Automotive Recycling Spreads to the East

Insurance Auto Auctions, Inc. (IAA), just announced an agreement to expand
its partnership with Chen Jia, Inc., a wholly-owned subsidiary of Jiangsu
Chenlong Resource Recycling Development Co., Ltd. in Zhangjiagang,
Jiangsu, China. Chenlong Recycling is one of the first companies to obtain
recycling permits from the Chinese government that allows the import of
salvage vehicles for the purpose of recycling.

 

In the announcement, Tom O’Brien, IAA chief executive officer, says: “This
agreement helps us achieve our growth strategy by expanding our global buyer
base in a region with a fast-growing need for scrap metal.” O’Brien goes on to
say that, “We are pleased that our long relationship with Chen Jia has added
tangible value for vehicle sellers at our auctions. Their initial purchases at our
locations along the West Coast have already created increased competition for
vehicles and may eventually expand throughout the greater United States.”
A recently completed recycling facility owned by Chenlong Recycling in China
is capable of processing hundreds of thousands of tons of scrap iron. Chenlong
Recycling is the first company in China to complete the installation of a shredder
built specifically for the processing of scrap steel  that includes automobiles, parts like a transfer case, rear axle, or air flow meter.
coming from the United States and other countries. Through this new
agreement, IAA has the ability to be a major salvage provider to this operation–
specifically, lower-end vehicles for the purpose of recycling.

 

In related news, Toyota Tsusho announced a joint venture with Showa Metals as
well as Chinese companies to establish an automotive dismantling and
recycling company in Chengdu China. According to press reports, construction
on the ELV recycling facility is scheduled to begin this spring and be completed
by the end of the year. The facility will be build to handle a maximum capacity
of 2,000 to 3,000 vehicles per month.

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Des Moines IA Salvage City Council Tackles Illegal Signs

Also ast week, the Des Moines (IA) City Council discussed ways to rid city
streets of illegal signs that are constantly stuck in right of ways — the
ones that offer to buy junk cars or houses from people who are upsidedown
on their mortgage, among various others. ―This visual pollution of these
signs detracts from our community character,‖ south-side neighborhood leader
Mel Pins told the council. ―It‘s kind of the first crack in the broken-window theory
of urban planning.‖ The illegal advertising also unfairly competes with
businesses that play by the rules and observe city sign ordinances, Pins argued.
City Attorney Jeff Lester said that officials are taking legal steps to crack down
on some of the most prolific offenders. Court cases are pending on two
violators, Lester said. A couple other cases also could be filed, he said. ―The
‗signers‘ get more and more clever as we go along,‖ Lester said. ―We run into a
number of them where they are apparently using (prepaid cell phones) so that
there is no name associated with the phone. That makes it a lot more difficult
because we cannot just prosecute a phone number.‖
Mike Swift, Vice President, Trails End Auto and ARA Regional Director Chair, told
the council that he routinely plucks illegal signs from rights of way. He estimated
that he has collect 1,000 of the illegal signs in recent years. ―I do not have a
problem with legal signs, but I have a problem with illegal signs,‖ Swift said. Swift
complies with sign regulations for his business, and he wants the city to step up
enforcement on illegal signs, he said.

Last Minute Attempt to Open Salvage Pools in Michigan Fails

Llast week, on short notice, the Michigan House Committee on
Transportation added House Bills 4832 and 4833 to their agenda. The bills,
opposed by the Auto Recyclers of Michigan (ARM)and ARA, would
eliminate salvage vehicle agents and create an unregulated foreign vehicle
buyer’s definition. The legislation would have allowed bidders from anywhere in
the country, with no defined license, to bid on vehicles located in Michigan
without a license from the secretary of state and without reporting and meeting
recordkeeping requirements for law enforcement required of Michigan salvage
buyers.
A coalition, including ARM, LKQ, ISRI, Michigan Dealers/Detroit Auto Dealers, the
Secretary of State and ASA (recently joined) have been actively opposing the
legislation all year. After learning of the revised agenda on Tuesday night, the
coalition was mobilized. Letters of opposition were sent to all committee
members.

