Development of a Model for Material Flows and Economic Exchanges within the U.S. Automotive Life Cycle Chain

Anup P. Bandivadekar | MS | 2002

Abstract:

The automobile is already a highly recycled product, with 75-80% by weight of the vehicle recycled (mainly ferrous and non-ferrous metals). Increasing regulatory and public pressures are requiring all automotive companies to improve recovery rates and reduce the amount of landfill wasted associated with end-of-life vehicles. At the same time, the need to meet fuel economy targets is causing manufacturers to carefully evaluate the material composition of vehicles (often replacing ferrous materials with lighter alternatives). Changes in powertrain technology are also preciptating changes in the vehicle composition. These trends, as well as take-back initiatives in Europe and Japan, are challenging the status quo of the traditional automobile recycling industry. In the U.S., this industry operates independently on a for-profit basis, and its economic viability may be jeopardized by the above-referenced automotive trends. Industries participating in the automotive material life cycle chain include automotive manufacturers, primary metal producers, dismantlers, consumers, and shredders.

The objective of this thesis is to study automobile recycling in the U.S. from an industrial ecology perspective, and focus on the development of a simulation model for material flows and economic exchanges within the U.S. automotive material life cycle chain. The model evaluates stocks and flows of the automobiles at different stages of their life-cycle, e.g., new vehicles, aging vehicles, end-of-life vehicles, and recycled vehicles/hulks. The model considers multiple material flows, including vehicles, ferrous content, and non-ferrous metal content throughout the life cycle. The economic exchanges associated with end-of-life vehicles are also described. Historical data is used to test the simulation model. Also to be examined is the sensitivity of the recycling infrastructure to such changes as material composition of the vehicle and market demand. Of interest is whether sufficient economic incentive exists under these scenarios to make vehicle recycling a feasible alternative in the future in the absence of government intervention.

The model results indicate that even in the case of significantly higher rates of dismantling and plastics recovery, the amount of shredder residue per vehicle will continue to rise. The recycling infrastructure will still have enough economic incentive to continue with automobile recycling in the event of changing material content of the automobiles, if it can adapt to the changing conditions by improving material dismantling/recovery rates.

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