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Green Recycled Parts Study

To reduce the carbon impacts of the automotive industry in response to climate change, most attention to date has been given to switching from fossil-fuel powered internal combustion engine (ICE) vehicles to hybrid and electric vehicles (EVs). A wealth of research has shown the potential reduction in emissions from operating EVs compared to ICE vehicles, and more recent analysis has shown how the emissions over the lifecycle of a vehicle, including manufacture, use, and disposal differ between EVs and ICE vehicles.

However, the same level of investigation into emissions reduction opportunities has not yet been applied to the complementary goods and services related to motor vehicles once they are placed in the market (i.e., the post-dealership servicing of vehicles), where huge volumes of components, parts, and consumables for vehicles are traded. For simplification, in this report this market will be referred to as the auto parts industry.

The auto parts industry is one of Canada’s largest retail markets, valued at over CAD 20 billion. Significant opportunities for emissions reduction and decarbonisation of the automotive space also exist in the auto parts market, and the industry is beginning to understand and explore this.

This study aims to:

• show the potential environmental impacts of using green recycled parts instead of new parts for replacement in vehicle repairs in Ontario.

• identify potential actions that different market actors can take for supporting the growth of green recycled parts in Ontario.

The first part of the report focuses on the Canadian and Ontario auto dismantling industry, outlining the volumes and market dynamics that rule this space. This part also identifies the different drivers for actors in the green recycled parts market.

The second part explores the evidence for the environmental impact that individual parts can have when reused. The individual parts reviewed includes the 13 top selling parts, as provided by the Ontario Automotive Recycling Association (OARA), who commissioned this study. This part estimates the total environmental impacts of the green recycled parts supplied in Ontario.

The third part of the report uses the evidence gathered in the research to map the knowledge gaps for better understanding the impacts of green recycled parts; the opportunities to grow the market for green recycled pasts, and recommendations for the different actors in the market to support this.

You can download the Report HERE.