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Japan’s move to ban sales of most used cars (secondhand cars) to Russia put the brakes on trade worth close to $2 billion annually, which was growing rapidly under the shadow of sanctions on Ukraine. This information has been received from trade data and market participants.
In early August, the government of Japan banned the export of all except subcompact cars to Russia, leading to a network of brokers and small ports, in particular, Fushiki, an export hub on the Sea of Japan, for used Toyotas, Hondas. And a lucrative backchannel in Nissan’s car business was closed.
The sanctions have driven down prices of second-hand cars in Japan, eliminating Russia’s largest source of used cars, and prompting brokers to turn to right-hand drive markets in other regions, particularly New Zealand, Southeast Asia and Africa. Have to struggle to send vehicle.
Russia’s demand for second-hand cars from Japan surged after global automakers including Toyota shut down operations following Moscow’s invasion of Ukraine.