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JDM Post-purchase expense?

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Old 04 July 2004, 03:05 PM
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NicoRossi
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Default JDM Post-purchase expense?

I'm just posting querying why JDM cars so expensive post-purchase for us people in the UK? Especially in areas like the U.K. I just read a review of the new JDM 04WRX STi and it's selling for the equivalent of under £16k in Japan, yet the same car here will cost around £21,995 or so?!

I'm confused especially in the case of Imprezas since new cars have to be directly imported from the factory in Japan anyway (as was our MY03 WRX when we got it last May anyway), so why does it being a JDM one send insurance prices through the roof if both ones deemed "UK" and Jap imports originate from the same place? Does it also affect the price on other things such as road tax etc.?

Apologies if this has been asked before.
Old 04 July 2004, 03:19 PM
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I've just ordered a JDM STI, so I hope the following is right :

- Insurance isn't much more, provided you go to the right company. It's higher primarily because of FUD (fear, uncertainty & doubt) on the part of the insurance companies over the ease and cost of getting parts in the event of a claim. For example, the JDM STI has a tinted rear window with a hole in it for the wiper, whereas the UK car has a clear window with no hole. The JDM window, therefore, is much less likely to be in stock, and may have to be ordered from Japan at some expense. Without the car appearing in the databases used by dealers and repairers, it's also harder to determine exactly which parts are required in the first place, leading to trial and error being necessary in some cases. Charging a bit more for this extra hassle and cost doesn't seem so unreasonable to me. (In fact you're likely to get charged more for a UK car which is then modified to bring it closer to JDM spec, than you are to insure an unmodified import!)

- Road tax etc is no different. Once the car has passed ESVA it's registered just like any other car. I think you get the same 3 years' grace on MOTs too - though I'm not 100% sure on that.

- Much of the price difference is down to import duty and VAT, although there's never been any doubt (outside the UK motor industry!) that UK buyers are ripped off at every available opportunity. The sickening thing here is that JDM cars are actually higher spec as well as being cheaper - that's why my new car is being imported.
Old 04 July 2004, 03:29 PM
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T5NYW
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I think the issue is,

The price 'set' for a car in the country of manufacture, say Yen is not directly converted to £'s as a price for the UK The price is as high as possible in the Country of sale, as long as they maintain their market share No maunfacture want's a big price war

Eg,
If a WRX in was 20,000,000 lira, is because a Ford was 10.000,000lira and a BMW 40,000,000 lira the averaged skilled worker would be on 20,000,000 lira pa. Now convert 20,000,000 lira pa back into £'s it may work out only £10,000 . at that price there would not be enough boats in the World to bring them over this is why VAT/import/export/sanctions are applied to ensure we are always screwed

IIRC IMHO

Tony

Last edited by T5NYW; 05 July 2004 at 12:15 PM.
Old 04 July 2004, 03:31 PM
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NicoRossi
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Thanks, enjoy the new toy.
Old 04 July 2004, 03:35 PM
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Indeed - which is why the British motor industry was so keen to support ESVA testing and model reports. They believed it would make grey imports so difficult or impossible that people would have no choice but to buy from them.

People don't give up so easily, of course, so a sizeable collection of model reports is already building. I suspect that in the long term all it'll do is make it impossible to bring in any very low volume specials (like the 22B ) for which it's not economic. More mainstream cars, like the JDM STI, will continue to flood in.

Maltese / Cyprus import, anybody? Now they're part of the EU it could be very interesting to see how dealers try to wriggle out of their warranty obligations, and what the knock-on effect will be on prices
Old 05 July 2004, 12:18 PM
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Question

Andy,
Can you explain 'Model report' I have heard the Term used before, sorry but I'm a bit thick

Tony

Ps Nicco enjoy your new Toy
Old 05 July 2004, 12:23 PM
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Nathan L
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Originally Posted by T5NYW
Andy,
Can you explain 'Model report' I have heard the Term used before, sorry but I'm a bit thick
Now I know my names not Andy

But.........

A Model Report is used for Enhanced SVA when an applicant wishes to prove compliance on a subsequent vehicle on the basis of a single, or number of, Directive or Comparison Tests originally conducted on a “master” vehicle

The purpose of the Model Report is to enable a VOSA examiner to check that the specification of subsequent vehicles is the same in all relevant respects to the one originally tested at the authorised Test Laboratory. It will include component descriptions, code numbers and other identifying features, supplemented by photographs or drawings. If the vehicle presented for test matches the specification in the Model Report, it will pass, if not it will fail.

Hope that helps.

Nathan..
Old 05 July 2004, 01:19 PM
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Jolley
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Originally Posted by AndyC_772
- Insurance isn't much more, provided you go to the right company. It's higher primarily because of FUD (fear, uncertainty & doubt) on the part of the insurance companies over the ease and cost of getting parts in the event of a claim.
For good reason....

I owned a Pulsar GTiR a couple of years ago. The front windscreen cracked after a stone chipped it and needed replacing. I went the £50 replacement route that is on most fully comp policies (I think). Anyway, the Pulsar has a Bronze tint, whereas the equivalent Sunny has a Blue tint, and Auto windscreens didn't think there were any in the country and said I would probably have to wait about 6 weeks for a replacement!! Fortunately they found one a couple of days later, but it cost them about £570 for the screen alone (I think on average a front screen should only be about £200!) ..... so I can see why they are nervous about them!
Old 05 July 2004, 06:27 PM
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Originally Posted by Nathan L
Now I know my names not Andy

But.........

Hope that helps.

Nathan..

Many thanks Nathan

Tony
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