To import cars from Japan to the USA, you’ll need to go through the following steps:
For many years, cars from Japan have been a dominant force in the U.S. auto market. Consumers crave these vehicles for their dependability, modern design, and fuel efficiency. What consumers don’t see is how these popular cars make it to the U.S. from Japan. Before embarking on this journey, there are specific steps you need to follow and be aware of.
In our step-by-step guide, we explore key details related to each part of the process. You’ll have the right information and a partner to help you successfully import your vehicles from Japan to the United Sates.
The first step in the process is arguably the most critical, as it will affect every other part of the importing process. Every country differs in terms of safety and emission standards for on-road vehicles.
In the U.S., these standards are maintained and enforced by the Environmental Protection Agency (EPA) and Department of Transportation (DOT). Vehicles must be compliant with the regulations of both of these agencies to be legally driven on public roads in the U.S.
To confirm whether your vehicles meet EPA emission standards, you’ll want to look for an EPA vehicle emission label. While they’re often referred to as an EPA sticker, the proper title for them is Vehicle Emission Control Information.
These labels contain information that outline key details about the vehicle in terms of EPA emissions compliance. Information listed on the label includes:
In most cases, this label can be found on the engine compartment, on the underside of the hood, or on the strut tower plate. Motorcycles will typically have the label under the seat or on the frame of the bike.
If the label isn’t present on the vehicle, you’ll need to take some additional steps to determine if the vehicle in question is actually compliant.
You can start by contacting local dealers carrying the same make and model about obtaining a replacement label for import. Another option is to contact the manufacturer directly.
Fortunately, newer vehicles are most likely to have an EPA emissions label. Older cars are more likely to have stickers that are missing or unreadable. In the event your vehicle isn’t compliant, you’ll need to go through a different process than the one outlined below.
Cars that are older than 21 original production years are excluded from EPA clean air act regulations. A vehicle can also be excluded if they were manufactured prior to EPA regulations being in effect for the class it falls under.
However, an car that’s older than 21 production years, but has modern replacement parts, won’t be eligible for this exclusion.
Our team of Licensed Customs Brokers can walk you through the steps of determining a vehicle’s compliance in the case of a missing label. We’ll guide you through the entire process of what’s needed to legally import cars from Japan to the U.S.
You’ll also need to make sure your vehicles are compliant with Department of Transportation (DOT) requirements. The actual requirements are referred to as the Federal Motor Vehicle Safety Standards (FMVSS). Just like the EPA emissions sticker, compliant vehicles will include a FMVSS label stating compliance.
The FMVSS label can be found on the driver’s side door. Don’t stress if your vehicle is missing a FMVSS label. It may be possible that your vehicles do conform to the FMVSS, but since they weren’t originally manufactured for the U.S. market, are simply missing the label.
In any case, you’ll need to hire a Registered Importer (RI) to confirm the vehicle’s conformity with FMVSS. Cars that aren’t in conformity can be brought into compliance by the RI. Afterward, they’ll post a DOT Conformance Bond that’s equivalent to one and a half times of your vehicle’s dutiable value.
Similar to the EPA, cars that are older than 25 productions years can be imported without regard to FMVSS standards. We’ve included a list of popular Japanese car models that are now 25 years old or older.
These cars will also qualify with the EPA’s 21 production year exclusion. If you’re unsure about the age of your Japanese car, then one of our Licensed Custom Broker can assist you.
After you’ve determined the compliance or non-compliance of your vehicles, you’ll want to confirm what your responsibilities are related to importing. Responsibilities can range from paying insurance, to covering the costs to transport the car from Japan.
Not having a clear understanding of your responsibilities can lead to major issues, including:
Below, we explain how to determine what your responsibilities will be for your shipment.
Before you agree to purchase your vehicles, you’ll need to sign a purchase order with the foreign supplier. Within your purchase order is an area that includes the shipping terms, commonly referred to as Incoterms®.
Short for international commercial terms, Incoterms® are displayed as a group of 3 uppercase letters. Since there isn’t a standardized format for purchase orders, the location of the shipping terms can vary.
