At the end of the 2006 season, Collins signed a two-year deal to manage the Orix Buffaloes of the Pacific League in Japan. Terry resigned as manager of the Buffaloes on May 21, 2008, after a 7–3 inter-league loss to the Hanshin Tigers. Orix were in 5th place in the Pacific League with a 21–28 record, despite investments in players such as Alex Cabrera in the prior off-season. Injuries to the Buffaloes pitching staff certainly didn't help Collins' situation. However, the Buffaloes bounced back and finished second by the end of the season.