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IARC 25 - T

EU’s New End-of-Life Vehicle Regulation – Challenges and Opportunities for Car Recyclers

New rules for vehicle recycling: The EU’s planned new End-of-Life Vehicle Regulation could replace the current End-of-Life Vehicle Directive as early as the end of 2025. What does this mean specifically for car recyclers? What challenges lie ahead – and what opportunities are opening up? KUMAsoft provides answers.

 

EU's New End-of-Life Vehicle Regulation – Challenges and Opportunities for Car Recyclers p
Vehicle entrance at Autorecycling Kempers

Directive versus Regulation: What are the differences?

There is no doubt about it – the planned new End-of-Life Vehicle Regulation will come. It is expected to replace the current End-of-Life Vehicle Directive at the end of 2025 or the beginning of 2026. The EU is currently revising the draft.

The change is more than a formality: while directives allow EU member states freedom in their implementation, regulations apply directly and uniformly throughout the EU. In other words: there is no longer any room for maneuver. The rules are binding – for all EU states.

The new End-of-Life Car Regulation: What the Draft provides for Car Recyclers

The new End-of-Life Vehicle Regulation brings with it a number of additional requirements for dismantling companies.

1. More mandatory dismantling
The list of parts that must be removed from old vehicles is being significantly expanded. In addition to batteries, airbags and catalytic converters, components such as plastic panels, electronic control units, or valuable magnetic materials from electric motors could also be mandatorily removed in the future.

2. Marking and assessment of parts
In the future, all dismantled parts will be tested not only for their recyclability but also for their suitability for reuse and remanufacturing.

For example, this could mean that:

  • Engine and transmission components are tested for repairability and classified accordingly.
  • Electronic components such as control units or sensors are specifically marked for reprocessing.
  • Plastic parts are provided with a recycling code that facilitates their further processing.

3. Recycling rate for plastics
Another key innovation in the draft regulation: A recycling rate of at least 30% for plastics from end-of-life vehicles is to be achieved by 2030. In implementation, this means:

EU's New End-of-Life Vehicle Regulation – Challenges and Opportunities for Car Recyclers p two
Spare parts warehouse at Autorecycling Kempers

Increased separation of plastic parts: Parts such as bumpers, interior panels or dashboards must be separated during disassembly to enable high-quality recycling.
New technologies and processes: Innovative approaches such as chemical recycling may be required to process complex plastic mixtures.
Closer cooperation: There must be stronger networking between dismantling companies, plastics recyclers and vehicle manufacturers in order to create closed material cycles.

Digitalization becomes indispensable

The key finding from the planned regulation: Without digitalization, it will be almost impossible to manage car recycling in the future. Matthias Hummel, KUMAsoft founder and expert in green circular economy, says: “Although the regulation does not explicitly prescribe digital processes, the requirements – such as transparency and traceability – make them indispensable.”

The planned digital proof of destruction, in particular, requires seamless digital processes to record, process and make data available. Companies can only meet these requirements by integrating into digital networks that connect manufacturers, buyers and remanufacturers of parts.

“Digitization is therefore not just a tool, but the key to greater efficiency and success throughout the entire value chain,” says Matthias Hummel.

What opportunities the new End-of-Life Vehicle Regulation offer car recyclers

The new requirements may seem demanding at first glance – but they also open up enormous opportunities. Those who adapt early can turn challenges into real opportunities, such as:

  • More valuable vehicles in the incoming goods as vehicle manufacturers rely more on recycling partners.
  • Higher data quality through digital processes that enable informed decisions.
  • Additional sales with used vehicle parts and recyclable materials.
  • Stronger positioning as a professional partner for automobile manufacturers.

How car recyclers can prepare

The path to the future begins with the right steps:

  • Implementing digital processes: Digitalization is no longer an option but a necessity.
  • Use networks: A connection to the green cycle with the green.casion and ClaimParts platforms opens doors to new business opportunities and markets.

The Benefits of the Green Cycle

As a co-founder of ClaimParts, KUMAsoft is part of the Green Cycle. It consists of green.casion, the auction platform for certified car recyclers, and ClaimParts, the online marketplace for used car parts. Participation in the Green Cycle brings numerous advantages for car recyclers:

  • Access to high-quality used parts
  • Easy integration into digital networks
  • Support for sustainable and resource-saving processes

Why the up2date RecyclerEdition is a good choice for car recyclers

Anyone who needs support with digitization is in the best position with the up2date RecyclerEdition. The dismantling software from KUMAsoft offers recycling companies everything they need to meet the requirements of the new regulation:

  • Digital solutions for seamless processes
  • Interfaces to platforms such as green.casion and ClaimParts
  • Transparency and efficiency in parts collection and distribution

The new car recycler? Environmental hero of the circular economy!

The new End-of-Life Vehicle Regulation presents major challenges for car recyclers but also offers enormous opportunities. Those who adapt to the requirements now, introduce digital processes and use networks such as the Green Cycle will not only survive, but will emerge as pioneers in the industry.

With their work, car recyclers are at the heart of the circular economy – a contribution that not only conserves resources but also actively supports climate protection.

“In other European countries, car recyclers have long been considered environmental heroes of the circular economy,” says Matthias Hummel. “In Germany, too, they have the potential to shape this image – now is the time to show it.”

Photo credit: The photos show the vehicle entrance and the spare parts warehouse at Autorecycling Kempers. The company is part of the Green Cycle and has been using the up2date RecyclerEdition from KUMAsoft since 2015.

This article was originally published at www.up2date-software.de

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