Speak the “auto dealership” language. As you browse along with Japanese used car auction, you’d find unfamiliar with used car market vocabulary abbreviations and words that are commonly used within the industry.
Free on Board or Freight on Board (FOB)
FOB (Freight on board) is a pricing term that pertains to the total cost of the vehicle, along with transportation, insurance, and loading costs from the manufacturer’s location to the port of departure in our case, to the port in Japan.
NOTE: Freight on Board price does not include shipping freight and insurance costs once the vehicle is on the port of delivery. Once the shipment is in cargo, the buyer is fully liable for costs and risks for vehicular damage or loss.
Cost and Freight (C&F)
C&F, which is also known as “Cost and Freight,” is a term that means that the stated value of the goods or the vehicle is inclusive of all costs and freight fees that may apply when importing the vehicle to the buyer’s desired port of destination.
Cost, Insurance and Freight (CIF)
CIF (Cost, Insurance and Freight) is inclusive of the price of the vehicle, the insurance cost during delivery, and the shipping freight. The seller party pays the freight and the cost of shipping the vehicle from the port of delivery to the port of destination. However, the risk of either vehicular damage or loss, along with extra fees, transferred to the buyer party after the time of delivery.
The arrival date of the vehicle is a specific date on which the vehicle is due to arrive at the port of delivery.
The Japanese auction sheet, also called USS auction sheet, is the 1st point of inspection performed for used cars available in the Japanese market. The auction sheet displays vital car information including crash history, the 1st date of registration, exterior and interior condition (ie rusts or dents), chassis number and oil leaks.
A bid price, which is simply called “bid,” is the highest price a bidder (also known as the buyer) is willing to pay for particular merchandise.
Bill of Lading in Used Car Market
B/L is an abbreviated term meaning “Bill of Lading,” which is an official document verified and signed by the car agent, the captain, or the owner of the vessel. It displays pertinent information on the overall quality and quantity of cargo in transit from one point to another. It also represents ownership of the cargo.
A car auction, commonly calls as an auto auction, is a marketplace for new and old vehicles. In Japan, the Japanese used car auction is a method of selling used vehicles via the auction system. During an auction, several buyers place a bid on the same vehicle. The bidder who places the highest bid wins the auction and is grant the right to purchase the vehicle.
Japanese used cars commonly shipped by sea. Cargo insurance covers all loss or damage while the vehicle is a pass between the point of origin and the port of delivery.
The consignee is the recipient stated on the Bill of Lading. The consignee is fully responsible for picking up the vehicle after vehicle delivery.
Date of Registration
The date of registration is the specific date when a vehicle registered with a government authority. It used for identifying vehicle ownership and establishing a link between the vehicle for either crime detection or taxation purposes.
A dealer is a person who either sells or buys vehicles or other goods.
Dent is a slight hollow visible in hard surfaces. It is usually a result of either a strong blow or pressure applied by an external force.
A final price, also known as closing price, is the final price or fee for merchandise. It usually the C&F or CIF (Cost, Insurance, and Freight) price.
In the Japanese car import industry, freight refers to vehicles transported by sea.
In the car industry, a local agent typically pertains to an authorized person who acts on behalf of an insurance company or a car company. A local agent is usually an independent contractor that works within a specific territory.
Logistics Service Provider
A logistics service provider offers managerial services for goods transported from one point to another. Depending on the merchandise and the number of goods shipped, the scope of work of a logistics provider can include shipping, performing an inventory, warehousing, and conducting security measures during shipment.
The manufacturing date includes the month and the year of the vehicle manufactured. Typically, car dealerships receive the vehicle around 1 to 2 months after the manufacturing date.
Port of Discharge
The port of discharge is the point where the ship is off-loading and the shipments in cargo are releasing to their respective consignees. Also known as the “port of unloading,” the port of discharge may also be the cargo’s port of destination.
Rust is a product of oxidation, which is a chemical process that results in the flaking of iron or steel. It is either yellowish-brown or reddish in color, and it can continue to accumulate in the presence of moisture.
In the Japanese used car auction, stock pertains to the number of goods/vehicles available for sale. Thus, the stock is an audit by a merchant, a distributor, or a manufacturer.
The shipper is the owner of the vehicle in transit.
A security deposit is a specific amount of money that acts as an initial payment during the purchasing process. A security deposit is detaining under trust, which is a secure payment system of law.
TT – TT/Copy
TT is an abbreviated term for “Telegraphic Transfer” or “Telex Transfer,” which is the process of transferring funds electronically. Often use for overseas wire transactions, Telegraphic Transfer is accompanying a transfer charge imposed by banks.
A vehicular inspection, also calls car inspection, is a procedure where a vehicle is inspected to ensure that it conforms to all road rules and vehicular standards enforced by the government. Thus, a vehicle inspection is mandatory by subnational and national governments.