Auto recycling industry reaches $25 billion a year

by Brian R. Hook

While many might view the auto recycling industry as thousands of small dismantling facilities located throughout the country, the multi-billion dollar industry is changing.

“It’s actually a large industry,” said George Eliades, executive vice president of the Automotive Recyclers Association. “I think the perception of the industry has changed and is changing because there is a big focus on recycling and reuse.”

The auto recycling industry is a $25 billion a year industry, according to the trade association group based in Fairfax, Virginia making it the 16th largest sector in the United States employing more than 46,000 people. The trade group estimates that there are more than 7,000 legitimate automotive recycling companies across the nation.

The auto recycling industry currently serves approximately 14 percent of the auto parts market, Eliades said. The market share has been fairly constant over the past few years. “The potential for growth is greater now because people are paying attention to improving the environment. I think the consuming public is also more concerned about the cost of replacement parts and quality recyclable OEM parts are an attractive alternative.” Eliades said.    ...read more