By Caryn Smith

The outlook for automotive recycling will not be defined by a single issue. Operators today are getting much better at using their best instincts to stay ahead of marketplace changes, as well as at turning to peer groups and industry experts for help, clarity, or ideas. Yet the new automotive economy is raising the bar, requiring flexibility, decisiveness, and adaptation to a marketplace that is rapidly reshaping due to advances in technology, workforce challenges, economic uncertainty, and unknown factors that rise from nowhere. 

Prior to the surge in electric vehicles and the COVID pandemic, the industry operated at a consistent, predictable pace. Auto recyclers forecasted and developed 1-, 5-, and 10-year plans, budgets, and goals.  

The formula was likely one or more years of data minus facility-centered obstacles, such as production and workforce deficits, as well as costs of goods and goals, yielding a clear plan of action. Mid- to long-range plans and projections may not be as easy to develop now, given the shifting business climate facing the industry. 

Automotive Recycling magazine asked auto recyclers to share their perspectives on the future.  

What’s In Store for the Next 5 Years? 

“One of the biggest challenges will be predicting long-term goals,” says Michael Carcone, Carcone’s Auto Recycling & Wheel Refinishing, a full-service recycler in Aurora, Ontario. “Traditional 5-, 10-, and 25-year plans are rapidly becoming much shorter-term—more like 5-, 10-, and 25-month plans. The pace of change in AI and technology is accelerating, requiring businesses to adapt more quickly than ever before.” 

“Industry technology is a determining factor of success,” says John Catalano Jr, Bionic Auto Parts & Sales Inc., with full-service locations in Chicago, IL, and Milwaukee, WI. “As these tools mature, they have the potential to create meaningful efficiencies across operations, from inventory management to sales and logistics.  

“Our industry is largely led by experienced professionals, many of whom have built their success on proven methods, so driving widespread adoption of new technologies  

may require a cultural shift as much as a technical one.  

That said, this challenge also presents a significant opportunity,” says Catalano. “Historically, the auto recycling industry has demonstrated a strong ability to adapt when there is a clear financial benefit. I believe that will continue to be the case. As long as new technologies are practical, scalable, and positively impact the bottom line, our industry will embrace them and evolve accordingly.” 

With a pragmatic view, David Gold, Standard Auto Wreckers, two full-service locations in Scarborough and Port Hope, and a parts depot in Ottawa, Canada, says, “The auto recycling industry is going to be just fine over the next five years. At its core, our business is straightforward—we buy vehicles and sell parts. There is no single ‘right’ model, and that diversity is one of our strengths.  

As recyclers, we are often reacting to changes after they’ve already occurred—we don’t design the vehicles, but we must adapt quickly to understand, dismantle, and resell increasingly sophisticated components.” 

Unsavory operators present a potentially impeding threat, says Gold. “A key challenge will be dealing with the underground economy and non-compliant operators who continue to impact legitimate businesses.” A counterpoint to this is the greater opportunity for engaged professionals. “Those who are involved in their associations—ARA, URG, and regional groups—and who are committed to learning and evolving will continue to grow and thrive.” 

A Little Perspective  

Where We Were In the Year 2000?  

Michael Carcone, Carcone’s Auto Recycling & Wheel Refinishing 

In 2000, we had around 30 employees versus 50 today. We bought at a single local auction using a manual process to calculate the bid. We had 4 delivery trucks then, versus 8 today.  

No social media. Communication was done primarily by phone, fax, or face-to-face. If I recall correctly, hybrid or electric cars were not a concern. Airbags and ABS systems were emerging concerns that were still unknown. Decisions were made on the spot, based on educated, manual judgment. Scale was limited by geography and manpower. 

Another growing threat will be the lack of qualified staff. Jake Nawrocki, Rocki Top Auto, a full-service operator in Glen Flora, WI, says, “We’ve been fortunate to hire and retain some great people. But, as we advertise for open positions, the work is becoming more specialized. It used to be that you hired someone to take a car apart or clean up scrap metal. Now, we need them to do very specific things and to be cautious, detail-oriented, and willing to do this work. It is going to become one of the most difficult things for us, and I think that is universal across the industry.” 

Vehicle technology will also continue to be a learning curve. “A few years ago, there was so much energy directed at electric vehicles and what they were going to mean for the industry,” Nawrocki continues. “That discussion has dropped off, not because EVs are less relevant, but because the fear is subsiding. EVs are not going anywhere; we are just getting used to the idea. Big problems create big opportunities.” 

For the self-service industry, Lloyd Welty, Pick-N-Pull, Inc., in San Antonio, Texas, says, “One of our biggest challenges will be hybrids and electric cars. We are already starting to buy vehicles like Volts, and the batteries are harder to manage.” 

With that said, Welty believes, “The parts opportunity will still be regular body parts. But there will also be growth; there are components we do not yet fully understand how to price. Newer vehicles with newer engines are introducing parts that we have not seen before,” he says.  

One trend he sees is that customers are using the self-service vehicles to learn how to work on their own cars. “For example, they may pull an alternator in the yard so they can see how to install one on their own vehicle. We see alternators lying around on the ground.” 

A Little Perspective  

Where We Were In the Year 2000?  

Jake Nawrocki, Rocki Top Auto 

In 2000, I had thicker hair, and none of it was gray.  

Back then, we had two bays for dismantling cars, and that same space was also where we inventoried cars, shipped parts, answered the phone, and did everything else. Our facility was an old dairy barn with a shop built onto the side, and we did everything out of that little building. 

The majority of the vehicles we ran through were scrap metal. We did very few used parts sales, and almost all of them were local. It was the farmer down the road who needed a carburetor. We had no online selling.  

In 2000, we may have just started doing that, but we were doing virtually none of it. It was just my dad and me working here. 

 Now we have four dismantling bays. We have two full-time salespeople, with a couple of others who pick up the phone when it is busy. We have three people in shipping, a couple in inventory, and a couple driving delivery trucks. It is amazing how much has changed in what feels like a short time.  

I know 25 years is a long time, but it really is not. It went by quickly. 

A Little Perspective  

Where We Were In the Year 2000?  

Lloyd Welty, Pick-N-Pull, Inc. 

I was in the military in 2000.  

I came into this industry in 2008. Back then, the business was smaller. Cars were cheaper, so we bought more of them. We kept expanding and improving our processes. At that time, all we had was a crusher. In 2010, we bought an auto dismantler. In 2011, we bought a baler. In 2013, we bought another auto dismantler. We also had more wrecker drivers back then. The yard has been added to twice since I have been here. We had about 2,500 cars in the lot then, and now we have over 4,500. 

Welty sees a time when self-service operators will perform more full-service work.  

“Currently, our eBay team also prepares used cars to be sold. When we find a good engine, we pull it, palletize it, and advertise it for sale along the walkway to the yard. They are selling well. The customer pays for it, and we deliver it to the front and load it for them. We also offer a part-puller service that a lot of people use.” 

The Next 10 Years Could Bring Profitable Opportunity 

“Over the next 10 years,” says John Catalano Jr, “I believe there will be major opportunities for recyclers to make real money, especially for those who recognize the true potential of emerging technologies and recyclable materials. As vehicles continue to evolve, so will the value and complexity of the parts we handle.” 

