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IRT Event: New accreditation schemes improve operational standards

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Toronto, Ontario -- Accreditation programs for automotive recyclers must evolve beyond marketing credentials to deliver measurable operational trust if the industry wants to achieve large-scale adoption of recycled original equipment manufacturer parts, two industry leaders said during a recent International Roundtable on Auto Recycling webinar.

The session brought together industry leaders from North America, the United Kingdom and Australia to examine how quality assurance frameworks are adapting as insurers, repair shops and online marketplaces increase their reliance on recycled OEM parts.

Steve Fletcher of the Automotive Recyclers of Canada, who co-hosted the webinar, said each market follows its own development path but can benefit from learning how other jurisdictions approach the challenge.

Kristi Werner, chief executive of United Recyclers Group in the United States, and Chris Daglis, managing director of Auto PARTnered Solutions in Australia, identified confidence in grading standards and data reliability as the two primary barriers preventing recyclers from scaling parts volumes.

Werner outlined plans for a comprehensive quality assurance program being developed jointly by United Recyclers Group and the Automotive Recyclers Association. The initiative merges existing certification frameworks from both organizations and is scheduled to launch in early April next year.

"One of our big things is software development to increase the sales of used parts across the U.S. and Canada," Werner said. "Earlier this year, URG and the ARA announced plans to partner together to build out a new quality assurance program. We believed having competing programs was not in the best interests of members."

The program, which is set to be unveiled in April, is designed to cover the complete lifecycle of each part, from initial vehicle acquisition through dismantling operations, inventory tracking, shipping logistics and post-sale performance outcomes.

Participation requires meeting environmental standards set by the ARA or ARC, carrying minimum liability insurance, complying with recall and high-voltage safety requirements and meeting state or provincial regulatory obligations. Ongoing participation includes peer-reviewed performance monitoring, customer complaint and feedback processes and annual independent audits.

"A key piece is that we're going to be really enforcing things and doing a yearly audit," Werner said. "The key is continuous improvement."

Delivery performance and return rates were identified as critical indicators for insurers and repair facilities. Werner said the program will include a recall management system to notify customers if previously sold parts are later subject to manufacturer recalls.

The inconsistent grading emerged as a recurring concern throughout the webinar. Werner said the absence of common standards continues to undermine confidence in recycled parts transactions.

"We've really got to ensure there's consistency," she said, noting that some parts graded as A by one recycler may be graded as C by another.

The grading discrepancies directly contribute to returns, disputes and buyer hesitation, particularly in online sales where customers cannot physically inspect items before purchase.

"There's a need to bring confidence back," Werner said. "When someone orders online, they need to know the quality grade will be reliable and that the delivery will be on time."

She added that improved standards benefit repair shops through fewer returns and higher customer satisfaction.

The new program draws on established process methodologies from manufacturing, including Six Sigma, a data-driven approach originally developed to reduce defects and variation, ISO 9001, an international standard for quality management systems, and Lean manufacturing, which focuses on eliminating waste and improving process efficiency.

Daglis pointed to the United Kingdom's Vehicle Recyclers' Association Certified program as an example of how accreditation can support growth when paired with independence and enforcement. The VRAC scheme requires annual third-party audits, standardized grading and full traceability and has been adopted by more than 140 recyclers across the U.K. and Ireland.

"Ultimately, it's about trust," Daglis said. "We need to strengthen our brand identity in the industry. We've got this image in the public imagination that we're still junkyards."

Different stakeholders seek complementary outcomes from certification programs, he said. "Ultimately insurers are looking for a supply chain. Repairers are looking for consistency on standards. Consumers need safety and reliability."

Certification programs that meet baseline requirements must now prove measurable performance, Daglis said. "We built a program that met the requirements of all the stakeholders, but it needs to go to the next level."

Australia is developing its own national certification framework, with industry consultation planned for early 2026 and a potential launch later in the year. Daglis said uptake will depend on whether recyclers see clear commercial returns beyond compliance. He added that securing collision repairer buy-in is critical for Australia, as repairers are the ones dealing directly with customers.

Artificial intelligence emerged as a shared area of focus. Werner said image-led tools could help analyse part photographs, identify damage and flag mis-graded inventory, helping bridge the gap between recycler terminology and external buyer expectations. Daglis described development work using high-frequency image capture to support automated damage recognition.

The speakers agreed accreditation is no longer simply a branding exercise. As insurers and marketplaces push for higher recycled parts volumes, recyclers will be expected to deliver auditable systems, consistent grading, reliable fulfillment and clean, traceable data.

The full presentation is available online.

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