In total, there are 11 unique Incoterms® rules:
Each individual rule outlines the responsibilities for the buyer and seller regarding the shipping process. For example, in a DDP shipment, the seller covers the costs of goods to the port of unloading, as well as the task of customs clearance for the export and import portion. On the opposite end of the spectrum, in an EXW shipment, the buyer covers the majority of costs and responsibilities.
Taking a wild guess at who’s responsible for any of the many details involved in the cost or coordination of your vehicle import will lead to problems. Using Incoterms®, the accepted international standard, will help you and the Japanese exporter avoid confusion.
Our team has a deep understanding of Incoterms®. Before you agree to purchase your vehicles from Japan, speak to our experts. We’ll help you identify which shipping terms will be most beneficial for your shipment.
You can also check out our article, What Are Incoterms®? to learn more.
Surprisingly, vehicles are fairly straightforward when it comes to calculating the duty percentage.
Most cars are subject to a duty rate of 2.5% of their value. Trucks are dutiable at a rate of 25%, while motorcycles are either duty-free or assessed at a rate of 2.4%.
With that being said, some vehicles can be subject to a gas-guzzler tax. This only applies to vehicles with a fuel economy rating less than 22.5 miles/gallon.
In addition to import duty, you’ll also need to pay a Merchandise Processing Fee (MPF). This fee is 0.3464% of the value of your vehicles. However, the fee has minimum and maximum threshold.
Since your cars will be imported via ocean, you’ll also need to pay a Harbor Maintenance Fee (HMF). The HMF is 0.125% of the value. There isn’t a minimum or maximum threshold for this fee.
While the fee amounts for vehicles are fairly clear, it’s important to ensure that you have an accurate value for your vehicles. Listing an incorrect, lower value will act as a red flag for CBP agents and cause issues for your imports.
Our personalized approach and commitment to customer service will help you understand your unique customs needs.
Once you’ve determined how much of the shipment you’ll be responsible for and what your fees will be, you’ll need to find someone to ship your vehicles. It’s also essential to note that your vehicles must be spotless at the time of import.
This requirement is to ensure that foreign soil, and any pests it may contain, isn’t present on the vehicles. Imported vehicles that aren’t clean are at risk of being detained or exported back to the shipper.
There are a couple of ways to go about finding a company to ship your vehicles:
Reaching out to individual carriers is effective, but it isn’t necessarily the most efficient method. Freight forwarders tend to be the better option because they work with multiple carriers, which makes it possible to significantly speed up this step.
They tend to have pre-established rates for specific commodities and lanes. This makes it so that when you can contact a freight forwarder, they can simply compare the details of your shipment to their catalog of established rates and quickly find the best option for you.
In addition to providing you with customs clearance services, we have an exclusive partnership with freight forwarder, R+L Global Logistics. This means that you’ll be able to get everything you need to import your cars from Japan to the U.S. in one place.
Better yet, thanks to our partnership, you’ll benefit from reduced costs when you utilize both importing and freight forwarding services. To learn more about what costs you can expect to pay, check out our article on import costs from Japan.
Along with step 1 of our process, steps 4 and 5 are often the next most challenging tasks. Import documentation on its own is confusing and complex. Importing cars adds another layer of difficulty with a couple of additional forms that need to be completed and provided to CBP.
This form from the EPA serves as a document outlining the vehicles’ compliance with their emission control requirements.
Information about the vehicles required on the form includes:
In addition to the above details, the form also requires notice of which condition the vehicles are compliant to. If the vehicles are not compliant with the emission standards, the proper condition for exemption is required.
In total, there are 21 conditions and codes to choose from. Selecting the incorrect compliance code can delay your shipment and lead to further issues.
Some car parts require specific documentation. Check out our article on importing auto parts from Japan to learn more.
To cover the FMVSS side of compliance, importers need to complete and submit NHTSA Form HS-7.
This form is similar in nature to its EPA counterpart in that it requires basic information about the vehicles being imported. The form also requires the selection of a specific condition under which the vehicles are compliant or non-compliant with the FMVSS.
There are a total of 13 different boxes that you’ll have to review. Some boxes also have lettered sub-fields to select. If you’re not sure which options best describe your vehicle, then one of our Licensed Customs Brokers can help.
