X, XX, Y, S and H are five of the less common but more serious damage codes on Japanese auction sheets. Unlike A (scratch) and B (dent) which record cosmetic wear, these codes cover corrosion, holes, structural rust and paint fade — damage types that can have real implications for a vehicle's safety, longevity and repairability. This guide explains every level of each code, what location they appear in matters, and exactly what to do when you see them on a sheet.
Quick Reference
| Code | Type | Severity | Concern level |
|---|---|---|---|
| X1 | Surface rust — light | Treatable | Medium |
| X2 | Surface rust — moderate | Requires treatment | High |
| X3 | Surface rust — heavy | Structural risk possible | Critical |
| XX | Rust perforation — hole through panel | Advanced corrosion | Critical |
| Y1 | Small hole — non-rust | Minor perforation | Low–Medium |
| Y2 | Medium hole — non-rust | Visible perforation | Medium |
| Y3 | Large hole — non-rust | Significant breach | High |
| S1 | Structural rust — light | Monitor closely | High |
| S2 | Structural rust — moderate | Repair required | Critical |
| S3 | Structural rust — severe | Safety concern | Critical |
| H1 | Paint fade — slight | Close inspection only | Low |
| H2 | Paint fade — noticeable | Visible at distance | Low |
| H3 | Paint fade — severe | Chalky or peeling | Medium |
X Marks — Surface Rust and Corrosion
X is used by Japanese auction inspectors to record surface corrosion — rust that has developed on the exterior of a panel. It does not record rust underneath the car or on structural members (that is the S code). X marks on the exterior body record visible corrosion on panels, sills, door edges, wheel arches and other exposed surfaces.
Japan's climate varies significantly. Northern regions (Hokkaido, Tohoku) use road salt in winter, producing more corrosion than vehicles from southern Japan. A car auctioned in Sapporo with X marks has typically experienced winter salting — a more aggressive form of corrosion than the humid-but-salt-free environment of Tokyo or Osaka.
X marks on sills are the highest concern. Sills (rocker panels) are structural members that connect the floor pan to the A and B pillars. X2 or X3 on a sill is not cosmetic — it is potentially structural. This is one area where X marks must be treated with the same seriousness as S marks.
XX Marks — Rust Perforation
Rust has eaten completely through the panel
XX is the most severe corrosion code. It means the rust has progressed beyond surface damage and through the full thickness of the panel, creating a hole. This is advanced corrosion that has been present and untreated for years. XX anywhere on a vehicle is a serious finding — it indicates the car has been exposed to moisture without maintenance for an extended period, and the affected panel must be repaired or replaced.
XX marks do not have a 1–2–3 severity scale because the condition is already at its maximum — the panel has been perforated. The location of XX marks determines how serious the overall concern is:
| XX Location | Concern | Action required |
|---|---|---|
| Bumpers (plastic) | Low — bumpers are non-structural plastic | Bumper replacement — straightforward repair |
| Boot floor / rear panel | Medium — water and moisture ingress likely | Section repair or replacement. Check spare wheel well for water. |
| Wheel arches | Medium to high — check proximity to structural sill | Arch liner removal required to assess full extent. Section repair. |
| Sills / rocker panels | Critical — structural member | Professional structural assessment required before purchase. Do not buy without physical inspection. |
| Floor pan | Critical — structural and safety | Full underside inspection essential. Seat mounting integrity must be verified. |
XX combined with S marks on the same sheet indicates widespread corrosion that has affected both surface panels and structural components. A car showing XX on the wheel arch and S2 on the sill has likely had significant rust throughout the underbody. This combination should be treated as a vehicle with structural compromise — price and purchase decision must reflect that.
Y Marks — Holes (Non-Rust)
Y records a hole in the bodywork that was not caused by corrosion. The most common causes are aftermarket accessory installation (tow bar brackets drilled through bumpers or boot floors, antenna mounts, roof rack bolts), impact damage that perforated a panel, or previous repair work where a panel was drilled for plug welding and the holes were left uncovered.
Common Y mark situations and what they mean
- Y1 on rear bumper — almost certainly a tow bar bracket hole. Very common, low concern. Check if tow bar electrics were properly terminated.
- Y1 on roof — roof rack mount or aerial hole. Low concern if sealed. Unsealed roof holes allow water ingress to headlining.
- Y2 on boot floor — larger bracket installation or impact. Check for water entry and any associated corrosion.
- Y3 on a door or wing — likely impact damage that perforated the panel without full panel replacement. Check what happened to the rest of the panel.
- Y on the floor pan — most serious Y location. Could be from aftermarket modification or impact. Seat belt anchor integrity must be verified.
