David Gold argues the auto recycling sector still faces the core problem raised by his father, Ken Gold, in 2005: who should have the right to procure salvage. He says only licensed recyclers can ensure proper documentation, depollution and tax compliance, while unlicensed brokers fuel environmental risks, lost jobs and public revenue leakage.
David Gold, President of Standard Auto Wreckers, a parts supplier in Canada, reflects on a moment that shaped his view of the industry, and argues that the questions raised by his father, Ken Gold, at the 2005 Auto Recyclers Association Convention have only grown more urgent in today’s market.
I still remember sitting in the front row at the 2005 Auto Recyclers Association Convention as if it were yesterday. The room was full of people I respected, family operators, second- and third-generation recyclers, builders of this industry. When my father, Ken Gold, stepped up to the podium to deliver the keynote address, there was an electricity in the air. He didn’t mince words. He didn’t sugarcoat reality. He spoke plainly, passionately, and unapologetically about the injustices facing auto recyclers and the existential question that haunted him then, and still haunts me now:
Who has the right to procure salvage in our industry?
More than twenty years later, I can say this without hesitation: his words are more relevant today than they were in 2005.
A Father’s Warning, An Industry’s Crossroads
Ken’s speech was controversial at the time. That was part of its power. He called out uncomfortable truths about complacency, fragmentation, and how we, as recyclers, had allowed outsiders to intrude into a business that should be governed by licensing, accountability, and environmental responsibility.
He argued that licensed auto recyclers, governed by strict rules and ethical standards, should be the sole procurers of end-of-life vehicles (ELVs). Not because we wanted protectionism, but because society demanded responsibility. ELVs are not just scrap – they are rolling collections of hazardous materials, valuable reusable components, and environmental risk if handled improperly.
What is often overlooked, and what my father was keenly aware of, is that this is not just an industry issue. It is a public policy issue. When licensed recyclers are pushed aside, governments lose far more than regulatory oversight. They lose revenue, jobs, and economic stability.
The audience got it. The Q&A that followed was raw, emotional, and unforgettable. People weren’t just listening – they were engaged. They cared. Many of us walked out of that room changed.
I know I did.
Fast Forward to Today: Same Problems, New Players
If anything, the challenges Ken outlined have multiplied.
Today, the auto recycling industry faces an unprecedented influx of third parties that have found ways to insert themselves between legitimate recyclers and consumers, often without licenses, zoning, or accountability. With nothing more than a slick website, paid search ads, and a phone number, these operators present themselves as “junk car buyers” or “green recyclers,” misleading consumers and undercutting professionals who play by the rules.
I hear the same stories over and over again:
- Consumers are quoted high prices online, only to be strong-armed at pickup.
- Vehicles are bought with no paperwork, no environmental controls, and no transparency.
- ELVs are dismantled in backyards, parking lots, and fields, with fluids dumped and regulations ignored.
This isn’t innovation. It’s exploitation.
And once again, governments are being misled about what is really happening on the ground, often unknowingly enabling an underground economy that quietly drains public coffers.
What Governments Are Really Losing
This is the part of the conversation that cannot be ignored any longer.
When licensed auto recyclers are bypassed, governments lose (in my Country, as an example):
- Corporate income taxes that legitimate businesses pay every year
- HST/GST collection and remittance on vehicle purchases and parts sales
- Payroll deductions, including CPP contributions and EI premiums
- Employer Health Tax (EHT) and other statutory employer obligations
Unlicensed and underground operators do not collect these taxes. They do not remit them. They do not contribute to the social systems Canadians rely on. The same is true across the USA and beyond.
Licensed auto recyclers, on the other hand, are employers. We create real jobs, yard workers, dismantlers, salespeople, logistics staff, compliance officers, and managers. These are local jobs, rooted in communities, supporting families.
When ELVs are siphoned away to unregulated buyers or exported overseas with little oversight, those jobs disappear. The economic value of a Canadian resource is shipped out of the country, along with payroll, tax revenue, and long-term economic benefits.
My father put it to me plainly, and I quote him often:
“David, it’s the loss of income taxes, payroll taxes, and jobs to Canadians that governments care about most – society as a whole loses out.”
He was right then. He’s right now.
