Salvage Yards Fear 'Cash for Clunkers'
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Updated: 2:17 AM Aug 6, 2009
Salvage Yards Fear 'Cash for Clunkers'
Local salvage dealers are worried the program will kill their sales.
Posted: 7:05 PM Aug 5, 2009
Reporter: Carrie Cline
Email Address: carrie.cline@wsaz.com
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HUNTINGTON, W.Va. (WSAZ) -- The fate of the "Cash for Clunkers" program continues to sit in the hands of the U.S. Senate. In the meantime, local dealerships have seen boosts in sales.

But local salvage dealers are worried the program will kill their sales. The government requires car dealers to destroy the engines of all cars traded in for the program to promote a greener environment. Those engines are the heart of the salvage yard business.

Eaves Auto Salvage Yard in West Huntington is among the places that would be affected. Its owner Gary Eaves has a couple hundred cars on the lot that provide thousands of dollars in parts. His biggest seller is the engine. He currently has about 75 to 80 on the lot and can easily get up to $1,000 for each one. But, "Cash for Clunkers" could put a big dent in his business.

“There won’t be any engine parts for us to sell," Eaves said. "Not only that, there won’t be any more older cars out there if everyone buys new and their cars are under warranty.”

If salvage yards go out of business, the dealers won't be the only ones hurt. There are many people who rely on the parts they can at salvage yards here to save money on their own cars.

“If these guys go out of business, the little guy will really be hurt," said Gary Beckett, a longtime salvage yard customer. "Today, I came out here to buy a starter, which I can get here for $25. But, if I get it at the auto store, it will cost me $75. So, right there you have a $50 savings.”

Who this program hurts the most and how remains to be seen. One thing that's pretty certain: this case is far from closed.

Some local dealers say they won't destroy any engines until they've received their payments from the government. Many dealers say they haven't received any of that money yet.


Latest Comments

Posted by: look but not seeing on Aug 11, 2009 at 04:23 PM

have u ever in your life seen anything so dum people r cashing in there old payment free cars and now they have a car payment people losing jobs why ddi dthey not give schools this money fro children clothes or eye glasses or coats this is a complete waste i no my typing is bad but goodness sake there is people who needs this money to survive and they r thinking of car dealers god bless america
Posted by: Bo on Aug 11, 2009 at 04:23 AM

Hey Marcus. I think you need to put your reading glasses on. He did say he could by a starter for $25 not $15.
Posted by: Anonymous on Aug 9, 2009 at 06:02 PM

The republcan business people are for this more than anyone else.
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