The use of aftermarket and recycled parts in North American collision repairs exceeded 40% during the second quarter of 2026, setting a record for the second consecutive quarter, according to figures from the LKQ corporation.
Justin Jude, president and CEO of LKQ Corporation, disclosed the figure during the Antioch, Tenn.-based automotive parts supplier’s earnings call. Alternative parts utilization had already reached a record of about 40% in the first quarter. The second-quarter result pushed it above that mark.
He linked the increase in part to the growing share of collision work performed by MSOs. He told analysts earlier this year that MSOs tend to have more direct agreements with insurance carriers that call for greater alternative-parts utilization.
“We do see as MSOs gain share, the APU grows,” Jude said.
Separate data confirms the same movement toward non-OEM parts. Mitchell vice-president of strategy and market intelligence Ryan Mandell said in March that utilization of aftermarket, recycled and remanufactured parts increased by almost two percentage points in Canada in 2025. In the U.S., utilization rose by about 1.5 points.
Mandell linked the increase partly to insurers seeking alternatives to rising OEM parts prices. He also pointed to improved availability. Aftermarket inventories had returned to pre-pandemic levels, while a more consistent supply of salvage vehicles had improved recyclers’ ability to provide used parts.
Mitchell expanded its Canadian alternative-parts network in November 2025, adding seven recycled-parts suppliers to its Integrated Parts platform. The additions gave Canadian estimators access to live inventory, pricing and delivery information from recyclers through Mitchell Cloud Estimating.
U.S. data from CCC Intelligent Solutions also show aftermarket parts taking a larger share of collision repair spending. Aftermarket parts reached a record 22.7% of replacement-part dollars in 2025, while OEM parts accounted for 63.5%.
