Archive for the ‘Uncategorized’ category

AS “NEW” ORIGINAL MANUFACTURER PARTS USE DELCINES, AUTO COMPANIES ATTACK QUALITY ALTERNATIVES

August 24th, 2010

stacked_carsConsumers and Environment Harmed by Groundless Attack on Recycled Automotive Parts

 As sure as the sun rises in the east and sets in the west, original equipment parts manufacturers, faced with declining sales, will aimlessly attack quality parts alternatives. The latest campaign comes from Hyundai Motor America, a subsidiary of Hyundai Motor Company of Korea. In a July 2010 press release, Hyundai proclaims, “Hyundai does not support the use or re-use of components removed or recycled from an existing collision-damaged vehicle.” Thus, one can infer from their statement that Hyundai does not support the repair and subsequent use back on the road of any vehicle that has been involved in a prior collision.

Unfortunately, automakers and “new” original equipment manufacturers (OEM) have a long history of erecting barriers to further their substantial hold on the vehicle parts replacement market. From withholding essential Vehicle Identification Number (VIN) information on the parts compatibility of various vehicle makes, models and years to the full court negative press campaign on the integrity of recycled parts, automakers stand as a road block to a more robust auto parts recycling network.

According to the most recent Mitchell Repair Collision Data, OEM parts represented “67.9% of all parts dollars specified by Mitchell-equipped estimators. This is yet another decline from previous quarters and reflects a continuing trend.” The steady movement away from new OE parts has occurred as consumers and the collision repair industry become better educated on the quality part alternatives that are in the marketplace. To put into prospective this trend, the new OE parts usage for the same report was 74.4% as recently as the second quarter of 2008.

At present, recycled auto parts are competing against a new OEM auto parts industry that command huge marketing and institutional advantages in the collision and mechanical auto repair markets. However, educated consumers embrace “recycled” auto parts usage because of the benefits to the environment along with their substantial consumer savings in reduced repair costs and lower insurance premiums. Not to mention, these quality “green” auto parts meet the performance, safety, fit and durability standards of the new OEM.
Furthermore, Hyundai and countless other automakers tout the quality of their own pre-owned vehicles that contain thousands of used parts. For instance, Hyundai’s website markets its own certified pre-owned vehicle program as a “practical choice” and one that “accomplishes the goals of the value-conscious consumer”.

Evoking a famous line by comedian George Carlin, “If you can’t beat them, arrange to have them beaten”. Regrettably, auto manufacturers are ” hammering” their own parts and needlessly trashing the very principles industry founders such as Henry Ford and Ransom Olds pioneered — interchangeable parts. These manufacturers “safety” campaigns are self serving and hypocritical especially when one takes into account that, last year alone, auto manufacturers had to recall some 16.4 million vehicles.

Misleading the American consumer about green auto recycled parts also has serious environmental consequences. Reuse is the most efficient form of recycling. It uses again an existing resource and saves all the original resources and energy that would have to go into making that new part. The carbon dioxide reductions for each recycled part reused is substantial. However, millions of potentially “green” recycled parts remain unused in today’s motor vehicle repair economy wasting valuable and scarce natural resources in the process.

“One would think that automakers that continue to try to promote themselves as being “green” would have a more progressive view of recycled OEM parts use,” says Automotive Recyclers Association’s (ARA) Chief Executive Officer Michael E. Wilson. Wilson added, “The recovery, reuse, and resale of quality recycled parts must remain readily available to consumers, who may not want or be able to financially afford “new” OEM parts, and require access to these alternative part choice for their vehicle repairs.”

Sign On to 1099 Repeal Letter

August 20th, 2010

pro_recycerBeginning in 2012, the new healthcare law requires businesses to send Form 1099s for every business-to-business transaction of $600 or more for both property and services—creating a tremendous new paperwork compliance burden for small business.  As members of the U.S. Chamber of Commerce and the National Federation of Independent Businesses, ARA has signed onto several 1099 repeal letters.  The Chamber of Commerce is sending another repeal letter to congress at the end o the month.  They have opened the letter to all businesses in the U.S. – even non-members.  Let your voice be near and sign on to the letter simply by clicking here.

Japanese firm to transfer car recycling technology to Nigeria

August 17th, 2010

globeAs part of measures aimed at protecting the environment and creating employment, a Japanese company, Kaitho Sangyo, has accepted to transfer the technology of automobile recycling to Nigeria, Kaitho Sangyo president oKondo Norihiko said in Abuja on Monday.

Kondo Norihiko is in Nigeria at the invitation of the United Nations Industrial Development Organisation (UNIDO) and the National Automotive Council (NAC) to visit some abandoned vehicle sites in the country.

Norihiko and his team visited some sites on Airport Road and Apo Mechanic Village in Abuja, where a lot of vehicles are abandoned.

The president of Kaitho Sangyo said most abandoned vehicles could be retrieved, recycled and re-used, not necessarily as a full vehicle but as spare parts.

“We also saw a lot of used oil from automobiles, which are wasted. This oil can be refined through special oil boiler and utilised for many purposes such oil for the engine or used for agricultural cultivation for farmers,’’ Norihiko.
He noted that the collaboration of government, private sector and international organisation was important to enhance and promote car parts recycling.

Win an I-Pad! It’s Easy!

August 12th, 2010

i_pad

ARA is launching its “Friends” Contest, which ARA members can easily enter into and have a chance to win a FREE I-Pad.  It’s simple!  All you have to do is place one of the ARA 2010 Convention & Exposition Web Banners on your website home page and send the webpage link to jennifer@a-r-a.org for verification.  You will then be entered in for a chance to WIN! 

Click HERE to copy and paste your ARA Banner promoting the 2010 ARA Convention & Exposition.  Hurry! Ads must be placed by September 15, 2010 to be eligible and must remain in effect until the end of the show (October 23rd!). 

The drawing for members to win a FREE I-Pad will be held at the ARA Annual Convention & Exposition – need not be present to win!

A lot less Messy… and A Lot More Fun! ARA Membership Contest Blitz is ON NOW!

August 12th, 2010

iStock_000000364212XSmallThis Membership Blitz will last only a few weeks.  You can win a Suite ($1000 value) at our 67th Annual Convention in Austin, Texas.  ARA Member Participants must accrue 10 points to place their name in the drawing. Participants will receive 3 points for each new automotive recycling member and 2 points for each associate/supplier member that sign up for ARA membership between now and October 1, 2010.

However, you can double your chance in August -  for each new member you sponsor your points will double.  The drawing will be held October 8 and the winner announced in the October 11 E-newsletter. Click here for a complete list of rules and prize description.

Attached is an easy-to-use application and list of benefits.  And, for a limited time, membership is only $350 ($225 for International businesses).  This is the best time to invite and have them join. 

If you have questions or need additional information, contact Kelly Badillo at kelly@a-r-a.org or (571) 208-0428.