After hearing the concerns from the industry, the Committee Chairman
decided to move the bills to a study committee. The committee is expected to
report back to the full committee by March of 2012.
Click here to see a copy of ARA’s opposition letter

ELVS First-Ever Canadian Forum on Vehicle Recycling

Various automotive recyclers and those associated with the industry
gathered in Toronto recently for two days to discuss the challenges and
issues surrounding end-of-life (ELV) vehicles. Sponsored by Environment
Canada, with government environmental representatives from every province
and territory and organized by Summerhill Impact, the meeting imparted solid
information and trend forecasting for international best practices and
approaches to ELV management.
Although a Canadian forum, expertise was drawn from around the world,
including Kasper Zom of Auto Recycling Nederland Advisory (ARN), Minoru
Gouko, Acting Director of Japan Automotive Recyclers Association (JARA) and
ARA’s C.E.O. Michael Wilson. Speakers included Krista Friesen, Stewardship
Director for Summerhill Impact and Claude Bourque, a socio-economic
research and planning agent for Recycle-Quebec, among others.
On the second day, the group focused on the Extended Producer Responsibility
(EPR) program, which in Europe is often held up as an example of the
effectiveness of the program. However, the consensus voiced by Kaspar Zom is
that, “more than half of the member states are not meeting their targets.” The
difficulty appears to be finding what the baseline should be as well as
developing a plan to deal with if a particular target is not met. As well,
environmental draining of vehicles would mean that remote communities may
be left out of the loop due to prohibitive cost.
To view a couple of the pictures, please click here and here. Once you view
the individual picture, feel free to scroll through Flickr and view the remaining
pictures of the gathering. Be sure not to miss the picture where Ed MacDonald
has his mustache shaved. You may recall, on November 7th we informed you in
this newsletter of the ARC members participation in the Movember event

(November 1st – 30th) and told you of Ed’s plea to Help raise $25, 000 towards
men’s health and see Ed MacDonald shave his moustache after sporting his,
uninterrupted, for 42 years!! Click here for the YouTube video! Steven Fletcher,
on behalf of the Automotive Recyclers of Canada (ARC), donated $10,000 to
the worthy cause. Altogether Ed’s team (comprised of three men) raised $12,
635 – quite an accomplishment in just 1 month!

Curbstoning releasese new whitepaper

The organization StopCurbstoning.com is targeting Tow Truck Operators and has
issued a White Paper warning them they are being watched. With their latest
report, entitled “A Different Breed Of Curbstoner, And Yet Another Way Cities
Leak Revenues”, they want to educate the public on how rogue tow-truck
companies are secretly conducting curbstoning operations, utilizing their legitimate
business. Curbstoning is the repeated, unlicensed “flipping” of used cars for profit,
and is illegal in most cities.

Used Fenders
Used Hoods
Used AC Compressors
Used Crankshafts
Used Distributors
Used Flywheels
Used Camshafts
Used Hubs
Used Intake Manifolds
Used Valve Covers
Used Spindles
Used Window Motors
Used Blower Motors
Used ABS Pumps
Used Throttle Bodys
Used Drive Shafts
Used Steering Columns
Used Carrier Assemblys
Used Turbo Chargers
Used Exhaust Manifolds
Used Fan Blades
Used Ac Condensers
Used Covertible Top Motors
Used Lower Control Arms
Used Wiper Motors
Used Column Switches
Used Air Cleaner Boxes
Used Air Flow Meters
Used Steering Racks

Chuck Redden, president of AutoTec, one of the companies behind the Stop
Curbstoning effort, wants to get the word out – to consumers and sellers as well as the
authorities. The consumer is at risk, not having a true history of a vehicle, local
business are cut out of the dealing and local government does not collect fees and
taxes that legitimate businesses adhere to.
A statement on StopCurbstoning.com reads: “Because enforcement resources are
spread thin, it’s up to car buyers to be informed, automotive dealers to be proactive,
and municipalities to be responsive.

Recyclers Urge FTC To Monitor Carmaker Position on Parts & Warranties

Last week, ARA filed comments with the Federal Trade Commission (FTC) urging
them to monitor automobile manufacturers more closely to determine whether
they are in compliance with the Magnuson-Moss Warranty Act (MMA), i.e., are
their claims unfair and deceptive. This, in response to the FTC’s statement that as
part of a routine review they would accept public comments on the MMA.
To recap: The same concerns were raised with the FTC earlier this year, in response
to automobile manufacturers implying to consumers that their warranties would be
voided by using recycled automobile parts. Not only that, but automakers also
implied that recycled parts were inferior to OEM parts, thus putting the consumer at
risk when using them. In July 2011 the FTC sent out an alert, affirming that “Warrantors
may not claim that a warranty is void simply because a consumer has used recycled
part.” “Undertaking Derelict ELV (End of Life Vehicle) Recycling” Garners International Energy Globe Award for Fiji inoru Gouko, ARA member of the Japan Automotive Recyclers Association, has been notified that the international Energy Globe Jury has selected the
project “Undertaking Derelict ELV (End of life vehicle) Recycling” for the
NATIONAL Energy Globe Award for Fiji. The award will be presented in an
internationally televised ceremony on November 25, 2011 in Wels, Austria.

