Two E Companies Grab the Right to Pilot Remanufacturing of Auto Parts
The pilot project for the remanufacturing of automotive parts has officially kicked off, signaling a major transformation in vehicle maintenance. Yesterday, a reporter learned from the Dunkou Development Zone that the National Development and Reform Commission has designated 14 pilot companies, including Hubei Dongfeng Hongtai Holding Group and Dongfeng Cummins Engine. This initiative marks a significant step forward in the industry's efforts to promote sustainable practices and reduce waste.
**Five Major Car Components Can Now Be Regenerated**
The newly issued "Administrative Measures for the Remanufacturing of Auto Parts and Pilots" clearly defines the scope of "regeneration," currently limited to five key components: engines, transmissions, generators, starters, and steering gears. According to Wang Zhenkun, General Manager of Dongfeng Hongtai, these parts were previously restricted from entering the market and could only be recycled as scrap metal. Now, with the removal of policy barriers, they can be reintroduced into the supply chain in a responsible and regulated manner.
This time, Dongfeng Hongtai, Dongfeng Cummins, and 11 other parts manufacturers have been granted pilot status, while the remaining three are full vehicle producers. This move is expected to drive innovation and efficiency across the automotive sector.
**Investing 200 Million Yuan to Build a Pilot Base**
According to Wang Zhenkun, Dongfeng Motor will establish an independent subsidiary to manage the recycling and remanufacturing of auto resources. The first phase of the project will see an investment of 200 million yuan to build a 300-acre pilot base. Once completed, the facility will be capable of recycling and disposing of 50,000 used vehicles, 100,000 tons of materials, and 100,000 sets of auto parts annually.
Most of the recovered vehicles will come from Dongfeng Citroen and Dongfeng Peugeot models under Shenlong, with plans to expand to other Dongfeng brands in the future. Industry experts estimate that the scale of this base could reach 2.7 billion yuan within three years.
Additionally, the project is expected to save at least 30,000 tons of steel annually, significantly reducing emissions from steel production. This not only supports environmental goals but also contributes to cost savings and resource efficiency.
**Car Repairs Will Benefit from a Two-Fold Advantage**
For consumers, the availability of remanufactured parts offers a more affordable alternative to new components. These parts will be clearly labeled as "remanufactured" and available exclusively for vehicle maintenance. According to Wang Zhenkun, the price of these parts is typically around 55% of the cost of new ones.
Despite being recycled, the quality of these parts meets the same standards as new ones and comes with the same warranty. This ensures reliability and consumer confidence, making remanufactured parts a smart and sustainable choice for car owners.
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