Toyota USA Not Selling New Cars to Canadians

[mahfia]

Hi, sorry long...

As posted elsewhere, it is currently cheaper to buy many vehicles in the USA and then import the car. We would like to investigate our options before buying locally.

Read on this board about a successful import of a Subaru WRX STI - and how Subaru allows/tolerates cross border purchases. And Toyota honours USA warranties (and Honda doesn't).

However I contacted 4 Toyota dealers in Seattle and 1 in Montana and they said Toyota USA does not allow sales to Canadian residents.

They best they wrote they could do was sell to us a used car - which would be fine - except there are very few used of the model we are looking for - a recent '06 or '07 Toyota V6 RAV 4. Plenty of I-4s though.

Or they said "Just have my Seattle based cousin buy it from them". They added, "he'd title it in the USA (which I found is how TMC tracks this) , and we'd simply buy it from him". However he'd (we) would have to pay the Washington state tax (which out- of-staters don't have to pay).

I also guessed TMC could easily have him sign a non-export agreement (prohibiting sale of 'our' RAV4 to anyone intending to export it from the USA). Exactly what Honda Canada did to us when we bought our Odyssey 4 years ago (but the reverse of course). So my cousin wouldn't be able to 'sell' = 'change title' back to us.

So I called to Montana, as they have no state tax. Same reply - sorry can't sell to you. "Its a ton of paperwork, and we risk repercussions from TMC... (reduced or poor allocations for example, I guess)".
"
However I thought out loud "maybe a Montana citizen or better an exporter could buy the car, and we buy it from them". The sales rep figured "not likely".

Note: the savings on this car are only in the $2k cdn range (unlike the $8K TO $14K gap on pricier vehicles), so not a lot of $ to play with - re: a fee to an intermediary. BTW - I was looking forward to picking up the car and driving it over the border - as posted on this board...yes it is complicated by do-able.

Does anyone have suggestions to get this to work? ie a contact in USA, or a leasing company in Calgary that could get this deal around the barriers? Or a lawyer willing to take on a GIANT? re: encouragement - on the www.Naata.org site there is a link to a succcessful $35M class action lawsuit against Toyota for preventing export of cars FROM Canada to USA, a few years back.

Thanks, Jeff

BTW - The RAV4 is the first choice of my wife- tons of power -269hp, new, reliable, 7 seats total for the 3 kids and their friends, good on (regular) gas and doesn't drive like a tank. An excellent choice IMHO.

[benyl]

Personally, I wouldn't bother with the hassle for $2K. don't forget time off work for driving, etc.

Are you paying cash or financing? The Finance rates from the canadian dealer are likely better than what you can get from a bank for a US car. Also, the dollar still fluctuates and timing is important for when you exchange $30K+. You $2K can be eaten up by the exchange difference from one day to the next.

[sputnik]

My uncle bought a Trailblazer SS from the US by wiring his friend in Warroad MN the cash and then picking it up once his buddy got the title.

Saved himself $9000 CAD in the process.

[DoubleLP]

Originally posted by sputnik
My uncle bought a Trailblazer SS from the US by wiring his friend in Warroad MN the cash and then picking it up once his buddy got the title.

Saved himself $9000 CAD in the process.

Well the SS is a $50,000 CDN SUV compared to a $30,000 CDN Rav4. Big difference. And as he stated earlier there is not much price difference with his choice compared to a more pricier vehicle such as your Uncle's SS.

[Xtrema]

Too much work for $2K. If you're that hard on cash, just go buy a I4.

[mahfia]

Re: hassle/savings not worth it.

Yup exactly the sentiments of my wife. If Toyota allowed this the $2k would cover a mini-vacation to Vancouver and I'd run down to Seattle to pick it up. The kids have a week off school coming up.

I just hate the dickering at the dealership level.

Thanks for your feedback.

[creeper]

Why don't you use that cash and get something used, but way better, like a toyota sequoia or something. It's brutal when people go out and spend money on a new car, which is pretty shitty, rather than buy a used, but far better vehicle.

Get a Sequoia baby, those are awesome.

[Weapon_R]

You guys must all be rolling in the cash. $2k can be better spent for the little amount of extra work. Try and negotiate a better price and buy your wife and kids something nice with the money saved. Sure beats giving it to a local dealership instead.

[ninjak84]

Originally posted by Weapon_R
You guys must all be rolling in the cash. $2k can be better spent for the little amount of extra work. Try and negotiate a better price and buy your wife and kids something nice with the money saved. Sure beats giving it to a local dealership instead.

You value money more than your time.
I value my time more than money.

I was looking at purchasing a used Lexus IS300 from the States, in order to save around $3,000 on the total cost. After some research, importing is out of the question. Travel, inspection, transport, paperwork, and insurance issues are not worth anywhere close to the savings.

