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Automotive Recycling Facts

From Automotive Recyclers Association

By Ben Silver - April 13, 2015

Facts About the North American Automotive Recycling Industry
  • Total annual revenue in used auto parts is estimated to be $22 billion. 
  • In 1997, auto recyclers acquired 4.7 million wrecked vehicles and junk cars for the purpose of recycling.*
  • Recycling vehicles provides enough steel to produce almost 13 million new vehicles.*
  • Saves an estimated 85 million barrels of oil a year, that would have been used in the manufacturing of new or replacement parts.
  • Automotive recyclers/used auto parts dealers spent nearly $50 million on environmental compliance in 1997.*
  • The majority of automotive recycling businesses used a computerized inventory system to track, sell, and deliver auto parts.*
  • Automotive recyclers/used auto parts dealers provide wholesale and retail customers quality parts that sell for up to 50% less than the comparable new parts.
  • Automotive recycling businesses employ some 103,108 people at more than 8,267 businesses around the country.
  • An estimated 86% of automotive recycling companies/recycled parts dealers is full-service and employs 10 or fewer people.*
  • Total annual payroll is estimated to be $3.3 Billion.
  • The majority of automotive recyclers can often locate parts faster than new partdealers because the facilities are connected by telephone, satellite and/or computerized communications systems to recyclers across the globe.*
  • Automotive recycling decreases insurance rates by purchasing inoperative vehicles from insurance companies, thus allowing for recovery of financial losses. These vehicles came primarily from individual owners and salvage auctions.*
  • Automotive recycling keeps highways and roads clear of abandoned and disabled vehicles by providing a place to deposit these vehicles.

Sources:

http://www.a-r-a.org/content.asp?contentid=436
*Most recent ARA statistical data regarding the automotive recycling industry. Data compiled from a 1997 survey by the private consulting firm, Axiom Research Company and Automotive Recycling: Your Cars Afterlife (2-13-2006).