He warns that this era will not reward the slow or the stubborn. “It’s going to come down to who can run the most efficient operation—processing, inventory, and sales all must be tight. The recyclers that embrace change, invest in the right tools, and stay disciplined will win.  The ones that don’t will get left behind. It’s that simple.” 

David Gold agrees. “Ten years is a long horizon, but the fundamentals remain consistent: opportunity will exist for those willing to adapt. We may see increased OEM involvement in our space, which could create both challenges and opportunities. It’s important that we approach this with open minds and a collaborative mindset. If handled properly, OEM engagement could elevate the industry and create new pathways for growth.” 

“Technology will continue to be a defining factor,” says Gold. “Whether it’s AI, robotics, or advanced data systems, recyclers will need to better understand and integrate new tools. The idea of robotics assisting in dismantling vehicles may not be too far off.” 

He says that the biggest challenge will be keeping pace with vehicle technology. “As vehicles become more advanced, so must we. This is where collaboration becomes critical: leaning on one another, sharing knowledge, and working through our associations to protect and advance the interests of professional recyclers.” 

When considering new customer potential, “There is a huge opportunity with the younger generation learning to do things themselves on YouTube or TikTok,” says Amber Kendrick, Pete’s Auto Parts, a full-service recycler in Jenison, MI. “The tide has turned, and I see more DIY repairs and more industrious young, hard-working staffers than I have in two decades.” 

For the self-service sector, Lloyd Welty sees it a bit differently: “I think our average customer age could become a challenge. Younger customers—late teens, 20s, and early 30s—do not work on their cars the same way older generations did. That means our customer base may start to shrink unless we get better at promoting ourselves and bringing in younger customers. We need to educate them and show them how self-service works.” 

The Long Scope of 25 Years 

“The automotive recycling and transportation landscape will likely be dramatically different from what we know today,” says John Catalano Jr. “We may be dealing with entirely new forms of mobility, whether that’s advanced electric platforms, autonomous systems, or technologies that haven’t yet been fully realized.”  

The industry will continue to move away from traditional gasoline-powered vehicles toward more complex, technology-driven systems, bringing both positives and negatives for recyclers, he predicts. Adapting to new vehicle designs, materials, and components will require ongoing investment in training, equipment, and processes. Additionally, it will create new avenues for growth as different types of parts and systems enter the recycling stream. 

A Little Perspective  

Where We Were In the Year 2000?   

David Gold, Standard Auto Wreckers 

Photo: Include David’s headshot in this section 

Back in 2000, we were just one year into Pinnacle and beginning to find our footing. At that time, we operated a single location and were preparing to expand, opening shortly thereafter in Niagara Falls, NY, followed by growth into Ottawa and Port Hope. 

 Looking back, it’s incredibly humbling. What started as a focused effort to build something meaningful has grown into a multi-location operation, shaped by great people, strong partnerships, and a shared passion for this industry. It has been a rewarding journey—and one I’m excited to continue for many years ahead 

A Little Perspective  

Where We Were In the Year 2000?  

Amber Kendrick, Pete’s Auto Parts 

I was a junior in high school; I was homeschooled, and I did school in the morning and worked part-time at Pete’s for a couple of hours a day in the afternoons that year and made $5,396 at $9 per hour. Pete’s was selling about 160k a month in 2000; now if we sell that in a week, we’ve had a terrible week. 

“From a business standpoint, long-term success will depend heavily on strong succession planning,” says Catalano. “My goal is to ensure that the next generation is equipped with a solid foundation, the right structure, and clear direction to continue building on what we’ve established to carry the family legacy forward. If things keep evolving at this pace, maybe they’ll be recycling something a lot more advanced than cars by then. Hopefully, I’ll be watching it all from a distance and enjoying retirement.” 

While there are many unknowns about the future, one thing is certain for David Gold: “Vehicles will remain an essential part of our culture, and auto recyclers will continue to play a vital role in the circular economy.” Therefore, the industry must remain engaged, informed, and adaptable to be part of the solution—environmentally, economically, and socially. 

Looking ahead, Gold sees the potential for vehicles and/or parts to become overly proprietary. This could limit the reuse of recycled OEM components and represent a significant environmental step backward. The industry needs to remain united to counter such efforts. 

“Overall, I remain optimistic,” says Gold. “This industry has always found a way to evolve, and I believe the next 25 years will bring innovation, growth, and new opportunities we can’t yet fully imagine.” 

Looking ahead, Jake Nawrocki sees regulatory issues as a significant challenge. “Looking at current world politics, it is easy to imagine really overreaching government efforts that could make our business difficult.” Yet, he has faith in the next generation to handle it.  

“I also think our customer demographic will change dramatically because of vehicle technology,” he continues. “We are already seeing it. The same person who used to buy parts to fix their own car isn’t always doing so anymore. Their car may no longer be fixable by them, and that is not going to get easier.” 

Amber Kendrick shares, “Hopefully, both full-service and self-service automotive recycling will become known in popular culture, and we will have the opportunity to save more people money, reuse valuable resources, and keep cars on the road longer!” 

A Little Perspective  

Where We Were In the Year 2000?  

John Catalano Jr, Bionic Auto Parts & Sales, Inc. 

I was always at the yard in some way or another, but I started full-time in the industry in 1996 at Bionic Auto Parts in Chicago, working at the front counter in retail sales. 

I was working with my dad, John, and uncle Tony, and got to experience a little bit of my grandfather Frank back then; talk about some stories for another time. Back then, we were running on the old Hollander system—HYMS—and everything was a lot more manual than it is today.  

The business was simpler in some ways but also tougher. You had to know your parts, know your customers, and grind it out every day without the technology we rely on now.  

There was a lot more street hustle involved in selling a part. Since then, the industry has changed dramatically. Technology, inventory systems, and customer expectations have all evolved, and you’ve either had to adapt or get left behind. We’ve adapted—and we’re still here. 

Final Thoughts 

“For us, it has probably only been in the last 10 years that we have gotten really involved with ARA, and that has been a good thing,” says Jake Nawrocki. “That goes for certification, too. At first, I was not sold on its value, but since we became involved and started growing, I have come to see its importance.  

“Also, there is business value, but there is also personal value. I personally have really enjoyed the opportunities we have had, and I have gotten to know some great people in the process. We are pretty excited to be part of it all.” 

“People need to dig into the challenges and opportunities that are coming, because we are going to have both,” concludes Lloyd Welty. They also need to continue supporting their associations at the state, regional, and national levels. I see big technology coming on the horizon, especially with what CRUSH is doing. What they showed at the recent state show was amazing. For a morning meeting, I counted more than 100 people using self-service in the room, which is a big draw. As long as technology keeps coming at us, and people keep improving what they have, I think we will continue to survive.” 

“The future of auto recycling is bright,” says David Gold. “While challenges exist—technology, regulation, and market dynamics—the opportunities are just as significant. We are a critical part of the circular economy, and the better job we do, the more society benefits. I remain passionate about this industry and committed to supporting fellow recyclers in any way I can.” 

Getting Specific  

Improving the daily grind is still at the forefront of any operator’s winning mindset. Big challenges exist. From workforce woes to adopting new technology, certification, and more, auto recyclers have a lot to think about to keep their operations’ processes seamless. Independent auto recyclers are the backbone of the oldest organized recycling initiative in history. With such roots in the automotive economy, there is no reason to assume it will not thrive in the far-off future. But it will require owners to rethink their business model. The resolve to compete is evident in our experts’ plans. 

