[Toyota] Used Land Cruisers fetch over double new price amid Toyota shortage

[steveluv]

https://asia.nikkei.com/Business/Automobiles/Used-Land-Cruisers-fetch-over-double-new-price-amid-Toyota-shortage?utm_campaign=GL_JP_update&utm_medium=email&utm_source=NA_newsletter&utm_content=article_link&del_type=4&pub_date=20220811085958&seq_num=14&si=44594

Used Land Cruisers fetch over double new price amid Toyota shortage
$129,000 resale price shows car buyers willing to pay more to skip waitlist

New orders for Land Cruisers have been suspended in Japan because production cannot keep up. (Photo by Yuki Nakao)
KYOHEI SUGA, Nikkei staff writerAugust 11, 2022 03:17 JST

NAGOYA, Japan -- Resale prices of some Toyota models have topped what new ones sell for as Japan's top automaker keeps car buyers waiting.

The median price of the 2022 Land Cruiser ZX reached 17.05 million yen ($129,000) in late July, more than double the manufacturer's suggested price for the gasoline version of the popular sport utility vehicle, according to used car website operator Proto Corp.

Price inversions like this for Toyotas, which reflect the automaker's struggle to produce cars on time amid a global chip shortage, are unusual in their extent, market watchers said.

"There have been instances of localized spikes in prices for rare and popular cars, but I've never seen it happen for this many models," said Yasuyuki Matsui, a director at Nagoya-based used car dealership group Goodspeed.

For the Alphard, one of Toyota's largest minivans, the median price for the hybrid 2021 Executive Lounge S version was 8.25 million yen, above the new-car price of 7.75 million yen.

Some Harrier and Corolla Cross cars cost more used than new, depending on the model year and grade.

Some car buyers are clearly willing to pay more to drive a slightly used Toyota now than wait for delivery of a new one.

Toyota Motor's order backlog in Japan stands at around 1 million vehicles -- roughly a third of its annual domestic output. Delivery time is estimated to be more than four years for the Land Cruiser and nearly a year for other popular SUVs. Besides the chip shortage, COVID-19 lockdowns in Shanghai this year have had a lingering impact on Toyota's supply chain.

Overseas car buyers are helping drive up prices in Japan, Matsui said. Used car dealers often auction cars to other dealers.

"Buyers exporting to wealthy customers in emerging economies pay high prices," one seller said.

Japan-only Toyota models like the Harrier are gaining popularity among such overseas buyers, who may face wait times to buy Toyotas in their local markets, auto industry watchers said.

The boom in used cars is not limited to Toyota. Some other brands, such as Suzuki Motor's popular four-wheel-drive Jimny, are fetching higher-than-new prices. But Toyotas have long been known for their stable resale price, so the shortage-driven increases stand out more.

New orders for Land Cruisers, Alphards and Harriers have been suspended in Japan because production cannot keep up, and there is no sign of when they will restart.

"The current models have for practical purposes been discontinued," said the head of one dealership.

[Jamesc]

I also pay more for 1 year old used cars.

I will buy at a higher price than what the seller bought!

We are living in inflationary times.

[inlinesix]

Nov 2021 Land Cruiser ZX with 2.5k km

https://www.goo-net-exchange.com/usedcars/TOYOTA/LAND_CRUISER/700052024630220807002/index.html

JPY 18.7m => SGD 192k

Brand new unit cost JPY 7.3m => SGD75k

 

[Inlinefour]

my Preloved underwear can sell double the retail price bo

 

🙈🙉🙊

[D3badge]

What is the waiting time for new car in Singapore now? 
 

maybe should checkout car show at expo tomorrow on the waiting time haha

[inlinesix]

16 hours ago, D3badge said:

What is the waiting time for new car in Singapore now? 
 

maybe should checkout car show at expo tomorrow on the waiting time haha

Most countries is 1 year, minimum.

In Sg, likely to be ready stock from PI

[RenanLodi]

On 8/12/2022 at 9:31 AM, steveluv said:

Toyota Motor's order backlog in Japan stands at around 1 million vehicles -- roughly a third of its annual domestic output. Delivery time is estimated to be more than four years for the Land Cruiser and nearly a year for other popular SUVs.

Besides the chip shortage, COVID-19 lockdowns in Shanghai this year have had a lingering impact on Toyota's supply chain.

Overseas car buyers are helping drive up prices in Japan, Matsui said. Used car dealers often auction cars to other dealers.

"Buyers exporting to wealthy customers in emerging economies pay high prices," one seller said.

Japan-only Toyota models like the Harrier are gaining popularity among such overseas buyers, who may face wait times to buy Toyotas in their local markets, auto industry watchers said.

The boom in used cars is not limited to Toyota. Some other brands, such as Suzuki Motor's popular four-wheel-drive Jimny, are fetching higher-than-new prices. But Toyotas have long been known for their stable resale price, so the shortage-driven increases stand out more.

New orders for Land Cruisers, Alphards and Harriers have been suspended in Japan because production cannot keep up, and there is no sign of when they will restart.

"The current models have for practical purposes been discontinued," said the head of one dealership. Unfortunately current dealers don't follow what we call as MSRP (Manufacturer’s Suggested Retail Price). Here are some more details about it https://priceva.com/blog/manufacturers-suggested-retail-price-msrp. 

Toyota used to be well-knowwn for its great value for money ratio and it is a pity to find out that even this reputable Japanese manufacturer couldn't cope with the international pricing hysteria 😞

Edited September 8, 2022 by RenanLodi