most countries a great number of auto cars damaged by accident
are wasted to junk yards for final scrap, and partly recycled
there. And most of parts are junked, remaining valuable parts
not recycled. It is resources-waste and waste money.
life-ending auto cars can be disposed to junk yards, but damaged
cars by accidents might contain many fresh parts which can be
re-used in auto parts markets with a reasonable price. It would
be quite advantageous not only customer-side but also nation-side.
course, the decision for disposal to junk yard completely depends
on a insurance company or car owners who evaluate either take
a way to repair client's damaged car or compensate it within
insurance contract. If the latter way is more profitable to
them, they will take the way to waste a damaged car, which is
junked as life-ending cars.
these cars to be scraped in the junk yards can be converted
to valuable resources by properly dismantling the cars. Expected
recycling parts and/or materials are as follows:
Green materials for environmental protection.
battery, anti-freezing liquid, wiper cleaner, lube oil, spare
tire, windows, side mirrors.
Valued auto parts for sale.
doors, bumpers, combination lamps, engine, transmission, audio
set, wipers, steering wheel,
radiator, air-conditioner, pumps,
fans, tool set,
actual value of recycled auto parts might vary according to
a grade of damaged car and age of cars. It totally is evaluated
by the accumulated experience of specialists.. There
are many recycling factories being operated in the world, particularly
top 5 major car producing countries. Most government encourage
recycling auto parts from waste cars for environmental protection
and resource recovery. It is believed that recycling industry
is one of attractive business in recent days.
A plant has being operated since
1996 in USA and it is the first commercial plant in the world.
Due to economy and reliability of auto parts to be recycled, all
damaged cars by accidents can be limitedly recycled up to less 7
years-used-cars after factory manufacture.
The recommended capital structure
stems an insurance company, a municipality, existing junkyard
members and private sectors.
plant is capable of dismantling 100 damaged cars a day, and
30 thousand cars a year in the factory and stock yard is approximately
20 acres which can store 1,500 damaged cars for two weeks operation
in the factory.
required stock yard area depends on collecting methods and easiness
of transportation.. They
are mostly collected and transported by trains from dispersed
outline is as follows:
Factory area :About 20,000sq.meters
Dismantling line :One line consisting of dis-assembling all
parts from damaged cars loading to final junk machine, 120
meters long. It was manufactured in Holland but customized in
Operation :Heavy parts section to be moved by overhead hoist
and small parts section driven by screw conveyor.
Aux. area :Green area where recycle all parts/materials possibly
causing to environmental pollution.
Inventory area :About 70 % of entire factory area occupied for
storage of all recycled parts ready for sale
Delivery area :Minor touch-up for delivery and packing, and
delivery twice a day
Test area :All defects should be tested properly .
Stock yard area :Approx. 20 acres for 1400 damaged cars storage
Power supply :Captive power generation by recycled gasoline
or diesel oil.
Oil storage tanks :Gasoline and lube oils.
key activity is made at the damaged car receiving yard where
specialists carefully examine all damaged cars before dismantling
and evaluate and sort all valuable parts to be recycled in the
factory by using a wire-less hand-computer for data input to
main computer system.
soon as a specialist input all data with regard to a damaged
cars, those valued information necessary for dismantling work
keep stored into the main computer. And
at the same time job orders are immediately directed to workers
and printed out at each work section, where and what parts to
be dismantled and finally where to store them.
a total value for each damaged car is registered automatically.
Completely computerized system can make it possible to operate
the factory with minimum operators, presently less 50 operators
working which finally results in profitability of project. It
is obviously clear that a key point for project success is operational
know-how as real-time inventory control and job order system.
soon as an order for certain parts is, for instance, requested
from each client, all ordered parts can be immediately checked
if available or not to all specifications, such as colors, models,
manufacturing year, car brand, etc.
auto parts from the factory are sold to the auto parts shops
in whole country as a whole sale basis and considerable amounts
of parts are exported to third countries who import a number
of brand new American cars and second-hand as well. In general,
a number of drivers tend to prefer that five years-lapsed car
is good with same aged-parts in repair.
USA the second and third similar factory are being planned with
double dismantling capacity in California and Canada as well.
In Japan there are many recycling companies are now actively
working since 1960's. However, Japanese facilities are not modernized
comparing with America's.
to our country's data about 10% of total cars are junked a year
and it means that approx. 1.2 mill. of cars are wasted and junked
a year. I guess that there are about 5 mill. of cars in your
portion of investment cost stem building, dismantling line,
inventory rack and inventory control system. For
reference a existing plant cost at less 10mil.US$ including
land cost for lease, equipment and machinery, inventory system
and utilities, and in return they can earn UD$ 3,000-4,000 from
recycling a damaged car and presently 100 cars dismantled a
day. Of course, it might be subject to the market price of recycled
parts in Japan.
the hand, estimated expenditure in operation mainly depends
on worker's salary, no other raw materials required as like
other industries, except a land cost for lease. It
is quite sure that high return on investment can be achieved
and the project is viable in Taiwan. There is no car manufacturer
in Taiwan and therefore all auto parts for repair and maintenance
might be imported from originated countries. Recycled auto parts
market would be prospective afterwards and its demand will be
you are interested in this business, you should investigate
at least following items first and please reply to us:
Check if recycled auto parts are legally salable in your
Investigate if there are any advantages in using recycled auto
parts in repair from the insurance companies.
Is there any existing large factory and stockyard for car storage?
New building construction requires high cost in investment and
therefore leasing of existing building for factory is better.
Check if potential investors are interested in this business,
tentatively an insurance company, a land owner, a municipality,
and other private sectors.
What is your position and role for this project
Collect information about total of registered cars, annual junked
cars, annual increase of new cars, amount of auto parts import,
retail/whole sale price of auto parts.
Estimated plant capacity i.e. dismantling cars yearly or daily.
In USA the capacity is approximately 100 cars a day as mentioned
HYUBWOO E&D is now working with American company, who operate
a car recycling plant as introduced above, for the project of
scrap tire pyrolysis plant, capable of 2 mill. of scrap tire
a year. Pyrolysis of scrap tire make it possible to completely
dispose waste tires and also recycle high valued carbon black
and hydro carbon as by-products like limonne. In this project
we supply only pyrolysis plant but American company has two
upgrading facility to reclaim carbon black from char and limonne
from pyrolyzed oils, which are reclaimed from the pyrolysis
plant. But, if there is no two upgrading facilities, reclaimed
by-products by pyrolysis will remain as another polluted wastes
to be properly treated further. By such reasons we closely work
together with American company:
role is expected as follows:
of project implementation
for all plant production equipment
services linking two parties, American company and Investors
study for the project, if requested
supervision and start-up operation during site construction
other service when both party request