China Seeks Feedback on Auto Parts Remanufacturing Regulations

China's National Development and Reform Commission (NDRC) has issued a draft regulation intended to standardize the automotive parts remanufacturing industry. The move seeks to accelerate the development of the circular economy within the sector and provide clear guidelines for businesses.

The proposed regulations, now open for public comment, cover various aspects of the industry. These include corporate governance, the management of used parts collection, remanufacturing production processes, and market supervision. A key focus is on establishing a framework for the collection and reuse of automotive components.

Under the draft rules, remanufacturing companies are encouraged to legally conduct used parts collection operations. The proposal also supports vehicle manufacturers in retrieving old parts through their after-sales service systems. Additionally, it promotes specialized used parts collection companies to offer services such as inspection, sorting, and cleaning.

The regulations outline the acquisition of key used components like engines, steering systems, transmissions, and axles by remanufacturing enterprises. It specifies that the types of parts collected must align with the company's remanufacturing capabilities. Certain components, such as exhaust after-treatment devices, are prohibited from remanufacturing. The remanufacturing of emission control critical parts must comply with national emission standards.