Morning News (Reporter Jiang Shenjun, Interviewer Yang Kaihua, Zhu Tianhua)
In the past, when cars were scrapped, they were often destroyed with sledgehammers, leading to pollution and waste. However, a new approach is now emerging—car remanufacturing. This process allows old vehicles to find a second life, producing parts that hold up to 50% of the original value, effectively "rebuilding" half a car.
Yesterday afternoon, Wuhan Dongfeng Hongtai Co., Ltd., a core subsidiary of Dongfeng Company, received official approval from the National Development and Reform Commission. It became one of the first pilot enterprises in Hubei Province to enter the automobile parts remanufacturing industry in China.
Currently, most scrapped cars are simply dismantled using basic methods like gas welding and hammering, with scrap metal being melted down. While Wuhan has two qualified companies for recycling and dismantling, none are equipped to remanufacture valuable car parts. Over 90% of materials on a vehicle can be recovered, yet many components are still burned or discarded, causing both resource waste and environmental harm.
Wang Zhenkun, General Manager of Dongfeng Hongtai, explained that through proper processing, recycled cars can be turned into high-quality spare parts for after-sales service. For example, a Fukang car worth 60,000 yuan may only have a residual value of 300 yuan after being scrapped. But if its engine or transmission is still functional, it could be remanufactured and sold at 30–50% of the price of a new part, potentially reaching up to 30,000 yuan.
Looking ahead, the company plans to recycle 10,000 vehicles next year. Wang emphasized that while the initial economic returns of the remanufacturing industry are small, the social and environmental benefits are significant. In developed countries, this industry is already well-established, offering products at nearly half the cost of new ones, with the same quality assurance. Many consumers prefer remanufactured parts due to their affordability and reliability.
Dongfeng Hongtai has already mastered the full process of car dismantling and remanufacturing. The next step is to build a standardized facility and officially launch its automotive recycling and remanufacturing operations. According to reports, by 2009, the company aims to handle 10,000 scrapped cars, 30,000 spare parts, and recycle 40,000 tons of materials.
With Wuhan currently having between 800,000 and 1 million vehicles on the road, and a compulsory scrapping rate of 3%, about 27,000 cars are scrapped annually. In the coming five years, the number of scrapped vehicles is expected to peak as more private cars reach the end of their lifespan.
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