Japan’s accident-damaged car dealer Tau sources, sells, auctions in Malaysia
KUALA LUMPUR, NNA – Leading Japanese accident-damaged car dealer Tau Corp. has launched sourcing, sales and auction services in Malaysia, operating an online site to tap the country’s underdeveloped transparent market for damaged vehicles.
Tau Trading Malaysia Sdn. Bhd., the Japanese firm’s first overseas subsidiary, opened this month in Kuala Lumpur. Tau has seen strong potential in the country’s used-vehicle segment, including the accident car trade, compared to other Asian nations, spokeswoman Mami Okamoto told NNA this week.
The number of accident-damaged cars in Malaysia is estimated at about 640,000, out of a total of 11 million registered vehicles as of last year, according to Okamoto.
The company based in Saitama, north of Tokyo, plans to dispatch several Japanese officials to the wholly owned Malaysian unit, which was established last November, aiming to sell 200 vehicles in the first year, she said.
Malaysia does have used-car auctions, but most transactions are completed through individual negotiation, according to a statement Tau released Tuesday.
The local arm buys accident-damaged cars from dealers, non-life insurance companies and leasing firms, putting them on sale targeting local wreckers, who later repair them for sale or break them up for parts.
It also aims to enter the second-hand vehicle market in the Southeast Asian nation while expanding operations to other neighboring countries, the spokeswoman said.
Tau traded 560,000 accident-damaged cars in its home market in the year to September 2018, holding the largest market share of 25 percent, Okamoto told NNA.
It has opened offices in Brisbane, Manila and Vladivostok, shipping abandoned vehicles to overseas markets, including Latin America and the Middle East, through online trade.