#Japan #Nagoya #Used Car Market #Fabric Holdings #Car Selection

Overview of the Used Car Market in 2025

As we move into the first half of 2025, the used car market is witnessing an increase in trade volume, yet sourcing vehicles remains a significant challenge. The company Fabrica Holdings, through its subsidiary Fabrica Communications, operates the used car information site "Car Selection Dot Com". This report compiles various statistics related to both new and used car registrations for September 2025.

Trends in the Automotive Sales Market (September 2025)

In comparing August and September, new car registrations rose to 142.2%, while used car registrations increased to 118.5%. This trend aligns with seasonal patterns seen in previous years, where both new and used car registrations experience an uptick from August to September. Notably, compared to last year’s figures, new car registrations decreased to 97.6%, while used cars edged up to 106.7%. After three months of lower new car registrations, the market appears to be influenced by last summer's shortages due to the pandemic, resulting in a rebound for used vehicles.

Registration Statistics

Data compiled from the Japan Automobile Dealers Association and other industry reports indicate a clear upward trend in used car registrations, reversing from the previous low levels.

Market Dynamics and Sourcing Environment

Although the volume of used car sales is on the rise, the types of vehicles in circulation heavily lean towards newer models and popular brands. Factors contributing to this trend include a structural decrease in the supply of "five-year-old" vehicles due to reduced new car sales during the Covid-19 pandemic and increased export demand driven by a weaker yen. Consequently, the market is experiencing a rare scenario of rising supply alongside scarcity in affordable sourcing options, pushing prices higher.

Currently, the used car market prices remain elevated, making it challenging for smaller dealerships to maintain inventory.

Auction Market Trends

Conversely, the used car auction market is observing both a rise in the volume of auctions and advancements in digitalization. The USS reports a 15.9% increase in auction listings for the first half of 2025, marking a record high. The transition to digital platforms has improved efficiency, while demand continues to focus on popular and high-demand vehicles leading to fierce bidding competitions. The auction closing rate stands at 65.6%, slightly declining from previous years, with average sale prices stabilizing at approximately 1,208,000 yen.

Market Outlook

The used car market is simultaneously growing in volume while sustaining high prices. Popular models continue to attain premium pricing, while less popular options see declines. According to Teikoku Databank, the first five months of 2025 have seen a concerning rise in bankruptcies among used car dealerships, reaching 50 cases—1.5 times higher than previous years—signifying deepening challenges in sourcing and financial management.

Effective inventory management and sourcing strategies remain vital for dealerships aiming for stability in this fluctuating market influenced by currency and export trends.

Insights from Car Selection Dot Com (September 2025)

Analyzing the used car market trends with insight from Car Selection Dot Com, we see significant shifts in demand for domestic vehicles. This analysis ranks domestic cars sold in September 2025.

Sales Rankings by Body Type

Currently, lightweight vehicles hold the top position in sales, demonstrating resilience. However, mini-vans have seen a decline in market share, overtaken by compact and hatchback styles.

Sales Rankings by Model

The Toyota Prius maintains its position as the top-selling model, while lightweight vehicles form a substantial part of the top seller list.

Supporting Dealerships

Car Selection Dot Com issues a detailed monthly retail data report for its subscribing dealerships. This analysis includes popular models across different body types and allows dealerships to monitor sales distribution by age, mileage, price range, and color.

In this dynamic market, it's crucial for dealerships to adopt agile operations through data analysis to effectively respond to changes. With over two decades of expertise in the used car industry, Car Selection Dot Com is well positioned to provide valuable insights to dealers.

For more information, visit Car Selection Dot Com.