In addition to the vehicle-specific forms discussed above, there are documents required for ALL imports into the U.S. that also need to be completed.
Standard documentation required for your Japanese car import includes a:
All the documents above are critical to a safe and hassle-free car import experience. The ISF Filing is a requirement specifically for ocean shipments. It’s also a particularly punishing requirement when it’s not completed and submitted properly. Late or missing ISF Filings are subject to a standard $5,000 fine for each violation.
Gathering and completing all of these required forms is one of the most tedious and time-intensive aspects of the process. Thankfully, our team can help you quickly locate and complete all of these forms. In fact, you can buy a customs bond for just $235* directly on our site.
A Motor Dealer License is required for individuals or businesses that buy, sell, lease, or deal three or more vehicles at a time. While the CBP and other regulatory bodies that oversee vehicle imports don’t require the document, chances are your local DMV will need to verify you have one.
Therefore, you should obtain this document if you plan on performing any of the four tasks mentioned.
In addition to finding and completing the necessary documentation for your import, everything also needs to be submitted to CBP in accordance with their timelines and submission requirements. This is the stage of importing most prone to mistakes, especially if you’re a new importer.
While it is possible to file these documents directly with CBP at the port of entry where your vehicles will arrive, we strongly suggest working with a Licensed Customs Broker.
When submitting documents directly to CBP, you’ll need to sign up for various data portal accounts, and in some cases submit paperwork in person at the port of entry. Additionally, making mistakes when submitting the paperwork through CBP’s portal will slow down the process.
Licensed Customs Brokers have access to specific tools that are designed to make the process simple and quick. On top of that, these brokers have experience in using these tools every single day. Working with a Licensed Customs Broker and letting them handle the heavy lifting will take the burden off your shoulders.
Importing an electric vehicle or related components? Check out our article on EV imports.
Japan has long been a top five country for vehicle imports in the United States. There are numerous brands that produce cars, trucks, and SUVs specifically for export to North America.
Provided by Subaru, Honda, Nissan, Toyota, and Mazda
While each of these Japanese car brands exported numerous vehicles to North America, most of them don’t differentiate between shipments to the U.S. and Canada. Nonetheless, we’ve included the data to give you an idea of the amount of vehicles that were sent to this part of the world.
It also shows that there is a well established relationship between the two countries, which makes it easier for those wishing to enter the business.
There is no numerical limit on the amount of cars you can import from Japan. However, the duty rate you will have to pay increases based on the volume of cars you import into the country.
The percentage of a duty rate is based on the total purchased value of the shipment. If you’re importing two or more cars at once, chances are your duty rate is going to be higher.
At USA Customs Clearance, we have a dedicated team of Licensed Customs Brokers and experienced importing professionals. Each one stands ready to assist you with learning how to import cars from Japan to USA. We have a variety of services to help you through this endeavor.
These include:
When you choose USA Customs Clearance, you’ll have complete access to the tools you need to ensure your shipments are successful. Get started today by reaching out to us through this site or call our import specialists at (855) 912-0406 for more assistance.
We work with you every step of the way to ensure a smooth and stress-free customs experience.
Is there any restrictions on the number of cars that I can import from Japan on my name? Also, is it mandatory to possess motor dealer license for my company to import cars from Japan for resale in USA
What cost are involved when vehicle is shipped to Jacksonville. I pay for car.. shipping and insurance? From there what is needed. I don't want a ton of unexpected charges
Hi, looking to import a car from Japan that was imported to Japan from a different country to USA, does it have to follow the 25year old vehicle rule?
I want to buy a car from Japan and their website states it is included the shipping.
Besides paying the car+ shipping cost and the agent to clear at the port , what else will I need to pay to get the car from Texas port? Will it be road ready , or I’ll have to register it to leave the port?
I would like to get a quote on the process of importing a vehicle from Japan. I am looking to buy and import the vehicle within the next 4-6 months.
Please send me information on how I can import card to the Island of Dominica
I do need help with importing my vehicle to the US. It will arrive at Long Beach,Calif