A record number of cars and trucks are being exported from United States shipping ports to buyers in China, Europe and other parts of the world. According to Auto News, the larger number of vehicles on ships is making is cheaper for auto manufacturers to ship per-vehicle.
The number of exports has reached an all-time high of more than 2 million vehicles annually. Not only are car dealers expanding their sales to foreign countries, a growing number of people are buying vehicles from online auctions and having them exported to their country.
Although one of the reasons that exports are becoming so popular is due to the lower cost of quality vehicles, people who pay the price to car makers are less likely to be concerned with the export fees. On the other hand, those who buy used cars at auction do so because of the exceptionally low cost. The price they have to pay to have their purchases exported make a big difference in the value. It can take some strategy to get the best rates.
When manufacturers export vehicles overseas, they may use an entire ship which will carry upwards of 6,500 cars total. The price for one of these ships is expected to increase to more than $25,000 on a daily basis by next year. When an individual purchases a vehicle from an auction and has to pay to have it exported to their country, a number of factors will determine the cost. The type and size of the vehicle, the destination, and whether it is operational will determine the final cost. Prices typically vary between several hundred and several thousand dollars. This is in addition to the cost of getting the vehicle to the departure port and from the destination port.
Oversized vehicles that exceed a certain length or size will cost extra. This also pertains to additional items that are being shipped inside of the vehicle and which contribute to the overall weight. An additional surcharge is also charged. Shipping insurance is separate and based on the estimated value of the vehicle. Vehicles that are not operational require more effort to load and unload and will have added charges. You may also have to pay port of entry taxes to enter some countries.
Exports by Land and Sea
When a vehicle is purchased through an auction in the U.S. and exported overseas, it must first be transported to the nearest port. Depending on the location and the distance, this is usually by either truck or train. Once it reaches the destination port, it must again be transported by land to its final destination. Options for shipping vehicles include port-to-port or door-to-door. When the shipping company includes transportation on land for door-to-door delivery, you will have to pay more. Still, door-to-door shipments can be more cost-efficient.
Once the vehicle reaches the port of destination, it will need to be sheltered until it is picked up. Sheltering costs depend on the location of the port. Buyers could run up excessive storage bills without realizing the cost of fees being charged by a specific port.
According to the American Association of Port Authorities (AAPA), there are about 360 ports in the United States. Ports handle all types of cargo from clothing, to food, to automobiles. All ports will require you to provide the VIN number of the vehicle and its title before exporting. Other documentation will also be required.
Benefits of Exporting with an Auto Broker
Determining the cost and planning to have a vehicle exported can be tricky. Since the individual is in a different country, the process becomes even more difficult. A mistake or miscalculation could end up costing them a lot more.
A car broker, on the other hand, can simplify the entire purchasing process and arrange to ship the vehicle at the lowest possible rates. They provide the transportation from the auction and give you the rates upfront so there are no surprises once the vehicle has already been purchased.
A car broker is an automobile expert who works to find the best deal on a client-by-client basis. There are thousands of vehicles being sold at auctions and a broker has greater access to find exactly what you are looking for. The savings you get from finding the lowest price on your car will be enhanced with the savings you will get on shipping costs.
Another advantage to using a car broker to have your vehicle exported is the importance of submitting the appropriate documentation at the time it is required. The broker knows the process and will take care of all the paperwork on your behalf.
The exporting process with a car broker doesn’t start and end at the departure port. They provide a variety of services to assist with the auction process including locating a car and providing tips on how to buy. Once the vehicle is purchased, the broker can arrange to have the vehicle picked up and taken to the nearest port for departure. These professionals take the hassle and the guesswork out of purchasing a vehicle in the United States and exporting it home to you.
If the cost of exporting the vehicle is a concern for you, a car broker can give you a quote to let you know exactly what your expense will be. Transportation costs can either make purchasing a vehicle at auction an even better buy or one that is more expensive than you ever imagined. With the cost of exporting to rise over the next year, it is more important than ever to find the best rates from a reputable shipping company that you can rely on for service and complete visibility. It could mean the difference in paying a few hundred dollars to transport your vehicle purchase or several thousand. You never want the cost of shipping to exceed the price of your car. Also factor in exchange rates and market forces in your destination country.