Vehicle scrapping scheme introduced in China
We’re one of the largest UK vehicle recyclers processing over 40,000 vehicles annually across three sites in Poole, Nottingham and Rugby. Now imagine processing and scrapping over 100 times that amount of vehicles. This is the task China has set as it sets about reducing its infamous levels of pollution by 2015 that are substantially harming the environment.
The Chinese government will remove 6 million vehicles from its roads which fail to meet emissions standards from all regions whilst focusing specifically on the most polluted areas in the Northern region. Hebei province has been ordered to remove and scrap 660,000 cars with Beijing and Shanghai to scrap 330,000 and 160,000 vehicles respectively. It is estimated that 7.8% of cars on the road in China don’t meet these set emissions targets.
These plans have been introduced to help ensure that China meets global emissions standards and to prevent heavy financial penalties in the near future. As the plan gathers wind more vehicles will be scrapped from more developed areas such as the Yangtze River Delta and Beijing-Tianjin-Hebei.
If the plan succeeds China will bring in a new age of green-focused technologies and a wealth of new vehicles which meet emissions standards. These new vehicles albeit more environmentally sustainable won’t reduce the crippling congestion that ravages the larger cities that draw substantial commuters. Some areas have already had restrictions imposed on new vehicle registrations with only lotteries and auctions the options to obtain a new registration as a means of calming the sheer volume of vehicles on the road.
An important issue to address is what incentives will the government offer to encourage Chinese citizens to scrap vehicles. Will it echo the scheme introduced in 2009 by AlIstair Darling and the Labour government in the UK? Although deemed a success in ridding the UK’s roads of so many vehicles which fell foul of being environmentally friendly as car lovers we had our heads in our hands as we saw a large number of much loved and sought after vehicles head to car heaven via the crusher with nothing we could do about it.
We will have to pay close attention to this scheme as its global impact is huge. With China having such great buying power it dictates the price of many precious metals which we as a vehicle recycling facility are bound by. As a result if the price of scrap metals rises we will be able to pay more for vehicles and if it were to drop we have to adjust prices accordingly.
Are you interested in the environmental issues that affect the automotive industry? You can get involved with our Twitter networking hour starting 13th June which runs every Friday between 3pm and 4pm (GMT). We will cover topical stories and set challenges to encourage you to unleash your green alter-ego. Use the hashtag #AutoEco to join in.