Sharjah is the ideal market to introduce the PAS777 as there is a huge trade volume of used auto engines and spare parts in the emirate, according to Maqbool Ahmad Shad, executive director of Kaiho Middle East (KME), the local subsidiary of KAIHO Sangyo Co. Ltd in Japan.
PAS777 stands for Publicly Available Specification and it labels and certifies the condition of used automotive engines and any related transmission units.
"In the PAS777, issued by BSI (British Standard Institute) Inc, we disclose information about the used engines; mileage, internal and external condition, etc. This information from the inspection is passed on to the customer prior to the purchase of used engines," he explained.
Maqbool Shad was talking to Saud Salim Al Mazrouei, Director of Sharjah Airport International Free Zone (SAIF ZONE) and Hamriyah Free Zone Authority (HFZA), during the latter's visit to KME office in SAIF Zone.
"We want to change the used engine market with the PAS777. It will lay down the product's specifications and will prevent cheap and low quality products from being traded. Hence, it ensures quality control of the market by providing the customers with the best quality product available", he added.
KAIHO Sangyo Co. Ltd is one of the biggest auto mobile recycling companies in Japan that exports 1000 containers (20 Feet container) annually to 76 countries.
"We alone import 200 containers per year to SAIF Zone", Maqbool added.
Sharjah is one of the biggest markets in the region for used auto engines. However, there is no price difference between a 30,000 km run-engine and a 300,000 km engine at the moment; all are being traded for the same price. This poses a disadvantageous situation for the customer as there is no significant difference between engines of varying quality. Through PAS 777 certification, we can avoid such a situation", Maqbool explained.
During the discussion, Al Mazrouei said that the UAE is Japan's 5th largest export destination of passenger motor cars in the world creating a huge scope for used engine trade. He also pointed out that the general trade between the UAE and Japan has been prospering.
"We had visited some automobile companies in Japan including Hino to explore the Japanese auto market in order to utilise their expertise for the benefit of both the sides," he said. Al Mazrouei pointed out that Hino, the largest manufacturer of trucks and buses in Japan, has invested heavily in SAIF Zone.
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