SIC 5015 Motor Vehicle Parts, Used

SIC 5015

This industry classification is comprised of establishments primarily engaged in the distribution of used motor vehicle parts at both the wholesale and retail level. It also includes establishments primarily engaged in dismantling motor vehicles for the purpose of selling parts. Establishments engaged in dismantling motor vehicles for the purpose of selling scrap are classified in SIC 5093: Scrap and Waste Materials.

NAICS CODE(S)

421140

Motor Vehicle Part (Used) Wholesalers

Recycling of automobiles is the 16th largest industry in the United States, estimated at $25 billion annually. In 2006 the nation was home to approximately 7,000 vehicle-recycling operations. The distribution of used motor vehicle parts at both the wholesale and retail levels accounts for about 20 percent of business.

States with the highest number of establishments in the used motor vehicle parts industry were Texas, California, and Florida, but multi-state chain stores began making headway in the mid-2000s. For example, Pick-n-Pull, headquartered in Sacramento, California, became one of the largest chains of self-service used auto parts stores, with 27 locations in nine states and three stores in Canada. In 2005 the company expected to serve more than 4 million customers and to recycle almost 250,000 vehicles.

Demand for replacement parts became apparent in the early years of the automotive industry. Although manufacturers typically provided parts for their vehicles through franchised distributors, many car makers did not survive the early decades of the twentieth century, thus leaving behind "orphan" vehicles that eventually needed replacement parts that no manufacturer was producing.

Replacement parts became available through two channels. Some companies purchased tracings, drawings, and blueprints for parts from bankrupt manufacturers in order to fabricate replacement parts. Others obtained parts from broken-down vehicles and reconditioned them for resale. As the automotive industry matured and cars became a ubiquitous part of the American landscape, the need for replacement parts continued to grow.

The National Automotive Parts Association (NAPA) was founded in 1925 to meet America's growing need for an auto parts distribution system. The distribution system accommodated more than 200,000 part numbers in the early 2000s. NAPA members supplied new and reconditioned products to repair shops, service stations, fleet...