Staying Competitive 

Michael Carcone: To remain competitive, I plan to act quickly and be willing to try new approaches. It is critical to recognize when something isn’t working and pivot without hesitation. Too often, businesses continue investing in failing initiatives rather than acknowledging the need for change. Success will depend on the ability to ‘pull off the band-aid’ quickly, learn from mistakes, and move forward with better strategies. 

John Catalano Jr: Our plan to stay competitive is simple—run a tighter, smarter operation every single day. We’re constantly looking for efficiency: how do we improve how we do business without sacrificing customer service, quality, or accuracy? That part is non-negotiable. 

At the same time, we’re always looking for opportunity—whether that’s expansion or tapping into markets we’re not fully reaching today. Growth is the goal, but it must be controlled and profitable. We plan to grow year over year, but not at the expense of the bottom line. Anyone can grow sales. The real question is, are you making money doing it? 

David Gold: Our approach is simple: stay engaged, stay informed, and stay ahead of trends. We focus heavily on our people—supporting our team members and ensuring they have the tools and knowledge needed to succeed. At the same time, we invest in technology and systems to operate more efficiently and effectively. Being involved in the industry and maintaining strong relationships with peers, associations, and partners is also critical. The more connected we are, the better positioned we are to adapt. 

Amber Kendrick: Staying involved in my state and national associations and attending industry conferences all help me stay abreast of market changes, new products or vendors, and legislation that may affect me, as well as connecting me to other recyclers who help me. I am in a Rob Rainwater group, and I find that to be an excellent way to stay competitive, hearing what other people have tried that has worked or not worked for them! 

Lloyd Welty: We need to keep chipping away at it with new ideas to keep the yard competitive and profitable, especially as the economy improves. We will need to keep educating customers that we are here, available, and can save them money. We must also develop new and inventive ways to advertise. Everything is moving to streaming and digital platforms, so we must make sure we are there. I can see us hiring someone within the next five years to oversee our online advertising and optimize it to improve our performance. 

Scaling for Growth 

Jake Nawrocki: We are working on a plan to expand in the next 10 years. We just built a storage facility that we can grow into over time to scale. Right now, we are a small operation. We currently dismantle between 400 and 500 cars per year, and we hope to nearly double that in the next two years. We are well-positioned to grow, with four dismantling bays and the ability to add a fifth. We have the storage to eventually process about 1,500 cars per year, which is more of a 10- to 15-year plan. 

Every time we decide that scale will automatically grow our business, we run into the challenges that come along with scale. Sometimes we find ourselves scaling back and going deeper into each vehicle so we can do fewer vehicles at a higher margin. We go back and forth, trying to balance our best margin with doing as many vehicles as possible. 

I really like keeping our quality as high as possible. When we try to grow, increase output, or scale up, quality can suffer. That is part of what happens when you speed up or try to do more with less. 

You never have exactly the right number of people. When we are in an uptick and busy, we always seem to be behind. People work faster and longer hours, and mistakes happen.  

That is what I personally want to avoid. It is the reason we want to grow slowly—so we can maintain the highest possible quality and this is our biggest challenge. 

Workforce Development 

Michael Carcone: Continuous education and upskilling will be essential. Employees will need a deeper understanding of advanced systems, particularly as vehicles become more technologically complex. Investing in training will ensure our team remains capable, safe, and efficient. 

David Gold: As vehicle technology advances, our workforce will need to evolve alongside it. This means more technical training, greater specialization, and a deeper understanding of electronic and software-driven components. We will need to attract and retain talent that is comfortable working with increasingly complex systems. Continuous education and upskilling will become even more important. 

Lloyd Welty: Post-COVID through the end of last year, hiring was a struggle, but now it seems like more people are coming to us. The demand for higher pay will continue to rise, and we will have to hire more specialized people. The workforce is changing as well, with younger workers determining their own hours and being more likely to be late or not show up, making it harder to build consistency. 

AI and Automation  

Michael Carcone: AI and automation will serve as complementary tools rather than replacements. They will enhance our capabilities in several areas, including: 

• Improving vehicle bidding and inventory processes, 

• Supporting sales teams by handling overflow or after-hours inquiries, and 

• Providing better data insights for decision-making. 

Used effectively, AI will expand our “toolbox” and improve both efficiency and customer service. 

John Catalano Jr: We will implement more automation across the operation in the future, along with increased use of handheld devices for testing and validating more complex components. Simultaneously, online sales will grow significantly. Customers want speed, accuracy, and convenience, and technology pushes everything in that direction.  

AI is going to play a major role, especially on the customer service and phone sales side. It’s going to streamline processes, improve response times, and handle the bulk of the routine workload. This doesn’t eliminate people—it raises the bar. The workforce will shift toward more skilled, tech-savvy individuals who can manage systems, interpret data, and oversee more automated processes with less manual hand holding. The companies that lean into that shift and build the right team around it will have a major advantage. The ones that don’t are going to feel it. 

David Gold: AI and automation will absolutely play a role, though it’s still early to fully understand how they will integrate into our day-to-day operations. This business has always had an element of “art” to it—judgment, experience, and intuition are still key.  

However, AI is improving rapidly and will likely enhance areas such as inventory management, pricing, parts identification, and operational efficiency. I’m optimistic that these tools will complement what we do rather than replace it. 

Amber Kendrick: Integrating AI into our business practices will be both a challenge and an opportunity! We use ARI through Auto Partnered Solutions to answer overflow and after-hours phone calls, and RingCentral to evaluate phone calls and help manage salespeople. I can foresee utilizing it for buying, pricing, inventory, and more. It could be very powerful in updating accounts, sending messages to lost customers, identifying problem accounts, and performing other business tasks. 

Jake Nawrocki: We are experimenting with AI tools. Katie [Joles, business partner and sibling] handles all car buying, and she uses a tool to preview auctions, with mixed results. We tried an AI agent to augment our phone answering, but found it wasn’t as customizable as we would like. Instead, we hired another salesperson, and I think that will be much better for us. We will keep an eye on the future development of AI. 

Lloyd Welty: We are currently researching AI technology for our phone system and website. It is a critical time right now to get started and not play catch-up. I believe it can help us with routing calls. If a customer wants a part price, ideally, the AI can access the database and provide that price out the door. That would provide our CSRs more time to answer car-buying calls. One challenge for us will be for the Spanish-speaking callers. In Texas, they often speak a hybrid of English and Spanish, so this is a consideration for automating calls. 

Inventory & Sales 

Michael Carcone: We anticipate a surge of new vehicle types entering the market. This will create more opportunities across the board. To adapt, we plan to deepen our inventory and broaden our offerings to meet the evolving demands of customers and the industry. 

David Gold: Our core parts—the traditional top sellers—will remain important. However, we are already seeing increased value in technology-driven components, particularly ADAS (Advanced Driver Assistance Systems). As these systems become more prevalent, recyclers will need to develop the capability to properly handle, test, and market these parts. 

Lloyd Welty: For self-service, inventory will be market-based. When I look at my inventory now, quite a few of our vehicles are 2019 and newer. We are already starting to get that newer inventory, and it will be interesting to see how quickly it sells. I think inventory will play a big role. Customers are more comfortable coming in for body parts, especially if they have a little fender bender and need something affordable. Keeping our inventory newer will help. 

