[Automotive Knowledge Base] Why do you need to disassemble a car if it can be driven well? Industry insiders explain in detail
In Hong Kong, even if a car is still able to run, it is still necessary to "dismantle" (i.e. scrap or dismantle the vehicle) in some cases. This is due to various legal, economic and safety considerations. The following is a detailed list of the main reasons from the perspective of industry insiders:
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Vehicle age limit
- Although Hong Kong does not have a specific age limit for private cars, some commercial vehicles (such as taxis or minibuses) have a statutory age limit. Once the age limit is exceeded, the vehicle must be scrapped even if it is still operational.
- Even if a vehicle that has been used for a long time can still be driven, its parts and structures may have aged, posing potential safety hazards.
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Vehicle inspection failed
- Hong Kong requires some older vehicles or vehicles used for commercial purposes to undergo regular vehicle inspections. If a vehicle fails the inspection (for example, the brake system, chassis structure or emission standards do not meet the standards), the owner may face high repair costs. Rather than investing a lot of money in repairs, the owner may choose to scrap the vehicle.
- Even if the vehicle can be driven, it cannot be legally driven on the road if it does not comply with legal requirements.
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Repair costs are too high
- As your vehicle ages, repair costs increase. Parts for certain older models may no longer be manufactured, making replacement parts expensive and difficult to repair.
- When it is not economically feasible, car owners often choose to scrap their vehicles, especially used cars with low market value.
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Emission standards improved
- The Hong Kong government is constantly raising vehicle emission standards to improve air quality. Some older models may be banned from the road because their engines and exhaust systems cannot meet the latest environmental regulations, even if they can still run.
- Upgrading emissions systems is expensive, so many car owners choose to simply scrap their vehicles.
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Vehicle accident damage
- When a vehicle is involved in a serious accident, even if it can be repaired to a drivable state, the vehicle's structural integrity may have been affected, posing a potential safety risk.
- Insurance companies usually recommend that car owners scrap their vehicles and use the compensation to buy a new car.
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Low secondary market value
- Even if some old car models can be driven normally, their value in the second-hand market may be extremely low, even lower than their recycling value for scrapping.
- Car owners may choose to scrap their vehicles to obtain recycling money and avoid incurring additional depreciation losses.
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Changes in the owner's policies or needs
- Car owners may decide to downsize their cars due to policy (such as the government's old-car-for-new-car subsidy program) or personal needs (such as the need to switch to an electric car), even if the old car is still drivable.
- In some cases, car owners prefer to choose new cars with newer technology, higher efficiency and better environmental protection.
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Parking and management costs
- In Hong Kong, parking spaces are expensive. If a car owner does not use a car for a long time, he or she may choose to subdivide the car to save parking fees and vehicle maintenance costs.
- After the vehicle is scrapped, the owner no longer needs to pay annual fees, insurance premiums and other related expenses.
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Parts recycling value
- Even if the vehicle is still drivable, its parts (such as the engine, body, tires, etc.) may still have a high recycling value. Industry insiders may recommend that the owner dismantle the vehicle and recycle the parts to obtain a higher financial return.
- Some parts can even be used to restore other vehicles and have a market demand.
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Legal liability and safety considerations
- Car owners may worry that long-term use of old vehicles may lead to mechanical failure or traffic accidents. Once an accident occurs, the car owner may be held legally responsible.
- To avoid these potential problems, car owners would rather scrap their vehicles early.
In summary, although the vehicle can be driven, the owner may decide to sub-license the vehicle due to multiple factors such as maintenance costs, environmental regulations, economic benefits and safety risks. This is not only based on the owner's personal economic considerations, but also to ensure road safety and comply with the government's environmental protection policies.