FTC Seeks Public Comment on Consumer Product Warranty Rules

As part of the Federal Trade Commission’s systematic review of all FTC rules
and guides, the agency is seeking public comment on its Rules and
Guidance regarding product warranties under the Magnuson-Moss Warranty
Act. The agency is seeking comment on the FTC’s Interpretations of the Magnuson-
Moss Warranty Act, the FTC’s Guides for the Advertising of Warranties and Guarantees,
and three Rules governing disclosure requirements for written warranties on consumer
products, requirements for sellers and warrantors to make written warranty terms
available to consumers before a sale, and procedural standards for warrantors who
want consumers to use a dispute resolution process before filing suit for breach of
warranty.
The Commission seeks public comment on the overall costs, benefits, and necessity of
the Interpretations, Guides, and Rules, as well as whether the FTC should revise its
interpretations of the Act’s prohibition on tying, or make amendments to address service
contracts or making warranty documents available online. ARA will review the rules and
provide comment as necessary.
The Magnuson-Moss Act became law in 1975; the Interpretations, Rules and Guides
were last reviewed in 1996-97.
This action follows on the heels of an FTC consumer alert prompted by ARA affirming the
use of recycled automotive parts in warranty repairs. As reported previously in an ARA
Press Release posted on www.a-r-a.org late last month, the FTC states in its Consumer
Alert entitled Auto Warranties, Routine Maintenance, and Repairs: Is Using the Dealer a
Must? that “Warrantors may not claim that a warranty is void simply because a
consumer has used a recycled part.”
Also, ARA submitted comments to the FTC last December on the Agency’s proposed
modifications and additions to FTC’s Green Guides requesting specific language
providing for the continued use of the “recycle” label on automobile parts recovered
from vehicles. FTC is still in the review stage on the Guides.

Right to Repair Proponents Move to Bring the Issue to the Massachusetts Voters in 2012

Last week, the Massachusetts Right to Repair Coalition filed papers with the Attorney
General’s office to give the group the option of putting a Right to Repair question on the
2012 Massachusetts statewide ballot. In the last two months, the Coalition has
gathered more than 50,000 signed letters of support from consumers and more than
10,000 e-mails have been generated and sent to legislators. Polls on the issue have
consistently shown that 9 out of 10 consumers support the legislation.
There is still support for the legislation in the legislature and this move in no way prevents
the legislature from passing this bill in advance of any ballot question or at any time
during the process. The Attorney General now has 30 days to review their submission for
certification.

ARS), provided the Advisory Board an update on California legislation AB
1215 that would dramatically increase the number of consumers requesting NMVTIS
reports. Under the measure, new and used car dealers would be required to obtain a
vehicle history report from a qualified NMVTIS vendor and then identify vehicles offered
for retail sale with a notice indicating whether the vehicle is a salvage or junk or has a
title brand.

This proposed requirement, the first of its kind in the country, would directly aid
consumers in identifying vehicles that may have experienced flood damage, been in
an accident or been subject to some other significant event that necessitates closer
inspection of the vehicle’s safety and condition. The legislation would also strengthen
the NMVTIS system by ensuring substantial California-based inquiries into the system
each year. It is estimated that the number of inquiries could be in the range of six million
per year. In addition to California, other jurisdictions might also consider similar use of
NMVTIS by dealers and the motoring public.
During the meetings, Wilson continued to advocate for additional data consolidators to
be approved and a free direct bulk VIN reporting option developed as an
enhancement to the current free single VIN reporting option. Wilson also took several
opportunities during the two-days to push for enforcement to begin on non-compliers of
the NMVTIS reporting requirements. “ARA has clearly stated from day one that it would
strongly support NMVTIS reporting requirements only if the Department of Justice
actively enforces on those entities that fail to report,” says Wilson.
The next NMVTIS Advisory Board meeting will be held November 1-2, 2011 in Arlington,
Virginia.
Right to Repair Proponents Move to Bring the Issue to the
Massachusetts Voters in 2012
Last week, the Massachusetts Right to Repair Coalition filed papers with the Attorney
General’s office to give the group the option of putting a Right to Repair question on the
2012 Massachusetts statewide ballot. In the last two months, the Coalition has

Some new cool parts sites coming online

Here is a cool list of new sites coming online specifically geared towards used parts. Nice thing is each site is dedicated to only one part so the help you’ll get is dedicated as well.. knowledgeable folks. Some we’ve already mentioned, others we have not.

Used Radiators
Used Alternators
Used Cylinder Heads
Used Fenders
Used Starters
Used Transfer Cases
Used AC Compressors
Used Crankshafts
Used Distributors
Used Hubs
Used Intake Manifolds
Used Grilles
Used Speedometers
Used Window Motors
Used Blower Motors
Used ABS Pumps
Used Door Mirrors

The process is pretty simple.. just select the year/make/model of the part you are looking for and either get an instant price or just call the number and it wont take more than 5 minutes. All the parts are guaranteed and are OEM. (Original parts, not aftermarket)