Technology-Related Parts 

John Catalano Jr: I believe the future will bring increased demand for electronic components, including sensors, modules, and other advanced systems that historically were not widely resold in our industry. As vehicles become more technology-driven, these parts will represent a growing share of both inventory and revenue opportunities. To capitalize on this, recyclers will need to adapt by developing the capability to properly harvest, test, and reprogram these components if needed. This may require new processes, equipment, and technical expertise, but it also opens the door to higher-value parts and expanded product offerings. Those who invest early in understanding and managing these technologies will be well-positioned to capture new revenue streams as the market continues to evolve. 

David Gold: ADAS components, sensors, cameras, and electronic modules will become more significant revenue drivers. To capitalize on this, recyclers will need better diagnostic capabilities, improved inventory systems, and potentially new partnerships to ensure these parts are properly calibrated and ready for reuse. 

The Role of Certification 

Michael Carcone: Certification is—and will continue to be—critical to our success. As vehicle technology becomes more advanced, proper training and certification are essential to ensure safety and competency. For example, working on electric vehicles requires specialized knowledge and safety protocols. Investing in certification ensures our team can confidently and safely handle new technologies. 

John Catalano Jr: I strongly believe that certification plays an important role in both our current success and future. It helps elevate standards across the industry and creates a more consistent level of quality and accountability. Going through the certification process reinforces best practices, improves operational discipline, and builds greater trust with customers and partners. Ultimately, it’s a positive step not just for individual businesses but for the credibility and advancement of the automotive recycling industry. 

David Gold: Certification has been a key part of our success and will continue to be moving forward. Programs like ARA Certified Automotive Recycler (CAR), the new ARA and URG Certified Automotive Recycler of Excellence (CARE) Program [formerly ARA Gold Seal], and Green Vehicle Disposal (GVD) have helped differentiate professional recyclers from less compliant operators. They also provide assurance to customers, insurers, and the public that vehicles are being handled responsibly. For anyone serious about long-term success, certification is essential. 

Jake Nawrocki: We were the first yard in Wisconsin to get ARA Gold Seal Certified, and we were ecstatic about that. We are also ARA CAR, Recall, and HVV Certified. We did the work, and it paid off immediately. When eBay allowed airbag sales to certified recyclers, we had airbags on eBay on day one. We complete all the certifications we can. 

Furthermore, I think it may become a determining factor in whether some businesses continue or close up. If regulatory issues become more challenging, certification will help us adapt more easily because we will already be doing what is expected. It also keeps us more accountable. 

Amber Kendrick: For as long as I can remember, even as a teenager working part-time at Pete’s Auto Parts, we’ve always participated in the available certification programs, and we will continue to do that—it has always strengthened our business. I am not a fan of paperwork for paperwork’s sake, but the ARA CAR program and the Gold Seal program helped my business immensely. Soon we will have the combined ARA and URG Certified Automotive Recycler of Excellence (CARE) Program [formerly ARA Gold Seal], and I’m sure we’ll do that program as well, not only because it can lend credibility but because we find spot checking, auditing, having written policies, and then following up on those standards holds us to the highest level and helps us get better at what we do! 

Caryn Smith is the editor of Automotive Recycling magazine and Automotive Recycling ToolBox Edition. She has been covering the industry for 25+ years. As a freelance writer, she is a contributor for other industry publications, such as Recycling Today, International Filtration News and International Fiber Journal, among others. 

The way a car is built determines how it is dismantled, what its parts are worth, and whether those materials can find a second life. As the assembly line reinvents itself—and as the very definition of a “car” expands to include rolling software platforms, battery-powered drivetrains, and potentially hydrogen fuel cells—the automotive recycling industry needs to watch the factory floor as closely as the salvage yard. 

The Next 5 Years (Through 2030): Fewer Parts, Smarter Machines, and a Flood of Batteries 

The most disruptive near-term shift in manufacturing is already underway: gigacasting. Using ultra-large die-casting machines that generate between 6,000 and 9,000 tons of locking force, manufacturers are injecting molten aluminum into molds to produce massive single-piece structural components¹—replacing what were previously dozens of stamped and welded pieces. Tesla pioneered the approach; Ford, Toyota, and others are accelerating adoption. Gigacasting cuts production time by up to 30%,² and the global market for this technology is projected to grow from $1.52 billion in 2025 to $7.04 billion by 2035.³ For recyclers, large single-piece aluminum castings simplify some disassembly steps but can complicate material separation, an issue the industry is still working through. 

Meanwhile, the automotive AI market is expected to grow at a compound annual growth rate of 23.4% from 2025 to 2030,⁴ with smart factories integrating advanced robotics and machine learning to reduce errors and improve production efficiency. Level 2 vehicle automation—where vehicles assist drivers with steering, braking, and acceleration—is entering mainstream models,⁵ dramatically increasing the number of sensors, processors, and electronic control units in each vehicle. 

Electric Vehicles: The Battery Wave Arrives.  

The first large wave of end-of-life EVs is arriving now. The lithium-ion battery recycling market is projected to grow from roughly $6.9 billion in 2026 to $37.5 billion by 2035, while second-life battery capacity is expected to scale from about 25–30 GWh in 2025 to 330–350 GWh by 2030.⁶ 

For automotive recyclers, those numbers represent a genuine business opportunity—but only for those who are prepared. Recovered EV batteries are not just waste; they are value-dense assets that can be resold for repurposing to use in everything from solar microgrids to backup power stations. But value only emerges when there is transparency, safety, and standards.⁷ Companies like Smartville have developed field-deployable battery assessment tools that allow recyclers to evaluate a pack’s state of health in minutes—information essential to routing a battery toward its highest-value next use. 

Second-life battery applications capture a 30–50% cost advantage over new batteries while generating residual value for automotive assets.⁸ The three end-of-life pathways now competing for every battery are refurbishment and resale (back into vehicle use), second-life deployment in stationary energy storage, and materials recycling for critical mineral recovery. The right choice depends on remaining capacity, chemistry, and the buyer market—and investment recovery teams who act now have time to build the data backbone before regulations tighten further. 

The Car as a Software Platform.  

Even in the near term, the vehicle is no longer just a mechanical object. Connected cars can generate around 25 GB of data per hour, and autonomous vehicles more than 300 TB per year.⁹ Over-the-air (OTA) updates are transforming vehicles into living products that can receive performance enhancements, safety patches, and new features long after leaving the dealership,¹⁰ moving the automotive industry toward a continuous delivery model similar to consumer electronics. Software-defined vehicles offer OEMs new opportunities to unlock value through data monetization and digital services, with 30% of companies focusing on this strategy to boost customer satisfaction.¹¹ 

For recyclers, this has a direct implication: the electronics content of vehicles entering the yard will grow sharply. High-performance computing modules, sensor arrays, and communication hardware will become standard salvage items with significant recovery value—provided recyclers develop the expertise to identify, test, and market them. 

The Next 10 Years (Through 2035):  New Materials, New Rules, and an Uncertain ICE Horizon 

Will ICE Vehicles Disappear?  

