The JDM importing industry operates in what is known as a 'grey market', where products are sold and purchased outside of authorized trade channels approved by manufacturers.
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From exclusive parts, engine options, and even entire vehicle models that were not made available to the rest of the world, manufacturers (like Toyota, Nissan, etc.) and companies (such as tuner equipment manufacturers like HKS, Greddy, etc.) generally sell products directly to the public through dealerships or authorized retailers.
Once purchased and in the hands of buyers, manufacturers have little to no control over what the public does with these products. This is the foundation of how grey markets operate, and the modern-day JDM marketplace is no exception.
The nature of JDM cars, engines, and parts involve a simple concept: genuine JDM products must originate from and for the Japanese market. These items had to have been exported out of Japan, as they were never made available to the United States and elsewhere around the world. Some of these unique products include examples like fender mirrors, certain body kits, the Toyota 1JZ-GTE engine, the Nissan Skyline GT-R BNR32 sportscar, and much much more.
Since JDM items must be shipped out of Japan, there are various methods to properly export these goods. Some parts may require shipping preparations as simple as being put in a box, taped up, and sent off through a postal carrier. This method works fine for smaller or medium-sized parts.
Larger items including JDM engines, half cut clips, seats, and other sizable items are usually exported via a large shipping container. These containers can range from 20 ft. to over 53 ft. long and can carry over 150+ engines. These containers are placed on large freight ships that then unload at major ports like those in California, Florida, New Jersey, and more.
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THIS is how JDM engines arrive to the U.S.AOftentimes, goods like engines are stacked on top of each other with a piece of plywood or junk car hood between and underneath them, so as to balance them out and leave the oil pans and top parts of the engines undamaged (for the most part). This is both cost and labor efficient, as no packaging materials like heavy-duty boxes are needed for individual items (which would consume a high amount of raw materials and promote more waste). Goods in a shipping container can be easily delivered by truck and unloaded at a warehouse upon being released from its destination port.
Keep in mind, even though a container can include genuine JDM parts, this does not mean it is coming directly from Japan. There are various wholesalers located outside of Japan throughout the Middle East, Asia, Europe, and Australia that work with certain importers/sellers around the world (including the United States) for the wholesale of JDM products.
Engines often receive some kind of damage to certain exterior accessories like intake manifolds, sensors, breather hoses, alternators, distributors, and more. This is a major reason why JDM engine sellers will rarely ever warranty anything besides the actual engine block and internals.
Large containers also seem like an ideal method to export a complete vehicle. Although this may be possible, many countries have laws and standards in place that impose conditions over how a vehicle can be legally imported.
For example, vehicles imported into Canada must be at least 15 years old from the original date of manufacture as recorded on the chassis or VIN plate/sticker. This is in stark contrast from regulations set by the United States, in which a vehicle must be at least 25 years or older (a full ten more years than Canada) to be allowed to enter and be registered legally. Some have even cut entire vehicles in half in order to create two separate sections, to then attempt to import these items simply as 'car parts' rather than a complete vehicle. They will then weld the vehicle back together once it is imported. This may not be the most logical way to bring a car over stateside, but it is 'a' way.
Illegal or non-compliant imports of vehicles can result in heavy fines, jail time, and even complete seizure and destruction of the vehicle. There are plenty of horror stories all over the internet, whether in the United States, the Philippines, the U.K., and more.
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