Natural ELVs: A Strategic National Resource
Older, naturally retired end-of-life vehicles are not junk. They are a domestic resource, no different than timber, minerals, or energy pulled from the ground. When processed responsibly, they generate economic activity multiple times over, including parts reuse, metal recovery, logistics, resale, and manufacturing offsets.
Allowing this resource to be stripped, mishandled, or exported without proper controls is no different from allowing raw materials to leave the country without value-added processing.
Canada, and North America more broadly, is losing hundreds of millions of dollars annually through this leakage. That money belongs here. It should be supporting Canadian jobs, Canadian businesses, and Canadian tax bases.
Yet this segment is where the most abuse is happening. It’s where unlicensed operators thrive. It’s where consumers are most vulnerable. And it’s where our industry’s reputation is being quietly eroded.
Ken warned us about this exact scenario, long before auctions were exclusively online, misleading marketing, or digital lead brokers and third parties existed, like they do now.
This is not about protectionism. It’s about stewardship.
Late-Model Parts: Keeping Value at Home
At Standard Auto Wreckers, we also operate a dedicated late-model parts business from a separate location. Its sole purpose is to harvest quality components from newer vehicles and return them to the marketplace. This is not just good business, it is sound economic and environmental policy in action.
Late-model recycling:
- Reduces repair costs for consumers and insurers
- Keeps vehicles on the road longer
- Reduces the need for new manufacturing
- Retains economic value within Canada
When these vehicles and parts are diverted to third parties or exported prematurely, governments lose the multiplier effect that legitimate recycling provides.
Green Vehicle Disposal: Protecting the Public Interest
I didn’t create the Green Vehicle Disposal (GVD) Program to compete with recyclers. I created it to support them and to protect consumers and governments alike.
GVD exists because too many legitimate auto recyclers have been drowned out online by noise, by brokers, aggregators, and unlicensed operators who know how to game search engines better than they know how to recycle a car.
GVD is simple in concept but powerful in execution:
- It gives licensed recyclers a trusted, consumer-facing brand.
- It restores transparency to the ELV transaction.
- It helps recyclers regain a marketing edge without compromising integrity.
Most importantly, it helps ensure that when consumers are searching for a responsible solution, they are connected with professionals, not pretenders.
GVD helps ensure that:
- ELVs are processed by licensed, tax-paying businesses
- Transactions are transparent and documented
- Environmental standards are met
- Economic value stays local
This is precisely the type of initiative governments should be encouraging, not because it helps recyclers alone, but because it restores integrity to a broken system, and this is exactly the kind of solution-oriented thinking my father championed.
Family Business, Public Benefit
Auto recycling is still, at its core, a family-business industry; it’s built on long hours, generational knowledge, and pride in doing difficult work the right way. Ken understood that deeply. He fought for this industry not because it was abstract, but because it was personal. But it is also a critical part of the circular economy and a quiet pillar of public finance.
When licensed recyclers thrive:
- Governments collect more taxes
- More people are employed
- Environmental outcomes improve
- Consumers are treated fairly
When we are undermined, everyone loses.
Ken understood this. He fought for this industry not just out of pride, but out of a deep belief that society benefits when the right people are entrusted with important work. He believed, correctly, that no one is coming to save us.
If we don’t advocate for ourselves, define our role, and call out what isn’t right, we will continue to lose ground.
A Call Forward, Not Backward
This article isn’t about nostalgia. It’s about accountability.
Ken Gold’s 2005 speech wasn’t a rant; it was a warning and a framework. A reminder that if we fail to define our role, others will define it for us, and not in ways that serve the public good.
Governments need to understand this clearly:
Supporting licensed auto recyclers is not an act of favouritism. It is sound fiscal, environmental, and employment policy.
When unlicensed actors flourish, everyone loses.
My father had our backs then.
I intend to have them now.
If we stand together, speak honestly, and make it clear what is truly at stake, not just for our industry, but for society as a whole, the next generation of auto recyclers won’t just survive.
They’ll help Canada thrive.
And that, to me, is worth fighting for.
Further Reading on Auto Recycling World
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EU Council and Parliament agree new vehicle circularity and ELV rules
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Portugal tightens ELV controls as APA puts data, traceability and producer duties under the spotlight
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IRT webinar review: Accreditation schemes focus on trust, data and AI-driven grading
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Revolution underway: AI is already transforming auto recycling