Rolling in cash? Not as much as I'd like to be....
Using my money to spend my time better? Every day

[googe]

Originally posted by ninjak84


You value money more than your time.
I value my time more than money.


So you are saying you dont have a job, then?

[mahfia]

re: used vs new
I agree with you; as in my first choices for her were 2-3 year old:
- Honda Pilot
- Volvo XC90
- Acura MDX
- Toyota Highlander
Based on her desires for a good handling, peppy, non-brute-ute, upmarket, 7 seater SUV. We tested the first three.
Lots of choices around the 30-35k mark, and easily found in the USA for even less.

re: subject: I did find out that Canadians are buying new USA Toyotas, but it must be through a broker. Pretty rare though. Just another level of uncertainty and cost.

Re: cash vs cash flow
We are leaning to leasing, so the initial hit is less than $1500 and the monthlies being $655 (still high, any tips on how to negotiate a lease?)

Rather than liquidating our stock investment and taking on a line of credit. I do not work now (her houseboy & stay at home dad), so $2k is a lot for me. And flying off to pick up a car, while saving $ is a fun and adventurous bonus.

Question: assuming we did get a new car from the USA, can it be leased here, to free up our cash?

BTW: Big and biggererest: If I were the main bread winner, I'd be leaning towards something a lot bigger than our Odyssey: a huge Dodge Sprinter (diesel) converted camper as a daily driver and weekend and summer escape-mobile. And use it to barter for a trades with families for a similar in Europe. But I don't have $100k extra.

re: negotiating for a RAV4 V6...reading on forums, seems most people are getting $500-$1000 off of MSRP (us included), but on both sides of the border, others are getting $1500-$2300 off MSRP. This has to come down soon, in theory, as competition heats up: re: CRV, Outlander and Maxda CX9. We have to buy soon, as she is driving a borrowed car. We will hammer, but when, see next:

Lastly: Any truth to the urban legend that the best time to buy from a dealer is the end of the month, as their sales targets have to be met?

[HRD2PLZ]

I value my time and my money. But I wouldn't bother with the hassle of purchasing a vehicle in the US to save $2-3K. If it was in the neighbourhood of $8K plus then of course I would :D

I would probzbly just buy it using our Scottsdale, Arizona address and bring it up from there.

I don't think you will be able to lease a US vehicle with a Canadian address. If you are leasing, why not just try and negotiate the $1000 - $1500 off of MSRP and forget about the rest. Chances are you will probably return the car to Toyota at the end of the lease anyway.

[ninjak84]

Originally posted by googe
So you are saying you dont have a job, then?

:confused:

So you are saying your favorite color is orange?
You lost me.

[Weapon_R]

Originally posted by ninjak84


:confused:

So you are saying your favorite color is orange?
You lost me.

He's saying that unless you make 2-3k every couple of days at work, saving that money by importing is worth it. People don't understand how simple it is to import a car, let alone a brand new one.

[nadroj23]

oh it is really easy to import a car........all you have to do is have everything ready before you pick the car up, when i imported my old car, we have insurance (temporary), we could use the Washington plate for 3 months after importing into canada. No problems if you know what to do with all the paperwork....and everything. its seems like a lot but either way importing or not just as much paperwork may needed to be done.

[ninjak84]

Originally posted by Weapon_R
He's saying that unless you make 2-3k every couple of days at work, saving that money by importing is worth it. People don't understand how simple it is to import a car, let alone a brand new one.

Oh, now I see...
Well no, I don't make $1,000 a day. That would be nice though!

Maybe it's "worth it" to googe, and maybe the papers are "simple" to you Weapon_R, but it's not for me. Aside from the travel and transport worries, I don't even get to look at or drive the car.
It's just as lame as if I tried to buy something JDM. Why would I buy something used when I can't see or drive it? Fuck that. I won't do it with a 2001, let alone the guy who buys a 1991 JDM and expects it to come in good shape. :rofl:

[googe]

Originally posted by ninjak84


Oh, now I see...
Well no, I don't make $1,000 a day. That would be nice though!

Maybe it's "worth it" to googe, and maybe the papers are "simple" to you Weapon_R, but it's not for me. Aside from the travel and transport worries, I don't even get to look at or drive the car.
It's just as lame as if I tried to buy something JDM. Why would I buy something used when I can't see or drive it? Fuck that. I won't do it with a 2001, let alone the guy who buys a 1991 JDM and expects it to come in good shape. :rofl:

No, you said you value your time more than you value money. I meant, sarcastically, obviously that isnt true or you wouldnt give up your time for 8 hours a day 5 days a week to make money (assuming you work full time).

If the thread starter thinks its worth it to him to save a few grand by doing a little paperwork and going for a drive, then thats what works for him.

Not enough people offering the guy some advice and too many people giving their 2 cents about something he didnt ask for :nut:

[Khyron]

Have you checked that you will have warranty here? Corvettes and Porsches are close to 30% cheaper in the States and that's how some dealers are trying to block it. No warranty up here on a US car unless you're a US citizen. How legal that is, I have no clue.

