How to Save Money When Buying Chinese Tractors

I have been getting prices on a Jinma 354 tractor from several exporting groups in China. For the sake of the supporting dealers, I will not mention the prices here but to say the least their "factory" prices are very attractive. However, I am sure that it is not as good as the price on large volume repeat sales to dealers especially with special options. But the more I look into closing a deal to self-import the more confusion I encounter. /forums/images/graemlins/confused.gif
For example, there are various options offered by the different groups on this tractor. The one with the best base price is not with an EPA engine & shuttle shift. He wants over $700 more for these options. That makes him right up with the others. He leads me to belive that since I am not intending to resell I can legally import the non-epa and pay a small $15 epa fee. Anyone know about this? He says that I am good as long as I get it before end of . Also on the freight forwarding. The price quotes from freight forwarders on freight alone for the tractor range from $300 to $800 as LCL. One quotes around $300 LCL for # tractor but wants $250 more for shipping a FEL along with it. Some go by weight but the cheaper seem to go by CBM.

As a side note: The ZL-30 loader is slightly over half the price of a Koyker but I hear they are very inferior so will probably go with Koyker. Any ideas on that.

No freight forwarder is willing, it seems, to commit to a price because it may be a month or so before they get the tractor from the factory. Then it seem I am left with the duties & fees incured after it gets here and there is a big ? with exactly how much that will be. They say "several hundred dollars".
The groups wants the money up front before they order your tractor. Then it seems you are left to the mercy of the freight forwarders. I would think that $700-$800 for a tractor and around $ W/FEL would be the high range for the cost of getting the tractor here & cleared thru port & customs.

Yes, I know that I can order a crate tractor from several dealers here in US and Canada and save a lot of the headaches and about $ less than one assembled and ready to work. But that is still at a premium of more than $ over my maximum estimated cost incurred with importing it myself. I know some people on this forum have probably imported thier own tractors successfully and at considerable savings. Any tips please pm me. Anything to point me to a safe, reliable, and ecconomical (read "cheap") freight forwarding company for getting this done would be greatly appreciated.
Lastly, I want to say that without the dealers we would not know about these wonderful little "cheap" tractors and that they do a remarkable job in support of these here and in many other tractor forums. Its just that I'm a cheap stingy &ast@rd. /forums/images/graemlins/grin.gif
Thanks,
K Any tractor imported after Jan .06 must be EPA approved,you better be real careful as after you send in your money YOU have to get it cleared thru customs.A non-epa approved tractor can be seized and destroyed, the factory will not refund any of your money if that happens.You will also have to deal with missing and damaged parts on your own.Self importing is not as great of a deal as it used to be.When you total all the cost involved to get the tractor to you,I think you will see it's not going to save you much money if any at all.The dealers have a little leverage with the factorys because we have loads coming in all the time so we can get our missing parts ect, we also have customs brokers, bonds in place already.These tractors are a great bargain buying from a dealer that can and will support you, why would you gamble not knowing the total cost after, customs,shipping, insurance,ect.We sell lots of parts to customers that could not get any support from the factory so why not purchase from someone that is not going to have you waiting 3- months to get parts,????Sometimes I just don't understand I guess

Tommy
Affordable Tractor Sales
Bellville,Texas Hey guys, I hear what you are saying. You are voicing the concerns that most people should consider when buying a new Chinese tractor and for the average guy it is advice well given.
@Tommy, thanks for the advise about the epa engines. I figured cost in for the epa option as I suspected it was mandatory.
However, with the potential savings on the tractor I can afford to install a good Koyker or Allied FEL and still not be over the price of an assembled tractor.
As far as the warranty and dealer support. I don't give a rat's behind about the warranty.....that is the least of my concerns. Goes with being your own "dealer" so to speak. On assembly of the tractor ....I was a mechanic before I was an engineer and have few doubts about my mechanical ability. I know it will be put together and serviced with loving care...BY ME!

