The exportation of vehicles to foreign countries can be a very lucrative business, and as such, the barriers to entry into the industry are somewhat high, mostly because there is so much information to absorb. The paperwork and the exportation process can get extremely complicated so here is a very simplified breakdown for those who are looking to get their feet wet:
The first step is to get a license to export vehicles through the Department of Commerce, Customs and Border Protection. The next step is to obtain an original Certificate of Title along with two copies for the vehicles you wish to export, which will be presented to US Customs 72 hours before exportation. There are different procedures for shipping via the various methods: ship, plane or land border port. If exporting by ship or plane, the requirements are more stringent – both the actual vehicle and Title must be presented 72 hours prior to exportation, as opposed to a land border port, which only requires Title documents 72 hours prior. So if there is some delay in releasing the actual assets (sometimes the IRS has a three day waiting/clearing period on assets seized through a criminal investigation) and you are cutting it close, it seems the best way to do it would be through a land border port. Of course, unique factors come into play in every transaction of this nature, so make sure to verify the information with each government agency you will be dealing with. Each port location has their own unique rules and regulations, so make sure to check with them first before coordinating a shipment.
You will also need to fill out a CF 7512 form, allowing Customs and Border Protection to inspect your vehicle(s), and an SED (Shipper’s Export Declaration) Form. An SED form is required for all shipments which require an export license (this would definitely be one of them). Please check with each regulating body for up-to-date and accurate information.
This blog post in no way fully summarizes the exportation process, but it’s a good springboard for obtaining additional information directly from the sources. Check the individual websites of the US Customs and Border Protection Dept, the IRS, and the Department of Homeland Security for more detailed info. Although the process is complicated, the markup rates on vehicles exported to foreign countries are often so high that the initial hurdle of getting set up and figuring out the process is worth it. For example, beginning October 12th, up for auction is a lot of 40 ATVs with a starting bid of just $100USD – one suggestion would be to ship to Japan, as there is a growing segment of the population that is obsessed with American memorabilia and goods and therefore put a premium on such items. This is just one example of the global demand for vehicles exported from the United States.
Good luck and happy bidding!
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