Indian Automakers to Mandatorily Recycle Steel from Old Vehicles Starting April 2025

Starting April 2025, automakers in India will be mandated by the new regulations issued by the Ministry of Environment, Forests, and Climate Change, MoEFCC, to recycle at least 8% of the steel from vehicles sold in the 2005-2006 model year. The new order aims to increase sustainability gradually, with a requirement to recycle 18% by 2035-36.

This mandate falls within the larger structure set through the End-of-Life Vehicles Rules for Environment Protection. The recycling percentage applies to vehicles nearing the end of their life cycle, which is generally regarded as when a vehicle is around 20 to 21 years of age after purchase. Automakers will be responsible for the safe collection and recycling of these vehicles, with targets set for annual compliance.

Manufacturers will have to buy EPR certificates from vehicle scrapping units authorized by the government. It will ensure that the steel, which is scrapped, is sent for recycling and processed according to the regulations. The companies have to carry out consumer awareness programs and also establish a buy-back mechanism. Their activities have to be registered with the Central Pollution Control Board (CPCB).

At present, there are 82 Registered Vehicle Scrapping Facilities in India, and plans are to have 100 more by April 2025. These facilities are going to form the backbone for the collection of materials, with a focus on steel recycling. The CPCB will monitor all EPR certificate issuance through an online portal with a centralized data management system where the recycling can be tracked based on the amount of steel recovered.

Scrapping through formal channels, the new rules are bound to ensure more effective and safe recycling. On its part, automakers can acquire EPR certificates through this portal to address the recycling issues while supporting the government’s aim to produce environmentally friendly cars and support the conservation of the environment.