As for parts....the tractors are now fairly popular and there are quite a few dealers stocking parts like Tommy here. Also the local Farm Pro dealer stocks some parts and can get most others usually overnight. My main concern is the actual logistics and related costs in getting the tractor from China to Port of New Orleans.
It is ironic to note that many of the dealers of these Chinese tractors started out by importing a container of these tractors, assembling them in their shops or garages, and selling them for a profit. There usually were few spare parts around locally and sometimes little support yet the tractors prevailed on thier own merits. I am not doing this to make a profit.....just to get as much tractor as I can for the money I want to spend.

IMO even if some things would go badly I do not think I will lose so much that I would not still realize a small savings. It is a risk and If I can get a handle on the risk assesment which now is basically a good estimate on the transportation and import fees then I will probably run with it.
Thanks,
K Keep us posted on how it goes,I would like to know the total cost when it's all said and done.We have loads coming in all the time and some go without a hitch and some go to Crap
When you purchase LCL, the tractor will come in to Long Beach or LA, where it will have to clear customs.We have had LCL's sit in a bonded warehouse for weeks before the got on a truck coming to Texas.No matter what they tell you on time expect 70-90 days for delivery after they confirm your payment with no problems,remember they use your money to build the tractor with.I doubt that the tractor will come in to the port of New Orleans,but you never know.That would be 35 days on the water thru the panama canal.More cost.We have a port in Houston but it adds 20 days to the delivery time and more money.Good luck I hope things go well for you

Tommy
Affordable Tractor Sales
Bellville,Texas CajunFrog: I have toss this idea to my brother-in-law (who is in the trading business and regularly import products from china and other asian countries...not tractors) Here's the advice he gave me. Don't bother. There's no advantage in importing as an individual. There are lots of disadvantages.

It's not feasible to import just 1 tractor. It takes the same amount of effort as importing a full container of anything else. As a matter of fact, machineries are subject to more rules. There are too many things can go wrong. If you are lucky, everything go smoothly, then you save some money. But that's not free money. You worked for it. Now, if there's problem anywhere along the way, then you need to "resolve" those problems. That's more work! In some cases, if you convert the time spent into $$$, you could be getting less than minimum wage. That's for someone with lots of experience in importing products and knows who to deal with. If you deal with the wrong people, you might loose all you money and get no tractor. So, earn your $$$ from whatever you do best and buy from a dealer near you or at least in the USA. Well so far it seems like the Chinese low-balled me on the expenses associated with getting the tractor over here. That's probably why they would not give me a delivered price in that I wanted them to handle the logistics. I suspected this. Boy, they are copying the American businessman's tactics and beating him at his own game. /forums/images/graemlins/mad.gif

I got quotes from several freight forwarders and it seems the cost will be 50% higher that what I had expected and listed in my original post This is though freight forwarders here in the US. I can cut the associated cost by half but only by shipping FCL or 8 units in a 20' container. Most of the cost is not the basic freight but the fees that they charge for forwarding and to get it cleared. They appear well padded. The forwarding charge is almost as much as the freight. Now this was supposed to be direct to New Orleans but there may be motor carrier involved as you mentioned Tommy.

I am waiting on quotes from FF based in China but I do not think they will be able to do it for 30% less to get me back in budget /forums/images/graemlins/frown.gif
Will keep you guys posted.
K I have orders coming in monthly and assure you I know whats involved in getting these tractors here and cleared.I also understand you are trying to save where you can,We sell these tractors about as fast as we get them and I don't sell crated units however there are companys here that will,find you a crate seller if thats what you are wanting and get it thru one of them,you are not getting the actual costs and it's going to cost you more than you think.I have had so many customers that have told me that they would never do it again on one unit that the true cost was way more than expected.It sounds like you are set on doing it anyway,and I don't want to be the one that said "I told you so" so before you send that money off with no refund make sure that you have researched and decided thats what you want.We get hit with unexpected charges all the time X-ray charges,demurrage,FDA charges ? Remember they are going to have your money for months ahead of time and if a problem arises with clearing over here they are going to shrug there shoulders and say," We don't understand the problem "we will back with you later with some answers,we never had this problem before.

