Insurance Auto Auctions in pact with Jiangsu Chenlong Resource Recycling China


Insurance Auto Auctions in pact with Jiangsu Chenlong Resource Recycling China

By Greentech Lead Team: Insurance Auto Auctions, a live online
salvage auto auction company and wholly-owned subsidiary of KAR Auction
Services, announced an agreement with Chen Jia, a subsidiary of Jiangsu
Chenlong Resource Recycling Development in Zhangjiagang, China.

Through this agreement, IAA can import salvage vehicles from the United States into
mainland China for the purpose of recycling.

Chenlong Recycling is one of the first companies to obtain
recycling permits from the Chinese government that allows the import of salvage
vehicles for the purpose of recycling.

Recycling metal from salvage vehicles saves energy, conserves
natural resources, and enables steel production with low pollution levels.
Recycling one car conserves 2,500 lbs. of iron ore, 1400 lbs. of coal and 120
lbs. of limestone.

“This agreement helps us achieve our growth strategy by
expanding our global buyer base in a region with a fast-growing need for scrap
metal. Their initial purchases at our locations along the West Coast have
already created increased competition for vehicles and may eventually expand
throughout the greater United States,” said Tom O’Brien chief executive
officer at Insurance Auto Auctions.

Chenlong’s recently completed facility is capable of processing
hundreds of thousands of tons of scrap iron. They are the first in China to
complete the installation of a shredder built specifically for the processing
of scrap steel that includes automobiles coming from the United States and
other countries. Through this new agreement, IAA has the ability to be a major
salvage provider to this operation–specifically, lower-end vehicles for the
purpose of recycling.

“There are several reasons why we chose IAA, including their 30
years of expertise in the salvage auction business and their global outlook.
The management team at IAA has been dedicated to seeing scrap vehicles legally
enter the China market and their support of our efforts has been both
encouraging and instrumental in helping us shape our business model in the
U.S.,” said Gu Long Sheng, president of Jiangsu Chenlong.

Insurance Auto Auctions recently announced the addition of
Ronald McDonald House Charities (RMHC) as the newest benefactor charity to join
its national car donation campaign, One Car One Difference.