There seems to be a myth going around in the US that people in Japan must change engines every 4 years or so. I first heard this from a dude in my class in 2001. I asked him to explain. This is what I was told.
In Japan, the regulations for keeping cars are so stringent that people end up having to either buy a new car or to change to a new engine.
It's certainly true that it's more expensive to keep a car there than in the US; however, I'd never heard of such a story. I do hear about people swapping engines because they want to but not because of some regulation. Besides, it's actually more tedious going through the paperwork to finalize the change. If that were to be true, it's cheaper to just buy a new car.
Actually not quite. It is undoubtedly true that people changed cars every 4 or 5 years. Other than the fact that the cars are still in good working condition, the lack of demand for some of them may lead the auto industry to just sell parts off the car. That may be how and why people in the US are able to get used engines that are in fairly good condition from Japan. It would normally be inconceivable for one to get rid of a car that's working just fine.
So what's going on? In Japan cars need to get approved by the local state (we call prefecture) that they are safe to drive. Approval in one location is fine regardless of where you plan to go or use the car.
This inspection takes place after the first 3 years and every 2 years thereafter. Many consumers who let the car dealer do all the paperwork (at an extra cost) may not even be aware that brand-new cars are also inspected. They are inspected before the car is delivered. Proof of inspection is a square sticker normally slapped on the inside of the windshield just behind the room mirror. There's a big number on it to indicate which month it was issued. The stickers have different colors, depending on which year they expire.
This inspection by the Ministry of Transportation actually does NOT guarantee that the car is safe. Isn't that strange? They're not around to take responsibility; they just need taxes. Anyway, this inspection does not negate the need to have one's car checked or worked on by the user themselves or by the dealer on a regular basis, generally every year.
Another thing to keep in mind is the consumer psyche. There's lots of advertisement taunting drivers to change to the new and improved model. Automakers used to introduce full-model changes every 4 years! The dealers basically call up or approach the present owners of Camry, for example, and tell them that the new one is due soon or something of that nature. They also know when each of their customer's cars need to get 'inspected.'
Now most would wonder how they could afford changing cars every 4 or 5 years or so. Here's the scoop.
My people are too lazy to check the cars themselves or to take the car to the Ministry of Transportation, when the time comes, to get their sticker. Application costs 1400 yen (I think). The rest of the expenses are basically the 'special' costs incurred by the dealership in order to ensure that it passes and that they keep a business going. The owners let the dealerships do all the work and that has led the auto industry to take it for granted. Their business is guaranteed, why not raise the price?
From that, people tend to abhor having to pay exorbitant costs when the time comes. Instead of putting it through a second inspection (3 years + 2 years), they opt to trade in their car before those 5 years are over. That's where that number comes from.
Things were actually worse when cars needed to get inspected every year after the 5th! After a long-awaited consumer outcry, the 3rd inspection and after was allowed to last 2 years. It may be possible that they still expect yearly inspection for cars older than 10 years. I forget.