Y marks from tow bars are very common on Japanese vehicles imported from New Zealand, Australia and UK where tow bars are frequently fitted. The brackets are typically bolted through the bumper or boot floor — producing Y1 or Y2 marks. These are low concern and do not affect value significantly.
S Marks — Structural Rust
Rust on structural components — the most serious corrosion code
S in the damage code context means rust specifically on structural steel components: frame rails, floor pan, sill sections, subframe mounts, crossmembers, or pillars. Do not confuse this with S grade — that is a separate condition rating for an excellent car. S as a damage code is among the most serious marks an inspector can record because structural rust directly affects how a vehicle performs in a collision and how safe it is to drive.
Which structural components S marks apply to
- Floor pan — the main floor of the vehicle. Structural rust here compromises seat mounting, seat belt anchors and the vehicle's ability to manage crash loads. S marks on the floor pan are the most serious location.
- Sill sections — the structural box section connecting the floor to the door pillars. Critical for side impact protection and overall body rigidity.
- Frame rails / chassis rails — on body-on-frame vehicles, rust on the main rails is a potential total loss situation. On monocoque vehicles the equivalent front or rear subframe rails.
- Subframe mounts — the points where the front and rear subframes attach to the body. Rust here causes handling issues and can lead to subframe separation in severe cases.
- A, B and C pillars — structural pillars. Rust here compromises roof integrity in a rollover and side impact performance.
S2 or S3 on any location = walk away unless you are a specialist. Structural rust repair is expensive, technically demanding, and in many markets must be certified by an approved workshop before the vehicle can be registered. Factor full structural repair costs — not just the purchase discount — into any decision on an S2 or S3 vehicle.
H Marks — Paint Fade
H marks record paint fade — discolouration and deterioration of the paint film caused by UV exposure, oxidation, or age. Unlike all the other codes in this guide, H marks are purely cosmetic and have no structural or mechanical implication whatsoever.
Where H marks commonly appear
H marks appear most frequently on horizontal surfaces that receive the highest UV exposure: the bonnet, roof and boot lid. Red, white and yellow vehicles fade more visibly and more quickly than darker colours. A car with H2 on the roof and H1 on the bonnet is a completely normal finding for any vehicle over 8 years old that was stored outdoors in a warm climate.
H marks do not affect mechanical condition in any way. An H3 bonnet is cosmetically poor but the engine underneath is unaffected. When comparing two otherwise identical cars, the one with H marks should simply be priced lower to reflect the respray cost — it is not a safety or reliability concern.
Dangerous Combinations to Watch For
Individual marks tell you about specific damage. Combinations of marks across a sheet reveal patterns that are more concerning than any single mark alone:
| Combination | What it indicates | Action |
|---|---|---|
| X2/X3 + S1/S2 | Surface and structural rust together — widespread corrosion throughout the vehicle | Physical underside inspection essential before purchase |
| XX + S marks | Rust-through panels AND structural rust — advanced corrosion vehicle | Avoid unless specialist buyer with full inspection |
| X marks on sills + W marks on floor | Corrosion combined with possible flood or underside repair | Water damage risk — check flood notation in inspector notes |
| Y marks on floor pan + S marks | Holes in floor combined with structural rust — compromised floor integrity | Structural assessment before purchase |
| Multiple H3 + X2 on same car | Long-term outdoor storage, neglected maintenance, possible deeper corrosion | Budget for comprehensive rust treatment on purchase |
Price Impact
| Mark | Price impact vs clean equivalent | Typical repair cost |
|---|---|---|
| X1 (cosmetic) | −2 to −5% | $100–$400 (treatment + touch-up) |
| X2 on body panels | −8 to −15% | $400–$1,200 (cut back, treat, respray) |
| X2/X3 on sills | −20 to −40% | $1,500–$5,000+ (section repair, welding) |
| XX (rust-through) | −25 to −50% | $2,000–$6,000+ (panel replacement) |
| Y1 on bumper (tow bar) | Negligible | $0–$50 (seal hole) |
| Y2/Y3 on body | −5 to −15% | $300–$1,500 (panel section repair) |
| S1 | −15 to −25% | $1,000–$3,000 (treatment + protection) |
| S2/S3 | −35 to −60% | $3,000–$10,000+ (structural repair, certification) |
| H1/H2 | −3 to −10% | $150–$600 (polish or panel respray) |
| H3 (multiple panels) | −10 to −20% | $600–$2,500 (multiple panel resprays) |
See Every Mark on the Original Auction Sheet
Get the complete damage diagram with all X, XX, Y, S and H marks plus all auction photos directly from Japan's auction database. Delivered in under 60 seconds — from $7.
Verify Auction Sheet — from $7 →