The short answer is: not from your yard, and not any time soon—but new ICE vehicles will become increasingly rare in certain markets. The EU has revoked its outright 2035 ban on new ICE vehicles, instead requiring carmakers to comply with a 90% reduction in CO2 emissions from 2035, while still allowing plug-in hybrids, range extenders, and mild hybrids to continue.¹² In the U.S., the picture is similarly mixed—California and about 16 states have moved toward restricting new ICE sales, while others have explicitly rejected those targets. 

The reality on the ground is that when people talk about EVs accounting for 50–100% of the market, they are referring to new-vehicle sales, which will still be a small share of the vehicles on the road.¹³ The average vehicle stays in service for roughly 15 years, meaning hundreds of millions of ICE vehicles will remain in circulation well into the 2040s. For automotive recyclers, ICE-powered vehicles will continue to dominate the salvage stream for the foreseeable future, even as the new-car mix shifts. 

Materials in Transition.  

The material mix of newer vehicles will change substantially. Aluminum has moved beyond niche use and is now fairly standard in certain components, while composites—offering strength, light weight, and design flexibility—continue to grow in application, particularly in EVs and higher-end vehicles.¹⁴ Aluminum, magnesium, and composite materials are set to replace mild steel in more component categories, and carbon fiber-reinforced plastics may also reduce costs as production scales.¹⁵ The global automotive materials market, valued at $148.2 billion in 2025, is projected to reach $241.5 billion by 2033.¹⁶ 

On the battery side, the chemistry will also evolve. Solid-state batteries offer higher energy density, longer lifespan, faster charging times, and improved safety because they lack flammable liquid electrolytes.¹⁷ Nissan has targeted a pilot production line and full commercialization of solid-state batteries by fiscal 2028.¹⁸ BloombergNEF projects solid-state batteries to account for approximately 10% of global EV and battery storage demand by 2035,¹⁹ with initial deployment concentrated in premium vehicles—meaning high-value, next-generation battery packs will begin entering the recycling stream before the end of this decade. 

EV Battery Revenue Opportunities for Recyclers.  

The economics of battery end-of-life management are becoming clearer. Modern hydrometallurgical recycling recovers 95% of lithium and cobalt and 97% of nickel, turning what was once hazardous waste into a measurable revenue line, with recovered-metal credits often offsetting the recycling cost for NMC chemistries. For packs with more remaining useful life, the picture is even better: repurposing captures the value of end-of-life EV batteries by reconfiguring them into useful electricity storage products, generating more revenue and reducing costs for battery owners. Second-life packs deployed in commercial energy storage can achieve approximately $116 per kWh in well-structured deals.²⁰ 

Recyclers will need robust procedures for battery handling, condition assessment, fire prevention, and traceability—and those operators able to safely remove, test, classify, and supply packs into reuse channels, rather than sending them directly to materials recycling, may be better positioned as this market matures.⁷ 

The Software-Defined Vehicle Deepens.  

The automotive software market is rising from $21.08 billion in 2026 to $32.93 billion by 2031, driven by the shift toward software-defined vehicles where centralized computing, OTA updates, and subscription-based features are becoming standard.²¹ The SDV market in China alone is projected to grow from $18.2 billion in 2025 to $69.5 billion by 2031.²² As software increasingly controls not just infotainment but steering, braking, and propulsion, the electronics architecture of the vehicle becomes both its most valuable system and one of the most complex to manage at the end of life. Recyclers who build expertise in identifying and certifying reusable electronics will find a growing market for those components. 

Hydrogen: A Niche with Long-Term Potential.  

Hydrogen fuel cell vehicles will not replace battery-electric vehicles in the passenger car segment within this window — but they should not be written off. Even by 2037, fuel cell electric vehicles are expected to make up only 0.22% of the total global light-vehicle market, while battery EVs are forecast to account for more than 50%.²³ However, hydrogen’s promise is stronger in commercial transport. Hydrogen fuel cell vehicles offer a driving range of over 300 miles and can be refueled in under 10 minutes,²⁴ making them competitive for long-haul trucking, transit buses, and heavy equipment — vehicle categories that also pass through recycling facilities. 

The Next 25 Years (Through 2050): The Circular Vehicle and the Hydrogen Question 

By 2050, the vehicle may be designed with its own disassembly in mind. The automotive industry is increasingly embracing Design for Disassembly (DfD), which aims to make it easier to recover valuable materials at the end of life—including modular construction using standardized fasteners and snap-fit connections that allow easy separation of different materials.²⁵ 

Closed-loop manufacturing—where end-of-life materials are recycled directly into new vehicle production—will move from a pilot program to standard practice. BMW Group has already established a closed loop in battery production to recover cobalt, nickel, and lithium from used high-voltage batteries, returning those secondary materials to the supply chain to make new batteries.²⁶ Toyota in Europe has achieved 96 to 97% reuse and recovery rates across various vehicle components, including batteries.²⁷ 

The EV Battery Economy at Scale.  

By 2050, the volume of retired EV batteries will be enormous. Research from Tsinghua University suggests that second-life batteries could meet up to 67% of China’s energy storage demand by 2050, provided packs are safely tested, graded, and redeployed.²⁸ That scale of demand for battery triage, testing, and routing will require a professionalized supply chain—one in which automotive recyclers play a central role as the first point of contact for end-of-life packs. 

Hydrogen’s Long Game.  

Over a 25-year horizon, hydrogen becomes a more significant variable. Research suggests the cost of producing green hydrogen may decrease by up to 85% by 2050, making it more competitive with other fuels,²⁹ and some analyses project a global deployment of over 100 million fuel cell vehicles by mid-century under aggressive decarbonization scenarios. Toyota has committed to all-zero-emissions vehicles by 2050 with a heavy emphasis on hydrogen. If hydrogen scales meaningfully, the recycling implications are significant: fuel cell stacks contain platinum group metals of high recovery value, and hydrogen storage systems—high-pressure tanks built from advanced composites—will require new handling and processing protocols. 

A New Kind of Recycling Literacy.  

Manufacturers and suppliers are already developing automated precision dismantling systems leveraging robotics and AI to improve the purity and recoverability of end-of-life vehicle materials³⁰—technology that, at scale, could transform the economics of the salvage process entirely. The vehicle of 2050 will be lighter, smarter, more electrified, and more intentionally recyclable than anything on the road today. 

For automotive recyclers, the mandate is clear: the industry that learns to read a battery’s state of health, extract and route electronics, process multi-material composites, and engage with the vehicle’s software layer will be the industry that leads in the decades ahead. The dots are there. Connecting them—from the factory floor to the salvage yard to the energy grid—is the opportunity of a generation. 

