100 or more per day. Will you have the time to coordinate a flight on demand with no notice and get a ride to the port when your car is cleared? There is no set-in-stone clearance day or release day. Once the car is cleared by your customs broker then you have to schedule an inspection with customs and border protection to get your car. This entire process is fluid and can be highly stressful.
Still think you want to save a few bucks and try importing yourself? This takes a lot of time to coordinate and do it right. Once the car is at the port then what? How do you register and insure the vehicle? We will discuss this in a future blog.
Why choose TaninJDM to import your car?
We handle all of the time, labor, and fees we described above. We offer one all-inclusive price for your car. In addition we register the car and provide you with a normal title so you can transfer it to the state of your liking. Check out our For Sale listings to see current and past vehicles for sale. Send us an email at taninjdm@gmail.com to find your dream JDM car.