Tommy
Affordable Tractor Sales

With the rising costs of farming equipment, many farmers are turning to used tractors as a cost-effective solution. However, purchasing used tractors can be a daunting task if you're unsure how to spot reliable equipment that meets your needs. This article delves into five strategic ways to save money while ensuring that your used tractor purchase aligns with your farming requirements.

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Understanding Product Classification in Tractors

To make an informed purchase, you must be familiar with the different classes of tractors. Tractors can be classified into several categories based on their horsepower, size, and specific functionalities. For instance, compact tractors are ideal for small farms or garden operations, offering both efficiency and cost savings. Mid-sized tractors suit medium-scale farms, providing a balance of power and versatility. Always consider what type of farming work you plan to do, whether it's plowing fields, hauling loads, or clearing snow. Identifying the right classification will align your needs and potentially save on unnecessary features and costs.

Factors Determining the Cost of Used Tractors

Several elements influence the cost of a used tractor, including age, condition, brand reputation, and technology features. A renowned tractor, even when used, may carry a higher price due to its reputation for reliability and durability. On the other hand, tractors with additional technology, like GPS systems or automated features, might also see a price hike. For example, a farmer sharing a story about his search for a utility tractor found that opting for a slightly older model without sophisticated electronics significantly reduced costs, while still meeting his essential farming needs.

Impact of Production Volume on Product Cost

Manufacturers producing tractors in large quantities often benefit from economies of scale, which can reflect in lower prices for used tractors. A well-known manufacturer, with high production rates, can often market their products at more competitive prices thanks to mass production efficiencies. This benefits used tractor buyers by potentially lowering the initial price point. It's advantageous to research which brands have higher production volumes, as they might offer a more cost-effective reach for your farming investment.

Strategies to Reduce Cost When Buying Used Tractors

Buying a used tractor doesn't mean you should pay over the odds. Here are some strategies: First, consider purchasing during off-season periods when prices typically fall. Second, leverage online resources or farm auctions where reductions are common. Third, don't shy away from negotiating with dealers'there might be room for discounts or bulk-buy deals. Lastly, consider tractors with simple mechanics over modern models filled with electronic features; these are generally cheaper to maintain and repair.

Exploring Innovative Manufacturing Techniques to Optimize Costs

Innovation in manufacturing processes has played a crucial role in lowering the expenses of producing tractors. Techniques like lean manufacturing and just-in-time production help cut down waste and lower production costs. Through these methods, manufacturers can offer used tractors at better prices without compromising on quality. For instance, modular production, where parts are constructed in separate sections and assembled at the end, ensures efficiency and cost-effectiveness, ultimately benefiting the used tractor buyer.

Conclusion

While acquiring a used tractor can provide excellent value, it's essential to navigate the purchase thoughtfully. By understanding product classifications, evaluating factors affecting cost, recognizing the effects of production volumes, and utilizing cost-reduction strategies and innovations, you can secure a tractor that not only meets your farming needs but also is friendly on your wallet. Armed with this knowledge, you're well-positioned to make wise investment choices in the ever-evolving agricultural landscape.

FAQs

Q: What is the best time to buy a used tractor?

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A: Off-season periods, typically post-harvest or winter months, are the best times as demand lowers and prices are more negotiable.

Q: How can I ensure the tractor is in good condition?

A: Always conduct a thorough inspection or hire a professional to assess its condition. Look for signs of wear, check maintenance records, and test-drive to ensure functionality.

Q: Are there financing options available for used tractors?

A: Yes, many dealers offer financing options tailored for used equipment. It's beneficial to explore these to spread out the cost of the investment.

Q: Can I save more by buying older models?

A: Older models might be cheaper but consider the potential increased maintenance costs. Balance the initial savings with long-term expenses to determine the true value.

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