Khyron

[CalgarySupra]

buy it from los angeles i do it all the time

hollywood toyota

[broken_legs]

Im really interested in this thread.


Someone please tell me if they find a dealership that will sell NEW to Canucks.

[clem24]

There was a dealership by Buffalo. Forget the name. Anyway, their stance is they cannot sell to Canandians NEW cars, only used. However (and they implicitly stated "read between the lines"), per them, Toyota, nor the dealership, actually check on the US address given to them. So now you just have to find a dealership willing to co-operate.

But like the above, you're buying a RAV4. I think these are still built in Japan, are they not? Then you're subject to ~6% duty on top of GST. Have you factored those costs in? Also, flying down there/driving down, eating, hotel costs... Those don't come cheap. For $2,000, it is almost enough to persuade me just to buy Canadian (to have km, Canadian spec, etc...). Anything more (like say $3k and up) then I'd go to US. My dad's Van, he saved about $10k (was brand new). My Subaru, I probably saved about $5-6K, but ONLY if I bought from a dealership used. If I bought from a private sale here, my savings would probably only be about $2-3k at most, but my issue was that I couldn't find my car in the specs I wanted.

If you're buying used, I'd just buy from private sale locally to avoid GST, and you'll probably come out to something close to what you'd be paying for a used RAV4 from a US dealer.

My 2 cents.

[mekeni]

did you factor in tax/gas/lodging/food/time?

for $2K savings... I would buy it from here, plus you'll probably get free maintenance (oil change) here.

[Mangina]

2K is not worth the hassle.

[autosm]

Why are Toyota dealers here selling US and for that matter JDM stuff ?

What a bunch of bull shit . Phone around you will find one that will sell to you. I was told the dealers out of the major centers will sell to you.


Try and get a used 07 and save even more money .

[Toms-SC]

Noobs: This thread is over a year old. This is no longer a problem.

[RiCE-DaDDy]

Originally posted by googe


So you are saying you dont have a job, then?

What alex is tryin to say is, anything lost can be found again (money) except for time wasted.

[dwaten]

The reason Toyota tries to prohibit US dealers from selling to Canadians is simply a way of maintaining a significantly higher profit margin in Canada. For instance, on the average Tacoma sale, Toyota makes twice the net profit on Canadian vs. US sales.
In addition , the dealers and salespeople make a bit more.

This pricing is a carryover from the old days of the $.70 when there was a reason for the price difference. Although all of the other manaufacturers have since adjusted their prices and don't stop US dealers from selling to Canadians, Toyota has managed to maintain the different pricing which can be nearly 25% on some vehicles.

This practice is apparently a contravention of NAFTA and is also being investigated as a discriminatory practice by some US state
legislators.

In the meantime, we of course have the choice of not buying Toyotas however we continue to be treated like suckers unless we speak out.

Cheers

[A790]

Originally posted by dwaten
The reason Toyota tries to prohibit US dealers from selling to Canadians is simply a way of maintaining a significantly higher profit margin in Canada. For instance, on the average Tacoma sale, Toyota makes twice the net profit on Canadian vs. US sales.
In addition , the dealers and salespeople make a bit more.

This pricing is a carryover from the old days of the $.70 when there was a reason for the price difference. Although all of the other manaufacturers have since adjusted their prices and don't stop US dealers from selling to Canadians, Toyota has managed to maintain the different pricing which can be nearly 25% on some vehicles.

This practice is apparently a contravention of NAFTA and is also being investigated as a discriminatory practice by some US state
legislators.

In the meantime, we of course have the choice of not buying Toyotas however we continue to be treated like suckers unless we speak out.

Cheers
Last post was 3 years ago...

[Redlyne_mr2]

Originally posted by dwaten
The reason Toyota tries to prohibit US dealers from selling to Canadians is simply a way of maintaining a significantly higher profit margin in Canada. For instance, on the average Tacoma sale, Toyota makes twice the net profit on Canadian vs. US sales.
In addition , the dealers and salespeople make a bit more.

This pricing is a carryover from the old days of the $.70 when there was a reason for the price difference. Although all of the other manaufacturers have since adjusted their prices and don't stop US dealers from selling to Canadians, Toyota has managed to maintain the different pricing which can be nearly 25% on some vehicles.

This practice is apparently a contravention of NAFTA and is also being investigated as a discriminatory practice by some US state
legislators.

In the meantime, we of course have the choice of not buying Toyotas however we continue to be treated like suckers unless we speak out.
Cheers
I'm not sure where u got all your information but it's wrong. Plain and simple it's all about buying power and taxation.

[alloroc]

Originally posted by Toms-SC
Noobs: This thread is over a year old. This is no longer a problem.


Originally posted by A790

Last post was 3 years ago...

:rofl: this thread won't die. Have to give them credit for searching though.