Impact of Vehicle Scrapping on Used Car Market in India
The Indian automotive market is going through a major shift, and a big part of this change is due to the new vehicle scrapping policy. While most of us are familiar with the second-hand car market, what many don't realise is how the scrapping of old vehicles is reshaping it. In this blog, let’s explore how this change is impacting the used car segment and what it means for buyers, sellers, and even vehicle scrap companies in India . 1. Understanding the Vehicle Scrappage Policy In simple words, the Vehicle Scrappage Policy is a government initiative aimed at removing old, polluting, and unfit vehicles from Indian roads. According to the policy, private vehicles older than 20 years and commercial vehicles older than 15 years can be scrapped if they fail to pass the fitness test. The main goal is to reduce pollution, boost the adoption of safer and fuel-efficient vehicles, and promote the circular economy. With fitness tests and green certificates becoming mandatory, many vehicle o...