Unprecedented American tariffs or custom duties of 25% on all finished vehicles and vehicle parts imported into the USA has created the conditions for a boom in used or classic cars among American drivers. Vehicles manufactured 25 years or more before the date of import – so, June 2000 at the time of writing – are considered ‘classic cars’ under US law and are therefore exempt from the 25% tariff, being charged the standard 2.5% import duty instead.
These economic conditions could supercharge an American market already keen on classic imported European vehicles, especially vintage BMWs, Porsches, and Mercedes models, as well as Italian supercars. Some used car dealers and export businesses based in the UK and EU are sniffing an opportunity to upscale their used vehicle exports to the USA and other global markets.
If you haven’t exported used vehicles in bulk before, it’s important to consider the best shipping method for your vehicles and their customers. Whether you are planning to export 100 or 1000 or more vehicles, understanding the shipping process and selecting the best option can save you time, reduce operational risk, and minimise your shipping costs.
Container shipping or Roll-on/Roll-off (Ro-Ro)?
Container shipping vs Ro-Ro has been a lively debate in the finished vehicle logistics sector over the past few years! Historically, Ro-Ro has been the go-to solution for businesses shipping large volumes of vehicles across established international shipping lanes. In Ro-Ro, cars are driven directly onto specialised vessels or ferries and secured for the voyage, making it a good option for bulk shipments to high-volume destinations, and for larger scale operations shipping standard -sized vehicles.
However, container shipping has been growing in popularity due to its versatility and security. Cars are typically loaded into secured shipping containers at port side, which safeguards them from weather, accidental damage, theft, vandalism, and other risks.
This makes container shipping a cost-effective proposition for used car dealers and exporters, especially for those dealing with:
- Premium, high-value, or luxury classic cars
- Small-batch shipments
- Unfinished vehicles, parts, or equipment
- Multiple destination consignments or split cargo
Maximising Space Efficiency Through Specialist Racking
With container shipping, however, it’s important to make the maximum use of the available space. Efficiency matters. The more cars you can securely ship within each container, the lower your cost per unit and the more profit you will make. Shipping one or two cars per container is not going to work out cost-effective. Ideally you want to ship 4-6 vehicles per container. Our range of specialist reusable racking systems, for instance, allow maximum vehicle capacity within each container while ensuring maximum security during transport. Our systems make container shipping and used car exports work for your business, protecting your vehicles, lowering your risk profile, and allowing you to expand the global reach of your export operation.
Find Out More
To find out more about our range of container shipping racking systems and how you can benefit, please contact one of the experts at Trans-Rak today by clicking here.
Image source: Pixabay
