The Shocking Truth About Scrap Cars in Singapore: What You Need to Know!

What Happens after 10 years COE expire for cars in Singapore?

As a car owner in Singapore, the concept of a scrap car Singapore may seem like a distant reality, but the truth is, it’s a fate that awaits every vehicle on the island. With over 600,000 cars on the road, Singapore has a significant number of vehicles that will eventually reach the end of their lifespan. But what happens to these cars when they’re no longer roadworthy? In this article, we’ll delve into the world of scrap cars in Singapore, exploring the statistics, regulations, and options available to car owners.

The Statistics: A Growing Concern

Singapore’s car population is growing rapidly, with an average of 100,000 new cars hitting the roads every year. However, this growth also means that the number of scrap cars is increasing. According to the Land Transport Authority (LTA), over 12,000 cars were deregistered in 2020 alone, with many of these vehicles ending up in scrap yards.

Here are some statistics that highlight the issue of scrap cars in Singapore:

  • Over 70% of deregistered cars are scrapped or exported for scrapping (LTA, 2020)
  • The average age of cars in Singapore is around 10 years, with many vehicles reaching the end of their lifespan (LTA, 2020)
  • The scrap car industry in Singapore is worth an estimated SGD 100 million annually (Singapore Business Review, 2019)

Regulations You Need to Know

So, what happens to your car when it’s no longer roadworthy? In Singapore, car owners are required to deregister their vehicles when they reach the end of their lifespan. The LTA has strict regulations in place for the deregistration and scrapping of vehicles, including:

  • Cars must be deregistered within 3 months of the expiry of the Certificate of Entitlement (COE)
  • Vehicles must be scrapped or exported for scrapping within 1 month of deregistration
  • Car owners must obtain a Scrap Certificate from the LTA before scrapping their vehicle

Options for Car Owners

So, what can you do with your scrap car in Singapore? Here are some options:

  • Scrap it most common option is to scrap your car at a licensed scrap yard. This will ensure that your vehicle is disposed of in an environmentally friendly manner.
  • Export it: If your car is still in good condition, you can export

The Environmental Impact of Scrap Cars

Scrap cars can have a significant impact on the environment if not handled properly. When vehicles are scrapped, various components can be hazardous, including batteries, oils, and fluids. Improper disposal of these materials can lead to soil and water contamination.

To mitigate these risks, licensed scrap yards in Singapore must adhere to environmental regulations, ensuring that hazardous materials are disposed of safely. Additionally, many parts of scrapped vehicles can be recycled or repurposed. For example:

  • Metal Recycling: The metal from scrap cars is often melted down and reused, reducing the need for new metal production.
  • Parts Reuse: Components such as engines, transmissions, and even interior fittings can be salvaged and sold, promoting a circular economy.

By choosing a licensed facility for scrapping your car, you can help ensure that the environmental impact is minimised.

Financial Considerations for Scrap Cars

When it comes to scrapping your vehicle, financial aspects play a crucial role. While scrapping a car might seem like a loss, there are potential financial benefits:

  • Scrap Value: Depending on the make and model, you may receive a sum for the scrap value of your vehicle. This amount can vary but is generally based on the weight of the metal and current market rates.
  • COE Rebate: If your car was deregistered before the expiry of its Certificate of Entitlement (COE), you may be eligible for a rebate. This can help offset the cost of purchasing a new vehicle.
  • Cost of Repairs: If your car is no longer roadworthy and requires expensive repairs, scrapping it may be more financially prudent than investing in repairs.

It’s essential to assess these financial considerations when deciding what to do with your old vehicle.

Conclusion

Understanding what happens to scrap cars in Singapore is crucial for car owners. With an increasing number of vehicles reaching the end of their lifespan, it’s important to be informed about the regulations, environmental impacts, and financial implications involved in the scrapping process. By responsibly managing your vehicle disposal, you can contribute to a more sustainable future while also potentially benefiting financially. Whether you choose to scrap your car in Singapore or explore other options, staying informed will help you make the best decision for yourself and the environment.

 

About Monroe Mitchell

Rachel Mitchell: A seasoned journalist turned blogger, Rachel provides insightful commentary and analysis on current affairs. Her blog is a go-to resource for those seeking an informed perspective on today's top news stories.

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