Grey Market???

joe swanson · Jun 10, 2009

I'm new here so please what is the grey market??

Thanks
joe

California · Jun 10, 2009

Imported by non-official channels.

Since this is the Yanmar forum, here it means tractors produced for the Japan home market that are are retired there while still in good condition due to Japanese tax laws, then imported to the US by independent US dealers or brokers.

Different brands have different circumstances. Kubota has a legal status that lets them direct US Customs to prohibit all non-official imports, parts and all. Loads are turned away at the docks.

Yanmar has a different legal status so all they can do is badmouth independent importers and refuse to sell parts to support independent imports. They do have the ability to ask Ebay to cancel gray Yanmar auctions, (because they own the trademark) but I think that is the extent of their legal power in the US.

There is a well established third-party parts industry suporting the grays, that is independent of Yanmar. Sort of like the independent parts channels that support VW's, Mustangs, Jeeps, etc.

LMTC · Jun 10, 2009

California said:
Imported by non-official channels.

Since this is the Yanmar forum, here it means tractors produced for the Japan home market that are are retired there while still in good condition due to Japanese tax laws, then imported to the US by independent US dealers or brokers.

Not necessarily. Many grey market units coming in were retired in Japan because they were trashed to the point of being a parts unit at best. Those units tend to go from Japan to VietNam, where they go through the infamous "factory reconditioning" to then be imported to the US and frequently sold as much newer models than they actually are.

Reputable established grey market dealers can support the machines they sell as well as any dealer of new units can support theirs. Your best guide to finding these dealers is by reading online forums and then asking any dealer you consider for multiple references.