As the report contends, this aging of vehicles on the American roadway can present significant environmental implications as newer vehicles tend to have better fuel economies and older, poorly maintained vehicles emit a far greater percentage of pollutants into the atmosphere. A 2015 study by researchers at the University of Toronto found that 25% of the cars on Canadian roadways were responsible for 90% of the vehicle fleet pollution.
Not surprisingly, households with lower incomes tended to have a higher percentage of older vehicles. However, the report suggests that that gap is narrowing. The average age of vehicles used by higher income households grew at a higher percentage rate than those in lower income. The reports’ principal contributor Mark Schipper, further suggests that US households have delayed purchasing a new vehicle OR are choosing to purchase a pre-owned vehicle instead. A recent report from the US Bureau of Labor Statistics does support the finding that US consumers’ spending on vehicle maintenance and repairs have increased in recent years.
Where to find more Wreckonomics content
Stay in the Wreckonomics conversation for more content surrounding the auto industry, the growing segment of vehicles in operation, auto recycling data and news surrounding materials used in auto manufacturing. Follow the Market & Metals blog by signing up for email alerts below or follow along on Facebook, Twitter or LinkedIn.