Resources 

1. Assembly Magazine. “Gigacasting: The Next Big Idea in Automotive Manufacturing?” December 19, 2025. www.assemblymag.com 

2. FutureBridge. “How Gigacasting Is Becoming the Benchmark for Next-Gen Automotive Production.” January 19, 2026. www.futurebridge.com 

3. Roots Analysis. “Gigacasting Market Size, Share, Trends & Insight Report 2035.” www.rootsanalysis.com 

4. RCO Engineering. “7 Automotive Manufacturing Trends.” March 24, 2025.  

www.rcoeng.com 

5. TechInsights. “Automotive Tech Trends: What to Expect in 2025.”  

www.techinsights.com 

6. Invrecovery.org. “EV Battery Recycling for Investment Recovery:  

The 2026 Playbook.” April 2026. invrecovery.org 

7. Auto Recycling World. “Rebuilding Power: How Smartville Is Giving EV Batteries a Second Life.” July 30, 2025. autorecyclingworld.com 

8. Circunomics. “Second-Life Applications for EV Batteries.” March 25, 2026.  

www.circunomics.com 

9. Dassault Systèmes. “Data and AI in the Automotive Industry.” March 2026. www.3ds.com 

10. Automotive-Transportation.news-articles.net. “The Rise of the Software-Defined Vehicle.” April 2026. 

11. Deloitte Global. “Software Defined Vehicles: Global Manufacturer Readiness Study.” October 2024. www.deloitte.com 

12. Euronews. “EU Carmakers to Comply with 90% Emissions Reduction by 2035  

as Full Combustion Engine Ban Scrapped.” December 16, 2025.  

www.euronews.com 

13. SEMA. “The Future of Internal-Combustion Engines.” www.sema.org 

14. Automotive-Technology.com. “Automotive Components & Material Innovations 2026.” April 2026. www.automotive-technology.com 

15. New Concept Technology. “Future of Automotive Design: Innovations & Trends.” March 3, 2026. www.newconcepttech.com 

16. Future Data Stats. “Automotive Materials Market Size & Industry Growth 2030.” www.futuredatastats.com 

17. AI Eco EV. “The Future of Solid State Batteries: A Comprehensive Analysis.” October 2025. aiecoev.com 

18. Intelligent Living. “Solid-State Battery Scoreboard 2025–2026.” 

 February 21, 2026. www.intelligentliving.com 

19. Inside EVs. “All Current and Upcoming EVs With Solid-State Batteries.”  

January 5, 2026. insideevs.com 

20. Arthur D. Little. “Second Life: Maximizing Lifecycle Value of EV Batteries.”  

www.adlittle.com 

21. Mordor Intelligence / GlobeNewswire. “Automotive Software Market Outlook 2026–2031.” May 4, 2026. www.globenewswire.com 

22. Jabil. “The Software-Defined Vehicle: Impacts Across the Automotive Ecosystem.” March 2026. www.jabil.com

Hill Days, to be held on May 19-21, 2026, is ARA’s annual advocacy event that brings industry leaders together in Washington, D.C. for education, engagement, and direct dialogue with lawmakers. Over the course of three days, participants will gain the tools and confidence needed to effectively advocate key legislative priorities while building meaningful connections with peers and association leadership. Register now at https://www.a-r-a.org/calendar-2/hill-days/.

At NAATBATT 2026

In February Emil Nusbaum, ARA’s VP of Strategy, Government and Regulatory Affairs, traveled to Tucson, Arizona, to attend NAATBatt International’s Seventeenth Annual Meeting & Conference. NAATBatt International is the leading trade association representing the advanced battery industry in North America. Its membership spans the full battery lifecycle, including government agencies, battery recyclers, automotive manufacturers, and battery logistics companies.

As co-chair of the Policy and Regulatory Committee, Emil led the Policy & Regulatory Committee’s annual meeting and discussed how federal and state policy activities are impacting the battery industry on key issues related to manufacturing, safety, extended producer responsibility, and recycling­, which are of significant importance to ARA member businesses and how they operate their facilities. With participation in NAATBatt’s annual conference and committees, ARA has been able to learn about trends in the automotive industry and the new and emerging technologies that automotive recyclers will see in the next generation of motor vehicles. ARA’s involvement underscores the importance of automotive recyclers in creating a strong automotive and battery industry relationships as a key player in the vehicle lifecycle.

New Episodes are Live!

ARA UNSCRIPTED is a candid, long form podcast hosted by Vince Edivan, Executive Director of the Automotive Recyclers Association. Each episode features open, unscripted conversations with leaders, innovators, and respected voices from across the automotive recycling industry and beyond.

With nine episodes already released and thousands of streams, the podcast has quickly built momentum and an engaged listener base. New episodes drop every other week, delivering consistent, high-quality content to industry professionals who value real conversation over polished soundbites.

With no scripts and no filters, the show dives into real discussions about work, leadership, challenges, wins, and the human side of the industry—sharing authentic stories and insights that educate, inspire, and strengthen connection within the auto recycling community.

ARA Unscripted can be found on ARA’s YouTube channel as well as Spotify and Apple Podcasts.

Why Sponsor an Episode of ARA Unscripted?

Sponsoring an episode of ARA Unscripted puts your brand in front of an engaged, industry specific audience in a way that feels natural, trusted, and relationship driven—not like traditional advertising.

With thousands of listens across its first nine episodes and a steady bi-weekly release schedule, sponsors gain ongoing visibility in a growing media platform that listeners actively choose and trust. Each sponsored episode includes a host read message delivered organically within the show, allowing your company to share its story and demonstrate how it supports automotive recyclers and the industry as a whole.

Sponsorships are intentionally limited, ensuring clarity, exclusivity, and meaningful impact for each partner.

This is an ideal opportunity to:

• Build brand awareness with ARA members and industry professionals
• Strengthen credibility through authentic, host-delivered storytelling
• Align your company with ARA’s modern, high engagement media platform

Your message isn’t just heard—it’s associated with credibility, consistency, and real industry conversation.

Contact Vince today at vince@a-r-a.org for more information.

Connecting Out West

ARA President Shannon Nordstrom and Secretary Emily Yancey traveled back to Reno Nevada to the Peppermill Resort and Casino, the site of the 2024 ARA Convention, to represent ARA at the regional Western Auto Recycling Alliance “Driven to succeed” show. Shannon was a featured speaker talking about his personal experiences processing High Voltage Vehicles, storing and shipping the batteries and the challenges and opportunities it presents. Emily and Shannon engaged with professional recyclers from the western regions and enjoyed reacquainting with recyclers they had not worked with for a while and meeting new faces that are coming into the industry.

“It was great to connect with recyclers from California, Idaho, Colorado, Utah, New Mexico and other Western states and share our interest in what is best for the industry,” shared Shannon. “We were encouraged by the meeting and look forward to making deeper connections in the best interest of our industry. Sandy Blalock and Kim Glasscock put on a nice event and they said they were looking to build on it for the future to bring recyclers together understanding the importance of advocacy and association and to build something those in the west region of states can work together and can use long into the future.”

Leadership Transition for 2026-2027

In March, ARA announced that First Vice President, Sean Krause of Speedway Auto Parts, Joliet, IL, has officially stepped down from his leadership position on the ARA Executive Committee and Board of Directors. “It truly has been an honor to work with the brightest minds of our industry,” said Krause. “At this time, with a heavy heart, it pains me that I need to step down from my position as First Vice President and Board of Directors immediately for personal reasons. I can’t express how kind, understanding, and supportive everyone has been through these difficult times my family has been going through.”

“I have really enjoyed getting to know Sean during his time on the Executive Committee,” said ARA Executive Director, Vince Edivan. “His hard work and astute decision-making skills served the membership well.”

Association leadership team and staff are committed to ensuring a smooth transition and current President, Shannon Nordstrom, will serve an additional year as President for 2026/2027. Immediate Past President, Eric Wilbert, will also serve an additional year. During the Annual Meeting in October, a new Secretary will be elected and the Executive Committee will return to a five-member body.

