Auto recycling is a common practice followed by the developed nations and is becoming increasingly popular in the developing nations. With rising concerns over global warming, countries are adopting various schemes to curb pollution by way of auto recycling.
India’s automobile industry has ushered in an explosive growth since 2000, with car ownership rising from 127 million to 204 million in 2015. According to an estimated average end of life deadline for a car at 10-15 years, India is expected to see its first car scrappage peak in 2017-2018.
Let’s have a look at some basic facts and figures pertaining to auto or car recycling:
1. Every year, around 30 million cars around the world are recovered for recycling. Over 25 million tons of heterogeneous material is recycled from old vehicles.
2. In the US, nearly 12 million cars are recycled annually, the number for Europe is nearly 8 million. Automobile is the most recycled consumer good in the world.
3. The car recycling industry is the 16th largest industry in the US, contributing USD 25 billion per year to the national GDP. The US automotive recycling industry employs around 100,000 people and earns around USD 25 billion a year. There are around 7,000 vehicle recycling facilities around the US.
4. Every year, automobile recycling industry in the US and Canada provides sufficient steel to produce roughly 13 million new vehicles.
5. Europe, US and Japan are the largest ferrous scrap exporters in the world, holding a market share of over 33%. These countries are also the largest auto recyclers and hold over 70% of total auto recycling in the world.
6. Every year, the North American automotive recycling industry saves around 85 million barrels of oil from getting used in making new or replacement auto parts.
7. Across North America, automotive recycling provides around 40% of ferrous metal for scrap processing industry.
8. Most auto recyclers are small businesses. More than 75% of all automotive recycling companies employ about 10 people.
9. Automotive recyclers supply retail and wholesale customers with quality auto parts that cost 20-80% lesser than comparable new auto parts.
10. Every year, more than 14 million tons of recycled steel in derived from junk vehicles. On an average, a car has around 25% of body made from recycled steel.
11. Just about 80% of a vehicle (by weight) is recycled and the remaining 20% that can’t be recycled is termed as ‘auto shredder residue (ASR)’, which includes ferrous and non ferrous metal pieces, dirt, glass, fabric, paper, wood, rubber and plastic. Every year, around 5 million tons of ASR is disposed off in landfills. In Europe, 75% of a car is recycled, making the ASR items 25% of the car. According to an estimate, in Europe, recycling facilities will soon be able to recycle 95% of each car, by weight.
12. Approximately 90% of aluminum of a vehicle is recovered and recycled. Although the aluminum recovered from an old vehicle represents lesser than 10% of the vehicle by weight, it accounts for nearly 50% of the vehicle’s scrap value.
13. Automotive recycling industry supplies around 37% of all ferrous metal to blast furnaces and smelters across the US.
14. Approximately 98-99% of car batteries can be recycled.
15. Car tire recycling is viable and material can be used to produce sandals and roadways.
Know more about vehicle recycling and it’s high potential opportunities in India.