Brexit opportunity for discounted used cars

Brexit is looming and causing much consternation for some, but Autohub’s general manager for Europe Joe Barnett points out that an upside is the opportunity to buy a UK used car import at a 20% discount to its usual price, which could translate to a saving of $10,000 to $20,000.

“Trade out of UK has improved tremendously over the past two months since the Brexit debacle began, with the majority of vehicles being high-end,” he says.

“Effectively the trend for the most popular cars from the UK has stayed the same – that is high-end and light commercial vehicles, particularly high-end diesels, that can’t be sourced from Japan.” 

He adds that electric vehicles are also in demand, especially Nissan models which have historically had manufacturer backing in New Zealand.

And Autohub would be in the know as a result of its pre-clearance inspection and export centre in Felixstowe, Surrey. Established in 2012 in partnership with Pentalver UK (logistics arm of shipping line Maersk) and Japan Export Vehicle Inspection Centre (JEVIC), it has been timeous in capitalising on the growing export market for secondhand cars.

“I’m heartened to report that despite the rigorous inspection the cars have to undergo at the export centre, a mere one percent does not make the grade – despite some concerns, especially on the matter of corrosion,” says Barnett.

“The key aspect to having inspections handled offshore is that vehicles can be turned around if need be.

“It gives us the chance to inform the buyer of the facts and let them make the decision as whether to ship, repair or turn the vehicle around.

“As to the floundering pound, the prediction by some well-known pundits is that it will remain weak for two years contingent upon many variables.”

He concludes by pointing out that it looks like interest rates in New Zealand could be “dropped”, which will also affect the New Zealand dollar against other currencies and consequently the automotive industry.