Please purchase your 2026 CAR Record prior to your professional audit so that your auditor has a CAR Record to work with. As always, the dedicated contact

person at the auto recycling facility should fill out Section 1 – Facility Operation (the licensing and general information section) as well as the self-audit sections for High Voltage Vehicles (HVV), Recall (for airbag sales on eBay Motors) and the Gold Seal sections. Yes, Gold Seal will continue to be included in the CAR record in 2026 until the new Quality Compliance Program in partnership with URG is launched.

Being a CAR‑recognized member offers far more than a badge of honor—or even the branded swag you can order through Commercial Forms.

Members benefit from timely compliance reminders, enforcement alerts, and exclusive training opportunities designed to keep you informed, prepared, and confident in an evolving regulatory

environment.

A Clear Path Forward

ARA Board of Directors Approves 2026-2028 Association Strategic Plan

By Jessica Andrews

The January/February edition of Automotive Recycling magazine included a comprehensive “behind the scenes” look at the activities of ARA leadership and staff as they gathered for a Strategic Planning meeting and mapped the Association’s priorities for the next three years. ARA is pleased to announce that on February 17, 2026, the Board of Directors approved a Strategic Plan that will focus the Association’s work through 2028. Every three years, these meetings are held to keep leadership focused on agreed-upon priorities and staff focused on implementing specific goals.

The newly adopted Strategic Plan is organized around five interconnected pillars. Together, these pillars are designed to strengthen the professional automotive recycling industry, enhance member value, and position ARA as a trusted leader in advocacy, sustainability, and collaboration.

“The 2026–2028 Strategic Plan builds directly on the progress made over the past three years by shifting from building capacity to maximizing impact,” said Vince Edivan, ARA’s executive director. “From 2023–2025, ARA invested heavily in foundational work—launching a new website and CRM, strengthening advocacy leadership (particularly around EV and battery policy), expanding certification and compliance programs, and improving communications. The new plan leverages those investments by organizing the next phase of work into clear, interconnected pillars focused on execution, alignment, and measurable member value.”

Pillar One: Strengthening Membership at Every Stage

At the heart of the Plan is a renewed commitment to membership. ARA aims to strengthen, grow, and retain a membership base that truly reflects the diversity of the professional automotive recycling industry—how it looks now and what it may look like in the future. This includes serving all membership categories with a clear value proposition and a more consistent, engaging member experience throughout the year.

Key priorities include defining members’ goals and needs at each stage of the member journey, developing consistent marketing materials, and creating clear pathways that guide members through certification. The Plan also highlights specific benefit needs that staff have already begun working on.“We are looking to focus more on a practical, service-driven approach to membership value,” said ARA Senior Director of Member Services, Kelly Badillo.

Pillar Two: Advocacy as a Competitive Advantage

Advocacy remains central to ARA’s mission and is what truly sets ARA apart from any other organization. Through this pillar, the Association will work to continue to position itself as the trusted legislative and policy voice for automotive recyclers while advancing regulatory priorities that matter most to member companies. The Plan calls for expanded thought leadership on policy issues, stronger grassroots engagement, and closer alignment with affiliate organizations.

ARA will continue emphasizing the competitive advantages of Recycled OEM automotive parts over aftermarket and new OEM alternatives, while also formalizing a national framework for the battery lifecycle. Specific goals will likely be featured during the upcoming Spring Hill Days event.

Pillar Three: Financial Sustainability and Growth

To ensure long-term stability, the Finance pillar focuses on diversifying the Association’s revenue streams, increasing transparency, and expanding philanthropic support for the Automotive Recycling Training Institute (ARTI). Central to this effort is raising awareness of ARTI as a 501(c)(3) organization and strengthening year-round fundraising efforts. Please be on the lookout for opportunities to support the critical work that ARTI does on behalf of the industry!

The Plan also prioritizes nonconventional revenue opportunities, expanded donor and sponsor engagement, grant development, and improved payment and donation pathways. By broadening non-dues revenue streams and leveraging existing assets, ARA aims to build a more robust financial foundation that supports its mission well into the future.

Pillar Four: Elevating Awareness Through Marketing

Marketing and awareness efforts designed to increase the credibility and influence of ARA, its members, and its certification programs—both within and beyond the industry—are at the forefront of this Pillar. Awareness was a major component of the previous Strategic Plan, which ultimately led to the formation of the ARA Awareness Committee, and it remains a priority for the Association leadership.

Member-driven storytelling will play a key role, alongside campaigns that highlight the industry’s environmental “green” story. ARA also plans to expand recognition and endorsements of its certification programs and develop marketing materials as a service offering to members. ARA tested this initiative with a Valentine’s Day offering of 5 social media posts for members to download and use, and it was a great success!

Pillar Five: Strategic Partnerships for Greater Impact

The final pillar focuses on strengthening ARA’s impact through meaningful partnerships with industry organizations, affiliates, vendors, consolidators, and government entities. By clearly defining collaboration goals, defining how those partnerships benefit ARA member businesses, and setting realistic expectations, ARA aims to ensure that partnerships deliver tangible benefits to members.

A Unified, Member Focused Vision

Taken together, ARA’s 2026–2028 Strategic Plan presents a cohesive roadmap built on alignment, accountability, and member value. By integrating membership growth, advocacy leadership, financial sustainability, marketing visibility, and strategic partnerships, the Association is positioning itself—and its members—for a stronger, more influential future.

Making an Impact

Through this strategy, ARA aims to deliver clearer and more consistent value to members by improving the member journey, strengthening retention and growth, and ensuring members understand and benefit from ARA programs year round. “The

plan also prioritizes reinforcing ARA’s role as the trusted voice of the automotive recycling industry,” Edivan continues, “as well as increasing visibility and storytelling around our impact, diversifying revenue beyond dues, and deepening strategic partnerships that extend ARA’s influence and effectiveness through 2028.

New initiatives such as the ARA podcast directly support the strategy by increasing visibility, engagement, and non dues revenue. “The podcast helps position ARA as the voice of the industry by highlighting advocacy work, member stories, and industry leadership in an accessible format,” he shared. “At the same time, sponsorship opportunities tied to the podcast contribute to financial sustainability, while the content itself strengthens ongoing engagement with members and partners throughout the year.”

—Jessica Andrews is the Senior Director of Operations for the Automotive Recyclers Association.

The Vehicle Recyclers’ Association (formerly known as the Motor Vehicle Dismantlers’ Association—MVDA) was formed in 1943, and has been representing the interests of UK vehicle recyclers ever since. VGA members are spread throughout the UK, in England, Scotland, Wales and Northern Ireland. 

A key highlight of the AGM was the celebration of the individuals whose leadership and dedication have shaped the VRA’s journey. 

Graham Hall, the outgoing President, was recognized with lifetime honorary membership and a special presentation for his years of service, guidance, and unwavering support. His legacy is woven into the association’s fabric. 

Long-standing Treasurer Jason Bishop was presented with a well-deserved trophy marking more than a decade of committed service—his financial stewardship has been central to the VRA’s stability and growth. 

In his absence, the immediate past Chairman, Ray Kirk, was also honored with an award for his significant contribution and leadership.  

These individuals have laid the foundations for the next phase of the VRA.  

Members voted in a refreshed leadership team committed to driving the association  

forward with energy and focus. 

• Chair: Andy Latham 

• President: Terry Charlton 

• Treasurers (shared role): Rob Austin & Savo Vavan 

The full committee remains in place to ensure continuity, and the VRA signaled a commitment to broadening representation by welcoming more expertise, diverse voices, and industry engagement as the association grows. 

