In China, the concept of 'Bankruptcy Vehicles,' used cars sold by companies or individuals facing insolvency, has been attracting attention. Japanese auto businesses and consumers are keenly observing this trend as the prices of these vehicles are remarkably low, leading to significant market changes. The economic pressure due to the pandemic is speculated to increase the number of such vehicles, especially in economies severely hit by COVID-19.
This subject has gained a lot of interest in Japan due to their neighboring proximity to China, their competitive auto industry, and interest in economical purchases. Japan is a country with strong societal values of economical usage and reusability, which is why 'Bankruptcy Vehicles' strike a chord with the Japanese public. Additionally, as a nation with a heightened environmental consciousness, the resale and repurposing of these vehicles instead of landfill discards fit Japan’s eco-friendly ethos.
In the US and EU, the sale of used cars due to bankruptcy is also an existing practice. However, the focus might be less emphasised due to more fragmented markets and the presence of highly competitive used car marketplaces. The unfavorable economic conditions due to the pandemic could, however, result in a similar rise in bankruptcy vehicles in these regions.