United Arab Emirates used car market: Japan is among one of the largest automakers in the world. Around millions of vehicles are produced and exported from Japan within a year only. With global reach, Japanese automakers are more efficient in comparison to other makers. Japanese brands such as Toyota, Nissan, Honda, and Mitsubishi have become synonymous to quality, reliability and safety. There is no doubt that the United Arab Emirates (UAE) automobile market is dominated by Japanese manufacturers. Other countries makers such as BMW, Mercedes also play a significant role in the development of the country, however success achieved by Japanese makers is much more than that of other makers.
People in the UAE generally prefer to go with the “made in Japan” category. This reason also constitute towards the popularity of Japanese vehicles across the country. For used vehicles also, especially those from Japan, Dubai is an international trading hub in used cars. There is high demand for passenger vehicles in the UAE. Mainly used vehicles from Toyota, Nissan are imported in the UAE. It is common to see a white color Toyota car on roads. Demand for Japanese used vehicles is gaining at rapid pace in the country. During first half of the 2014, demand for Japanese vehicles grew 11 per cent, with passenger cars sales growing by 17 per cent.
There is an around 30 per cent year-on-year increase in sale of used vehicles in UAE. The technology also helped in boosting the used car market of the UAE. Even buying a used vehicle is not a difficult thing in the country. Used cars from Japan are sold in Dubai and Abu Dhabi. Along with the demand for used vehicles, demand for auto parts in the country has climbed up.
While importing a used vehicle in the country, used vehicle importers should make sure that they are following all import regulations as to avoid any problem with the customs. Importation of only left-hand drive vehicles that is not more than four years old are allowed to be shipped in the U.A.E. Upon arrival of the vehicle, all imported vehicles are subject to inspection/ evaluation by a customs in the U.A.E. Even the duties on used vehicles are not very much. Customs duty at present is 5% of the value estimated by customs on used motor vehicles.
Mainly Japanese makers are dominating the market by offering reliable vehicles at practical prices. The reason that people are attracted towards used vehicles is that one gets a good vehicle at cost price around 50% less than that of new ones. People prefer to go with used vehicles as they get cars with better design, shape and technology at reasonable prices. The U.A.E. market possesses a lot of potential and Japanese exporters can do much in the country.