At the heart of the AGM was the unveiling of what we are calling VRA 2.0—an ambitious plan to modernize how the association operates. 

This new vision for VRA centers on four strategic priorities critical to the future of the industry: 

To deliver on these priorities, the VRA will adopt a more structured, accountable governance model. An executive committee, supported by a wider management committee and a dedicated administrator, will ensure each area receives focused attention. Clearly defined roles, measurable progress, and transparent use of resources will underpin this transformation. 

The goal is simple: to create a proactive, future-ready trade association that supports its members with professionalism, credibility, and purpose. 

Members were unequivocal in calling for continued transparency and strong governance. The association’s reserves belong to its members, and every decision must respect and protect that responsibility. 

There was also widespread recognition that the VRA’s drive for professional standards in recent years has elevated the entire sector. The ambition now is not just to maintain that momentum—but to accelerate it. 

With stronger governance, a broader base of expertise, and a sharper focus on the issues that matter most, the association is positioning itself—and its members—to stay ahead of emerging regulations, evolving technology, and new commercial opportunities, and now the real work begins as we come together to build a VRA that is more resilient, more influential, and more valuable to every member. 

NEW—CHECK OUT ARA’S PODCAST! 

ARA UNSCRIPTED is a candid, open-format podcast where ARA Executive Director, Vince Edivan sits down with interesting people from across the automotive recycling industry and beyond. We dive into real conversations about work, life, leadership, challenges, wins, and everything in between. No scripts. No filters. Just authentic stories and insights that inspire, educate, and connect. 

Representing ARA at SAE’s Government/Industry Meeting 

Emil Nusbaum, Vice President of Strategy, Government & Regulatory Affairs for the Automotive Recyclers Association, attended SAE’s Government/Industry Meeting (GIM) in Washington, D.C. January 20th – January 22nd. GIM provides a unique, neutral forum where policymakers, regulators, academia, OEMs, and industry leaders come together to share perspectives on critical mobility issues, including safety, emissions, and environmental policy. Emil’s participation helps ensure automotive recyclers are part of these important discussions—supporting the kind of informed dialogue that leads to practical, effective policies and a stronger future for our industry. 

Urgent NHTSA Industry Alert: Two More Deaths from Substandard, Dangerous Chinese Air Bag Inflators 

The National Highway Traffic Safety Administration warns all vehicle suppliers, dealerships, mechanics, distributors, and law enforcement agencies that ruptured replacement air bag inflators made by China’s Jilin Province Detiannuo Automobile Safety System Co. (DTN) have killed or injured vehicle occupants in at least 10 crashes. NHTSA urgently advises to not install substandard inflators from this company and to ensure any used vehicles that have been in a previous crash where the air bag deployed now have air bags that are legitimate replacements. All parties should be extremely cautious about sourcing air bag modules and utilize verifiable vendors. 

NHTSA is now aware of eight drivers who were killed in otherwise survivable crashes, while two other drivers suffered severe injuries. Each vehicle had its original equipment air bag replaced after a previous crash. Although all known crashes have occurred in Chevrolet Malibu and Hyundai Sonata vehicles with salvage or rebuilt titles, NHTSA does not have information to suggest the risk is limited just to these makes and models. The agency is issuing a Consumer Alert to used car buyers and owners after the two most recent crashes in December claimed the lives of two more drivers of vehicles with DTN replacement air bag inflators likely illegally imported from China. 

These dangerous, substandard air bag inflators have malfunctioned in crashes, sending large metal fragments into drivers’ chests, necks, eyes, and faces, killing or severely injuring people in otherwise survivable crashes. NHTSA has an open investigation into these DTN inflators. 

As DTN has acknowledged on its website, the inflators are prohibited from sale in the United States. Whoever is bringing them into the country and installing them is putting American families in danger. The auto repair industry should be on the lookout for these dangerous inflators and should alert NHTSA immediately with any additional information. 

Your customers trust that you are providing quality components that comply with the highest safety standards. Use reputable vendors and be on the lookout for any dubious transactions that could involve DTN replacement air bag inflators. For dealers, it is important to know the history of vehicles in your inventory. If a vehicle has been in a previous crash where the air bag deployed, it should be inspected immediately for one of these inflators, especially if it has a salvage or rebuilt title.  

If you find a DTN inflator, the vehicle should not be driven until the inflator is replaced with genuine parts. If you know of the sale or distribution of DTN inflators or encounter a vehicle with one of these suspect parts, contact the local Homeland Security Investigations office or FBI field office to report it, or submit an online complaint to the National Intellectual Property Rights Coordination Center.  

Also, report it to NHTSA online or by calling the agency’s Vehicle Safety Hotline at 888-327-4236, Monday through Friday, 8 a.m. to 8 p.m. Eastern time.   

As the automotive recycling workplace continues to evolve and our businesses struggle to keep and find qualified employees we need to focus on planning for an unknown future. What is in store for us for 2022 and beyond, and how do we assure that we continue to attract and keep the talent we need to run our professional auto recycling businesses.

One of the top culture trends all businesses are seeing is that flexibility rules!

The reality is that companies must now offer more flexibility in the workplace. But flexibility applies to more than just where, or even when, employees work. It also means letting employees have a voice in deciding which type of work they do at home vs. in the office, where applicable. Obviously, our production staff cannot work from home so we will have to get creative in finding appealing options for them to provide choices in flexibility.

Moving forward, employees will expect increased flexibility in many aspects of their work lives and will change jobs, if necessary, to get it. When employees have flexibility in how they work, just about all outcomes improve and studies show a 77% higher likelihood of retention. Obviously, it is not feasible to have all remote workers, but even those on-site can have some flexibility such as hours worked, job sharing with others, shorter work weeks or even split days to accommodate family schedules, such as in a flexible starting time, or working four loaded days, and having Fridays off.

Three key areas that you might be able to incorporate flexibility into your staff’s schedule include:

1. Give employees a say in where and when they work. Set clear expectations of when and how they should be available. This ensures employees are reachable but also provides boundaries to prevent burnout. Give guidelines as to what work is best done on-site vs. at home, and why.

2. Provide opportunities for connection. In the office, create physical space and allow time to collaborate and interact socially. For remote employees, be sure to check in often and use tools to help people stay connected to their teams and the organization.

3. Have a solid strategy for remote and hybrid workers. It can be difficult for employees and leaders to identify growth opportunities from a distance. Ensure employees can practice new skills, work on special projects, and see their progress.

As the available talent pool continues to shrink, it puts additional power into the hands of job seekers as well as your current staff. I would say try to stay ahead of the curve and don’t wait for them to ask for higher pay. Recognize the talent you have and work diligently to keep them – you certainly do not want others vying for their in-demand skills and experience.  Talented people in our industry deserve to be recognized for their specialized training and skills, and we should not have to be competing with the pay scale of fast food restaurants. If you are serious about keeping qualified employees do your due diligence and make sure they are on a pay scale comparable to their skill and experience level. Remember ARA and your state associations are great resources for training. Hope to see many of you at some of our state or regional shows and, of course, the 79th Annual ARA Convention & Expo, September 22-24th in Orlando.

Sandy Blalock is the Executive Director of the Automotive Recyclers